Invesco QQQ Growth Index
Providing access to today's most innovative companies
Invesco QQQ
Equity exposure focused on innovation via Invesco QQQ, an exchange traded fund (ETF) designed to track the Nasdaq-100 Index®
Responsive bond strategy
A dynamic bond strategy is utilized to diversify equity exposure while responding to varying interest rate conditions
Adaptive asset allocation
Exposure to equities, bonds, and cash adjusted daily with Salt Financial’s truVol® technology, with the aim of delivering strong risk-adjusted returns over time
About Invesco QQQ Growth Index
Innovation-oriented equity exposure via Invesco QQQ. Bond exposure that responds to changes in market conditions. Daily, adaptive allocations seek to mitigate wild swings in the market. All delivered in a single, comprehensive package.
How it works
The centerpiece of the Invesco QQQ Growth Index is the Invesco QQQ exchange traded fund (ETF). The fund is designed to track the Nasdaq-100 Index®. Invesco QQQ is committed to innovation, offering investors acess to this fast-growing sector.
The Invesco QQQ Growth Index provides exposure to bonds as an additional and complementary source of returns. Another attractive feature of bonds – and, in particular, US Treasury bonds – is that they often experience less dramatic swings in returns relative to stocks.1
However, a drop in price coupled with higher volatility in 10-year Treasuries often signals a rise in interest rates. When this happens, the index allocates a portion of the bond exposure away from 10-year Treasuries and into 2-year Treasuries, potentially offering more price stability under these conditions. The goal is to provide more defensive exposure and help cushion the impact of declining bond prices.
The index’s exposure to equities, bond, and cash is adjusted daily using Salt Financial’s truVol® technology, with the aim to deliver a smoother performance profile over time.
For instance, when the riskiness of stock holdings rises, the index will shift away from stocks and into bonds, into cash or into a combination of bonds and cash.
On the other hand, as the riskiness of stock holdings decreases, the index will shift away from bonds or cash and into stocks.
Additionally, as the riskiness of the combined allocation of stocks and bonds rises and falls, the index allocates more and less, respectively, to cash.
In periods of high volatility, it may be possible for the index to be comprised heavily or fully of bonds and / or cash, which may persist as volatility is elevated. Due to excess return index construction, cash allocations in the index are non-remunerated.2
Resources
Factsheet
An overview of the index complete with strategy highlights and performance information
Transcript
Methodology
Rules and guidelines followed to build and maintain the index
Transcript
Brochure
Illustrates key facts and features of the index
Transcript
Important information
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1
For the 10-year period from September 30, 2014, to September 30, 2024, the annualized volatility of the S&P 500 Index and Bloomberg U.S. Trsy Bellwether 10-Year TR Index were 15.25% and 7.18%, respectively. Volatility is the standard deviation of returns.
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2
The cash position is non-remunerated means that the amount of readily available cash does not directly generate income or provide any financial return; it simply represents the current level of liquid funds on hand, not a source of earnings itself.
Forward-looking statements are not guarantees of future results. They involve risks, uncertainties and assumptions. There can be no assurance that actual results will not differ materially from expectations.
Diversification/Asset allocation cannot eliminate the risk of fluctuating prices and uncertain returns and does not assure a profit or protect against loss.
In general, equity values fluctuate, sometimes widely, in response to activities specific to the company as well as general market, economic and political conditions.
Investments focused in a particular sector, such as technology, are subject to greater risk, and are more greatly impacted by market volatility, than more diversified investments.
There is no assurance that the index discussed in this material will achieve their investment objectives.
Holding cash or cash equivalents may negatively affect performance.
Although bonds generally present less short-term risk and volatility than stocks, the bond market is volatile and investing in bonds involves interest rate risk; as interest rates rise, bond prices usually fall, and vice versa. Bonds also entail issuer and counterparty credit risk, and the risk of default. Additionally, bonds generally involve greater inflation risk than stocks.
This does not constitute a recommendation of any investment strategy or product for a particular investor. Investors should consult a financial professional before making any investment decisions.
Invesco Indexing LLC is an indirect, wholly owned subsidiary of Invesco Ltd. The group is legally, technologically and physically separate from other business units of Invesco, including the various global investment centers.
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“Copyright © 2024 Salt Financial LLC. “Salt Financial”, “TRUBETA”, and “TRUVOL” are registered trademarks of Salt Financial LLC. These trademarks together with others have been licensed to Invesco Indexing LLC and/or third parties. The redistribution, reproduction and/or photocopying of these materials in whole or in part are prohibited without written permission. This document does not constitute an offer of services in jurisdictions where Salt Financial LLC or its affiliates (collectively “Salt Financial”) do not have the necessary licenses. All information provided by Salt Financial is impersonal and not tailored to the needs of any person, entity or group of persons. Salt Financial receives compensation in connection with licensing its indices to third parties. Past performance of an index is not a guarantee of future results. It is not possible to invest directly in an index. Exposure to an asset class represented by an index is available through investable instruments based on that index. Salt Financial does not sponsor, endorse, sell, promote or manage any investment fund or other investment vehicle that is offered by third parties and that seeks to provide an investment return based on the performance of any index. Salt Financial makes no assurance that investment products based on the indices will accurately track index performance or provide positive investment returns. Salt Financial is not an investment advisor and makes no representation regarding the advisability of investing in any such investment fund or other investment vehicle. A decision to invest in any such investment fund or other investment vehicle should not be made in reliance on any of the statements set forth in this document. Prospective investors are advised to make an investment in any such fund or other vehicle only after carefully considering the risks associated with investing in such funds, as detailed in an offering memorandum or other similar document that is prepared by or on behalf of the issuer of the investment fund or other investment product or vehicle. Salt Financial is not a tax advisor. A tax advisor should be consulted to evaluate the impact of any tax-exempt securities on portfolios and the tax consequences of making any particular investment decision. Inclusion of a security within an index is not a recommendation by Salt Financial to buy, sell, or hold such security, nor is it intended to be investment advice and should not be construed as such. These materials have been prepared solely for informational purposes based upon information generally available to the public and from sources believed to be reliable. No content contained in these materials (including index data, ratings, credit-related analyses and data, research, valuations, model, software or other application or output therefrom) or any part thereof (“Content”) may be modified, reverse engineered, reproduced or distributed in any form or by any means, or stored in a database or retrieval system, without the prior written permission of Salt Financial. The Content shall not be used for any unlawful or unauthorized purposes. Salt Financial and its third-party data providers and licensors (collectively, the “Salt Financial Parties”) do not guarantee the accuracy, completeness, timeliness or availability of the Content. The Salt Financial Parties are not responsible for any errors or omissions, regardless of the cause, for the results obtained from the use of the Content. THE CONTENT IS PROVIDED ON AN “AS IS” BASIS. THE SALT FINANCIAL PARTIES DISCLAIM ANY AND ALL EXPRESS OR IMPLIED WARRANTIES, INCLUDING, BUT NOT LIMITED TO, ANY WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE, FREEDOM FROM BUGS, SOFTWARE ERRORS OR DEFECTS, THAT THE CONTENT’S FUNCTIONING WILL BE UNINTERRUPTED OR THAT THE CONTENT WILL OPERATE WITH ANY SOFTWARE OR HARDWARE CONFIGURATION. In no event shall the Salt Financial Parties be liable to any party for any direct, indirect, incidental, exemplary, compensatory, punitive, special or consequential damages, costs, expenses, legal fees, or losses (including, without limitation, lost income or lost profits and opportunity costs) in connection with any use of the Content even if advised of the possibility of such damages.
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