Invesco Variable Rate Preferred Shares UCITS ETF Acc

Investment Risks

For complete information on risks, refer to the legal documents. The value of investments, and any income from them, will fluctuate. This may partly be the result of changes in exchange rates. Investors may not get back the full amount invested. The creditworthiness of the debt the Fund is exposed to may weaken and result in fluctuations in the value of the Fund. There is no guarantee the issuers of debt will repay the interest and capital on the redemption date. The risk is higher when the Fund is exposed to high yield debt securities. Changes in interest rates will result in fluctuations in the value of the fund. The Fund may be exposed to the risk of the borrower defaulting on its obligation to return the securities at the end of the loan period and of being unable to sell the collateral provided to it if the borrower defaults. The Fund might be concentrated in a specific region or sector or be exposed to a limited number of positions, which might result in greater fluctuations in the value of the Fund than for a fund that is more diversified. The value of equities and equity-related securities can be affected by a number of factors including the activities and results of the issuer and general and regional economic and market conditions. This may result in fluctuations in the value of the Fund.

Fund components

Sector exposure

as of 28 Mar 2024 (%)

Country exposure

as of 28 Mar 2024 (%)

Country exposure aggregates the primary country of risk for individual securities.

Sector exposure uses GICS (Global Industry Classification Standard) to classify securities.

Securities lending

 

What is Securities Lending?

Securities Lending is a well-established and tightly regulated practice involving the short-term transfer (loan) of securities. The objective is to enhance the ETF’s overall performance.

When a security is loaned, the borrower (who has been approved by Invesco and the Lending Agent) provides collateral and pays an agreed fee for the duration of the loan. Collateral is an asset that a lender accepts as security for a loan. If the borrower defaults on the loan payments, the lender can seize the collateral and resell it to recoup its losses.

 

How much revenue goes to the ETF?

The ETF will receive 90% of the revenue arising from securities lending, with the remaining 10% deducted by the Lending Agent, Bank of New York Mellon (BNY Mellon), for its fees and to cover direct and indirect operational costs. Invesco will not receive any revenue from the programme.

Risks to consider
Securities lending involves certain risks that an investor should consider, including:

  • The risk of the borrower defaulting on its obligation to return the securities at the end of the loan period, and
  • The risk of the ETF being unable to sell the collateral provided to it if the borrower defaults.

To mitigate these risks, the ETF benefits from a “borrower default indemnity” provided by the Lending Agent, BNY Mellon. The indemnity allows for full replacement of the securities loaned if the collateral does not cover the value of the securities in the event of a borrower default.

To find out more view the Invesco ETFs Securities Lending document in our Documents section.

Securities lending information

Percentage revenue retained by the fund 90%
Maximum amount of fund assets that can be loaned 15%
Maximum amount of any single security that can be loaned 90%
Average amount on loan (29 Feb 2024) 3.75%
Securities lending return (29 Feb 2024) 0.0121%

Average amount on loan is the average percentage of the fund’s assets that were on loan over the previous 12 month period.

Securities lending return is the net securities lending revenue earned over the previous 12 month period, expressed as an annualised percentage return over the fund’s average AUM over the same period.

Assets on Loan

as of 29 Feb 2024 (%)

Collateral Held by Asset Type

as of 28 Mar 2024 (%)

Collateral Held by Country

as of 28 Mar 2024 (%)

Collateral Held by Currency

as of 28 Mar 2024 (%)

Value of Collateral Held

as of 28 Mar 2024 (%)

Top 10 Collateral Exposures as of 28 Mar 2024

Name Cusip ISIN Weight
UNITED STATES TREASURY NOTE 91282CJN2 US91282CJN20 5.62%
US TREASURY INFLATION INDEXED NOTES 912828H45 US912828H458 4.40%
US TREASURY INFLATION INDEXED NOTES 912828XL9 US912828XL95 4.34%
US TREASURY INFLATION INDEXED NOTES 912828S50 US912828S505 4.07%
UNITED STATES TREASURY BOND 912810TN8 US912810TN81 3.75%
UNITED STATES TREASURY NOTE 9128282A7 US9128282A70 3.68%
US TREASURY INFLATION INDEXED BONDS 912810PZ5 US912810PZ57 3.43%
UNITED STATES TREASURY BOND 912810SC3 US912810SC36 3.25%
UNITED STATES TREASURY NOTE 912828ZL7 US912828ZL77 3.20%
Other N/A N/A 64.26%

