Alternative | Commodities

Invesco Optimum Yield Diversified Commodity Strategy No K-1 ETF

Ticker: PDBC
How to invest

Product Details

The Invesco Optimum Yield Diversified Commodity Strategy No K-1 ETF (Fund) is an actively managed exchange-traded fund (ETF) that seeks to achieve its investment objective by investing in commodity-linked futures and other financial instruments that provide economic exposure to a diverse group of the world's most heavily traded commodities. The Fund seeks to provide long-term capital appreciation using an investment strategy designed to exceed the performance of DBIQ Optimum Yield Diversified Commodity Index Excess Return™ (DBIQ Opt Yield Diversified Comm Index ER) (Benchmark), an index composed of futures contracts on 14 heavily traded commodities across the energy, precious metals, industrial metals and agriculture sectors.

as of 08/31/2022

Morningstar Rating

Overall Rating - Commodities Broad Basket Category

As of 08/31/2022 the Fund had an overall rating of 4 stars out of 102 funds and was rated 4 stars out of 102 funds, 4 stars out of 86 funds and N/A stars out of N/A funds for the 3-, 5- and 10- year periods, respectively.

Morningstar details

Source: Morningstar Inc. Ratings are based on a risk-adjusted return measure that accounts for variation in a fund's monthly performance, placing more emphasis on downward variations and rewarding consistent performance. Open-end mutual funds and exchange-traded funds are considered a single population for comparison purposes. Ratings are calculated for funds with at least a three year history. The overall rating is derived from a weighted average of three-, five- and 10-year rating metrics, as applicable, excluding sales charges and including fees and expenses. ©2022 Morningstar Inc. All rights reserved. The information contained herein is proprietary to Morningstar and/or its content providers. It may not be copied or distributed and is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance does not guarantee future results. The top 10% of funds in a category receive five stars, the next 22.5% four stars, the next 35% three stars, the next 22.5% two stars and the bottom 10% one star. Ratings are subject to change monthly. Had fees not been waived and/or expenses reimbursed currently or in the past, the Morningstar rating would have been lower. Ratings for other share classes may differ due to different performance characteristics.

as of 08/31/2022 06/30/2022

Performance

Index History (%) YTD 1Yr 3Yr 5Yr 10Yr Since Inception
DBIQ Opt Yield Diversified Comm Index ER 24.87 35.08 21.21 11.71 -0.36 2.62
DBIQ Opt Yield Diversified Comm Index TR 25.82 36.12 21.91 12.97 0.30 3.49
Fund History (%)
Fund NAV 24.38 33.97 20.80 11.66 N/A 2.49
After Tax Held 24.38 13.81 14.19 7.50 N/A -0.32
After Tax Sold 14.43 17.23 12.76 6.92 N/A 0.49
Fund Market Price 23.60 33.48 20.68 11.59 N/A 2.43
Index History (%) YTD 1Yr 3Yr 5Yr 10Yr Since Inception
DBIQ Opt Yield Diversified Comm Index ER 28.79 39.36 19.98 13.39 1.04 3.10
DBIQ Opt Yield Diversified Comm Index TR 29.23 39.87 20.65 14.61 1.67 3.93
Fund History (%)
Fund NAV 28.51 38.35 19.68 13.41 N/A 2.98
After Tax Held 28.51 17.53 13.13 9.19 N/A 0.10
After Tax Sold 16.88 19.43 11.78 8.26 N/A 0.81
Fund Market Price 28.22 38.26 19.79 13.39 N/A 2.97

Invesco Optimum Yield Diversified Commodity Strategy ETF (PDBC) seeks to outperform the excess return version of its Benchmark (DBLCDBCE). Because PDBC collateralizes its futures positions, the results of the total return version of the Benchmark, (DBIQ Optimum Yield Diversified Commodity Index Total Return™ or DBIQ Opt Yield Diversified Comm Index TR) are also displayed.


Market returns are based on the midpoint of the bid/ask spread at 4 p.m. ET and do not represent the returns an investor would receive if shares were traded at other times. Performance data quoted represents past performance, which is not a guarantee of future results. Investment returns and principal value will fluctuate, and shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than performance data quoted. After-tax returns reflect the highest federal income tax rate but exclude state and local taxes. Fund performance reflects applicable fee waivers, absent which, performance data quoted would have been lower. After Tax Held and After Tax Sold are based on NAV. Returns less than one year are cumulative.

An investor cannot invest directly in an index. The results assume that no cash was added to or assets withdrawn from the Index. Index returns do not represent Fund returns. The Index does not charge management fees or brokerage expenses, nor does the Index lend securities, and no revenues from securities lending were added to the performance shown.

as of 06/30/2022

Growth of $10,000

Data beginning Fund inception and ending 06/30/2022. Fund performance shown at NAV.

Performance data quoted represents past performance. PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. Call 800-983-0903 for the most recent month-end performance numbers. Investment returns and principal value will fluctuate and shares of the Fund, when redeemed, may be worth more or less than their original cost. Returns less than one year are cumulative. An investor cannot invest directly in an index.

