CLML ETF: what CI Global Climate Leaders Fund is, what it holds, and how it works

Short answer: CLML.TO is an actively managed global equity ETF from CI Investments. It owns companies CI’s portfolio team believes are positioned to benefit from the energy transition, ranging from clean-tech operators to industrial firms cutting emissions. It listed in July 2021, charges a 0.99% MER, and has put up strong three-year numbers. The high fee is the catch.

If you’ve been reading about climate-focused funds and wondering whether any of them have actually held up, CLML is one of the few Canadian-listed options with enough history to evaluate. It also showed up in The Globe and Mail’s May 2026 screen of newer ETFs that earned Five Star and Gold ratings from Morningstar, which is what brought it back into the conversation.

This guide walks through what CLML actually is, what’s inside it, the cost, the tax picture, and where it fits (and where it doesn’t). It is not financial advice. Fund details change, so always check current disclosures before buying.

What CLML actually is

CLML.TO is an ETF listed on the TSX, trading in Canadian dollars. CI Investments is the manager. It is actively managed, which means a portfolio team picks the holdings rather than the fund tracking a published index.

The mandate is global equity with a climate-transition lens. In practice, that pulls in three kinds of companies: pure clean-tech operators, traditional industrials and utilities executing credible transition plans, and enablers in semiconductors, materials, and grid infrastructure. The fund is not a renewables-only narrow theme. It is more of a “companies positioned for, and shaped by, the energy transition” wrapper.

What CLML holds

The mix is heavily U.S.-weighted, with meaningful international exposure and a small Canadian sleeve. As of May 2026, the allocation looks like this:

That U.S. weighting matters. Most of the largest climate-themed companies (semiconductor leaders, EV-supply-chain firms, grid operators) are listed in the U.S., so the geographic split mostly reflects where the opportunity set lives rather than a deliberate U.S. tilt.

For the full top-ten holdings list and sector breakdown, check CI’s monthly fund profile. The list shifts as the team rotates positions.

The fee

CLML’s MER is 0.99%. That’s high. It is roughly the cost you’d expect from an actively managed, thematic global equity fund, but it is well above what a broad global equity index ETF charges.

For context, XEQT is around 0.20% after BlackRock’s December 2025 fee cut. VEQT runs about 0.24%. A global equity tracker like XAW sits around 0.22%. So CLML costs roughly four to five times what a broad index alternative costs.

That gap compounds. The calculator below shows what the difference looks like over a long horizon. Adjust the numbers to match your own situation.

The honest read on the fee: you are paying for an active team to make climate-transition calls and for the thematic packaging. Whether that’s worth it depends on whether you think this team will keep adding value above a simple global tracker over your holding period. Past performance has been strong. Past performance is also not a contract for the future.

How the strategy works

CI’s team picks holdings based on a climate-transition framework rather than a screening rulebook. There are three buckets they pull from:

• Enablers. Semiconductor firms, materials companies, and grid infrastructure builders whose products are inputs to the transition. This sleeve looks more like a quality-growth book than a “green” book.
• Solutions. Renewables operators, EV manufacturers, energy-storage firms, and similar pure-play companies. The smaller of the three buckets, and the most volatile.
• Transitioners. Industrials, utilities, and materials companies executing credible transition plans. This is where the fund earns a lot of its global diversification.

That blend is why CLML has held up better than narrower “clean energy only” ETFs that were popular in 2020 and 2021. When pure-play solar and EV stocks rolled over after 2021, narrow funds dropped 50% or more. CLML’s broader basket cushioned that.

How CLML rode the 2022 drawdown

Climate-themed and clean-energy funds were among the hardest hit during the 2022 rate shock. Higher rates compress valuations on long-duration growth stocks, which is what a lot of clean-tech is. CLML wasn’t spared, but its broader exposure meant the drawdown was closer to the global equity benchmark than to the narrow clean-energy peers.

Tax treatment

Tax behaviour for a global equity ETF held in a Canadian wrapper has a few moving parts. The short version is that CLML distributes mostly foreign income (taxed as interest in a non-registered account, which is the least efficient bucket) plus some capital gains.