Key information

Bloomberg ticker VPAC LN
ISIN IE00BHJYDT11
Benchmark BBG ticker PDAR4MID
Management fee 0.50%
NAV (28 Mar 2024) $51.56
AUM $12,033,913
Base currency USD
Replication method Physical
Securities lending Yes
Summary Risk Indicator (SRI) 3
Umbrella AUM (28 Mar 2024) $14,522,758,565

ESG Profile

(Fund 28 Mar 2024)

ESG Rating (AAA-CCC) A
Quality Score (0-10) 6.34
Carbon Intensity 226.13

Source: MSCI ESG Research. For more information on the ESG profile, see the ESG section on this product page. Carbon intensity is the weighted average carbon intensity (Tons CO2e/$million sales).

Costs may increase or decrease as result of currency and exchange rate fluctuations. Consult the legal documents for further information on costs. Returns may increase or decrease as a result of currency fluctuations.

The investment concerns the acquisition of units in a fund and not in a given underlying asset.

Source ICE Data Indices, LLC is used with permission. ICE® is a trademark of ICE Data or its affiliates. This trademark has been licensed, along with the Reference Index for use by the Fund. The Reference Index is maintained and calculated by ICE Data and ICE Data is the administrator of the Reference Index. ICE Data is not affiliated with the Fund or any of its affiliates. The Manager has entered into a license agreement with ICE Data to use the Reference Index. Neither the Manager nor the Fund is sponsored, endorsed, sold or promoted by ICE Data its affiliates or its third-party suppliers (“ICE Data and its Suppliers”). ICE Data and its Suppliers make no representations or warranties regarding the Manager or the Fund or the advisability of investing in securities generally, in the Fund particularly, or the ability of the Reference Index to track general stock market performance. ICE Data’s only relationship to the Manager is the licensing of certain trademarks and trade names and the Reference Index or components thereof. The Reference Index is determined, composed and calculated by ICE Data without regard to the Manager or the Fund or its holders. ICE Data has no obligation to take the needs of the Manager or the holders of the Fund into consideration in determining, composing or calculating the Reference Index. ICE Data is not responsible for and has not participated in the determination of the timing of, prices of, or quantities of the Fund to be issued or in the determination or calculation of the equation by which the Fund is to be priced, sold, purchased, or redeemed. Except for certain custom index calculation services, all information provided by ICE Data is general in nature and not tailored to the needs of the Manager or any other person, entity or group of persons. ICE Data has no obligation or liability in connection with the administration, marketing, or trading of the Fund. ICE Data is not an investment advisor. Inclusion of a security within an index is not a recommendation by ICE Data to buy, sell, or hold such security, nor is it considered to be investment advice.

ICE Data and its suppliers disclaim any and all warranties and representations, express and/or implied, including any warranties of merchantability or fitness for a particular purpose or use, including the reference index, index data and any information included in, related to, or derived therefrom (“index data”). ICE Data and its suppliers shall not be subject to any damages or liability with respect to the adequacy, accuracy, timeliness or completeness of the underlying index and the index data, which are provided on an “as is” basis and your use is at your own risk.

The performance information on this web page refers to past performance. Past performance does not predict future returns.

The data shown on this page is not real-time, i.e. it may be delayed due to mandatory requirements of the data provider. As a consequence, the price of the product linked to a specific underlying you are quoted by your broker or intermediary may substantially differ from the price of the product that you would expect on the basis of the data displayed on this site. Invesco accepts no responsibility for loss, however caused, resulting from errors in this data.

ETF performance is in the fund’s base currency, includes dividends, reinvested. ETF performance is Net Asset Value after management fees and other ETF costs but does not consider any commissions or custody fees payable when buying, holding or selling the ETF. The ETF does not charge entry or exit fees. Data: Invesco.

 

The risk / reward profile classifies the fund by an indicator representing the levels from the lowest (1) to the highest (7). For more information see the KID/KIID.