The Fund seeks to track the excess return version of the Index (DBLCDBCE). Because the Fund collateralizes its futures positions with primarily US Treasuries, the results of the total return version of the Index (DBLCDBCT) are also displayed.
An investor cannot invest directly in an index. The results assume that no cash was added to or assets withdrawn from the Index. Index returns do not represent Fund returns. The Index does not charge management fees or brokerage expenses, nor does the Index lend securities, and no revenues from securities lending were added to the performance shown.

as of 09/30/2022 Holdings | View All

Fund Holdings subject to change

Futures % of Net Assets
NY Harbor ULSD 2.81
Gasoline 2.02
Brent Crude 1.89
WTI Crude 1.83
Natural Gas 1.41
Gold 1.06
Corn 1.02
Wheat 0.96
Soybeans 0.94
Sugar 0.77
Zinc 0.58
Aluminium 0.56
Copper 0.48
Silver 0.23
Swaps % of Net Assets
Pay J. P. MORGAN JMCUINVE INDEX JMCUINVE JPMS_US_DVAT 10/4/2022 -0.23
Pay CB CIXBICPI CITI_US_DVPS 10/4/2022 -0.61
Pay BOFA MERRILL LYNCH COMMODITY MLBXIVMB EXCESS RETURN STRATEGY MLBXIVMB BAML_US_DVPS 10/4/2022 -0.69
Pay MANAGED COMMODITY STRATEGY GSEBA001 GSEBA001 GOLD_US_DVPS 10/4/2022 -0.77
Pay MORGAN STANLEY MSCYIZ01 MSCYIZ01 MORG_US_DVPS 10/4/2022 -0.84
Pay RBC ENHANCED PS01 ER RBCAPS01 RBC_US_DVPS 10/4/2022 -0.92
Pay MACQUARIE INDEX MQCP322E MQCP322E MACQ_US_DVPS 10/4/2022 -0.92

Collateral % of Net Assets
United States Treasury Bill 52.14
Invesco Government & Agency Portfolio 37.75
Invesco US Dollar Liquidity Portfolio 6.66
Cash/Receivables/Payables 1.57
Pay J. P. MORGAN JMCUINVE INDEX JMCUINVE JPMS_US_DVAT 10/4/2022 -
Pay CB CIXBICPI CITI_US_DVPS 10/4/2022 -
Pay BOFA MERRILL LYNCH COMMODITY MLBXIVMB EXCESS RETURN STRATEGY MLBXIVMB BAML_US_DVPS 10/4/2022 -
Pay MANAGED COMMODITY STRATEGY GSEBA001 GSEBA001 GOLD_US_DVPS 10/4/2022 -
Pay MORGAN STANLEY MSCYIZ01 MSCYIZ01 MORG_US_DVPS 10/4/2022 -
Pay RBC ENHANCED PS01 ER RBCAPS01 RBC_US_DVPS 10/4/2022 -
Pay MACQUARIE INDEX MQCP322E MQCP322E MACQ_US_DVPS 10/4/2022 -

NY Harbor ULSD has previously been referred to as Heating Oil.

A negative in Cash or Other, as of the date shown, is normally due to fund activity that has accrued or is pending settlement.

The characterizations of distributions reflected in this table are as of the date noted below. The actual amounts of income, capital gains and return of capital for tax purposes are only determined after the Fund’s fiscal year end, and may differ from the amounts and characterizations reflected in the chart below. Please refer to the Tax Center for the most current and/or final characterizations of these distributions, including any distributions characterized as return of capital.

Distributions | HideView All | Distribution Information

Ex-Date Record Date Pay Date $/
Share
Ordinary Income Short Term Gains Long Term Gains Return of Capital Liquidation Distribution
12/20/2021 12/21/2021 12/31/2021 1.75736 1.75736 - - - -
12/03/2021 12/06/2021 12/10/2021 5.39000 5.39000 - - - -
12/21/2020 12/22/2020 12/31/2020 0.00128 0.00128 - - - -
12/23/2019 12/24/2019 12/31/2019 0.23188 0.23188 - - - -
12/24/2018 12/26/2018 12/31/2018 0.15074 0.15074 - - - -
12/18/2017 12/19/2017 12/29/2017 0.66914 0.66914 - - - -
12/16/2016 12/20/2016 12/30/2016 1.12416 1.12416 - - - -

Frequency Distribution of Discounts & Premiums

    Bid/Ask MidPoint Above NAV
Quarter
Ending
Days 0.00-
0.25%
0.26-
0.50%
0.51-
0.99%
1.00-
1.49%
1.50-
1.99%
≥2.00%
06/30/2022 62 27 6 4 0 0 0
03/31/2022 62 17 12 4 1 1 0
12/31/2021 64 24 7 2 0 0 0
09/30/2021 64 22 4 0 0 0 0
Year Ended 2021 252 107 20 2 0 0 0
    Bid/Ask Midpoint Below NAV
Quarter
Ending
Days 0.00-
0.25%
0.26-
0.50%
0.51-
0.99%
1.00-
1.49%
1.50-
1.99%
≥2.00%
06/30/2022 62 15 7 3 0 0 0
03/31/2022 62 15 5 5 2 0 0
12/31/2021 64 23 8 0 0 0 0
09/30/2021 64 33 5 0 0 0 0
Year Ended 2021 252 102 20 0 1 0 0

Fund Inception : 11/07/2014

Shareholders may pay more than net asset value when they buy Fund shares and receive less than net asset value when they sell those shares, because shares are bought and sold at current market prices. Performance data quoted represents past performance, which is not a guarantee of future results.

