NEW YORK (TheStreet) -- Have a soft spot for the environment but not sure which investments reflect that vision? Well, look no further than BlackRock's iShares MSCI ACWI Low Carbon Target ETF (CRBN) .
Ravi Goutam, managing director at BlackRock, says the fund launchd a few weeks ago and already has $140 million in assets. He has high hopes for the fund in 2015, as institutional buyers -- such as pension funds, endowments and foundations -- that are environmentally conscious will hopefully find the fund attractive.
The ETF got its calling when the University of Maryland approached BlackRock with its philosophy of having a low carbon footprint. The company teamed with MSCI to bring the fund together, which was backed and seeded by the United Nations.
Essentially, the fund works just like a broad based world index fund. However, each company is assigned a carbon footprint score, he explained. The fund managers then select the companies that have a lower carbon impact on the world.
The fund invests in different countries, as well as sectors. In other words, energy stocks are included as well. While many energy stocks are known for polluting the earth, not saving it, some companies do have concerns about the environment.
Those energy companies that make a conscious effort to reduce its carbon footprint can be in the fund, Goutam reasoned.