The iShares MSCI EMU Climate Transition Aware ETF focuses on European companies that are actively working to reduce their carbon emissions and support a sustainable transition to a low-carbon economy. It excludes businesses involved in controversial weapons, tobacco, coal, and certain oil and gas sectors, as well as those not meeting specific sustainability standards. Instead, the fund includes companies that have committed to science-based emissions reduction targets, generate significant green revenue, or are actively lowering their environmental impact. This approach ensures the portfolio consists of firms leading in climate-friendly practices within the Eurozone.