For the ACB mechanics behind reinvested distributions, the ACB explained guide walks through the calculation.

How CLML compares to alternatives

There are three honest comparisons worth running.

• CLML vs XEQT (or any broad global tracker). This is the real decision. You are paying about 0.79% more per year for active climate selection. If you believe the team adds enough value, the strong three-year run supports the case. If you don’t, the index alternative is almost five times cheaper and has performed extremely well on its own.
• CLML vs narrow clean-energy ETFs. Funds like ICLN or QCLN are pure-play renewables. CLML’s broader basket has held up better through the post-2021 rate shock. The trade is that CLML is less “green” by strict definitions.
• CLML vs CI’s other ESG funds. CI has a broader sustainable-investing lineup. CLML is the dedicated climate-transition fund; the other ESG-labelled funds are more general. If climate transition specifically is the lens you care about, CLML is the more focused vehicle.

Frequently asked questions

What is CLML.TO?

CLML.TO is the ticker for CI Global Climate Leaders Fund, an actively managed global equity ETF listed on the TSX. CI Investments manages it. The mandate is to invest in companies positioned to benefit from the energy transition, including clean-tech operators, industrial firms executing transition plans, and enablers in semiconductors, materials, and grid infrastructure. It listed on July 8, 2021.

What is CLML’s MER?

CLML’s MER is 0.99% as of May 2026. That is on the higher side for an ETF and reflects the active management plus the thematic mandate. By comparison, a broad global equity ETF like XEQT charges roughly 0.20%, so CLML costs about four to five times more per year for the same dollar invested.

What does CLML hold?

CLML holds a basket of global equities selected by CI’s portfolio team. As of May 2026, the geographic split was roughly 60% U.S., 31% international developed, 5% Canadian, with a small cash sleeve. The fund holds three buckets of companies: enablers (semiconductors, materials, grid infrastructure), solutions (renewables, EVs, storage), and transitioners (industrials and utilities with credible plans).

Is CLML actively managed?

Yes. CI’s portfolio team selects the holdings rather than tracking a published index. The active management is one of the reasons the MER sits at 0.99%. Strong three-year returns suggest the team has added value relative to the broad global equity benchmark over that stretch, though that is not a guarantee for future periods.

Can I hold CLML in a TFSA, RRSP, or FHSA?

Yes. CLML trades on the TSX in Canadian dollars and is eligible for any standard Canadian registered account: TFSA, RRSP, FHSA, RESP, RDSP, RRIF, and LIRA, as well as non-registered accounts. Because most of its distribution flows as foreign income, holding it inside a registered account is the more tax-efficient choice for most investors.

How does CLML compare to clean-energy ETFs like ICLN?

CLML is broader. Pure-play clean-energy ETFs like ICLN concentrate in renewables and EVs, and they had a much harder ride after 2021. CLML’s transitioner and enabler sleeves cushioned that drawdown by adding companies that look more like quality industrials. The trade is that CLML is less “green” by strict screens, but more diversified by every other measure.

Has CLML beaten its category since launch?

CLML earned a Five Star Morningstar Rating and a Gold Morningstar Medallist Rating as of May 2026, both relative to its Global Equity category peer group. The three-year annualized return through May 19, 2026, was 40.6% per the Globe’s Morningstar Direct data. Strong, but a single three-year window during which AI-led U.S. equity ran very hot is not by itself proof of repeatable alpha. Holding through a full cycle is the honest test.

The honest verdict

Bottom line

CLML is a credible, well-managed climate-transition ETF with a strong three-year track record. The catch is the price tag. Paying 0.99% per year is a real bet that the active team keeps earning the gap to a 0.20% global tracker. The post-2021 numbers say they have. Whether that holds through the next cycle is the call only you can make.

If climate is the lens you care most about and you hold it in a registered account, CLML is a reasonable way to express that. If you’re choosing it because it has put up big numbers recently, that’s a thinner case. Make the call deliberately.