Premiums/Discounts

Shareholders may pay more than net asset value when they buy Fund shares and receive less than net asset value when they sell those shares, because shares are bought and sold at current market prices. Performance data quoted represents past performance, which is not a guarantee of future results.

 Risk & Other Information

There are risks involved with investing in ETFs, including possible loss of money. Actively managed ETFs do not necessarily seek to replicate the performance of a specified index. Actively managed ETFs are subject to risks similar to stocks, including those related to short selling and margin maintenance. Ordinary brokerage commissions apply. The Fund's return may not match the return of the Index. The Fund is subject to certain other risks. Please see the current prospectus for more information regarding the risk associated with an investment in the Fund.

The Fund is subject to management risk because it is an actively managed portfolio. The investment techniques and risk analysis used by the portfolio managers may not produce the desired results.

Risks of futures contracts include: an imperfect correlation between the value of the futures contract and the underlying commodity; possible lack of a liquid secondary market; inability to close a futures contract when desired; losses due to unanticipated market movements; obligation for the Fund to make daily cash payments to maintain its required margin; failure to close a position may result in the Fund receiving an illiquid commodity; and unfavorable execution prices.

In pursuing its investment strategy, particularly when "rolling" futures contracts, the Fund may engage in frequent trading of its portfolio securities, resulting in a high portfolio turnover rate.

Commodity-linked notes may involve substantial risks, including risk of loss of a significant portion of principal and risks resulting from lack of a secondary trading market, temporary price distortions, and counterparty risk.

Swaps involve greater risks than direct investments. Swaps are subject to leveraging, liquidity and counterparty risks, and therefore may be difficult to value. Adverse changes in the value or level of the swap can result in gains or losses that are substantially greater than invested, with the potential for unlimited loss.

Derivatives may be more volatile and less liquid than traditional investments and are subject to market, interest rate, credit, leverage, counterparty and management risks. An investment in a derivative could lose more than the cash amount invested.

To qualify as a regulated investment company (“RIC”), the Fund must meet a qualifying income test each taxable year. Failure to comply with the test would have significant negative tax consequences for shareholders. The Fund believes that income from futures should be treated as qualifying income for purposes of this test, thus qualifying the Fund as a RIC. If the IRS were to determine that the Fund’s income is derived from the futures did not constitute qualifying income, the Fund likely would be required to reduce its exposure to such investments in order to maintain its RIC status.

The Fund’s strategy of investing through its Subsidiary in derivatives and other financially-linked instruments whose performance is expected to correspond to the commodity markets may cause the Fund to recognize more ordinary income. Particularly in periods of rising commodity values, the Fund may recognize higher-than-normal ordinary income. Investors should consult with their tax advisor and review all potential tax considerations when determining whether to invest.

Leverage created from borrowing or certain types of transactions or instruments may impair liquidity, cause positions to be liquidated at an unfavorable time, lose more than the amount invested, or increase volatility.

The Fund may hold illiquid securities that it may be unable to sell at the preferred time or price and could lose its entire investment in such securities.

The Fund currently intends to effect creations and redemptions principally for cash, rather than principally in-kind because of the nature of the Fund's investments. As such, investments in the Fund may be less tax efficient than investments in ETFs that create and redeem in-kind.

The Shares of the Fund are not deposits, interests in or obligations of any Deutsche Bank AG, Deutsche Bank AG London Branch, Deutsche Bank Securities Inc. or any of their respective subsidiaries or affiliates or any other bank (collectively, the "DB Parties") and are not guaranteed by the DB Parties.

DBIQ Optimum Yield Diversified Commodity Index Excess ReturnTM and DBIQ Optimum Yield Diversified Commodity Index Total ReturnTM (the ""Indices"") are products of Deutsche Bank AG and/or its affiliates. Information regarding these Indices is reprinted with permission. Deutsche Bank® DBTM, DBIQ®, Optimum YieldTM, DBIQ Optimum Yield Diversified Commodity Index Excess ReturnTM and DBIQ Optimum Yield Diversified Commodity Index Total ReturnTM are trademarks of Deutsche Bank AG. The Indices and trademarks have been licensed for use for certain purposes by Invesco Capital Management LLC, an affiliate of Invesco Distributors, Inc. The Fund is not sponsored, endorsed, sold or promoted by DB Parties or their third party licensors and none of such parties makes any representation, express or implied, regarding the advisability of investing in the Fund, nor do such parties have any liability for errors, omissions, or interruptions in the Indices. The Indices are calculated and administered by DB Parties without regards to the Fund.

Invesco Capital Management LLC and Invesco Distributors, Inc. are not affiliated with Deutsche Bank Securities Inc.

Beta is a measure of risk representing how a security is expected to respond to general market movements. Smart Beta represents an alternative and selection index based methodology that seeks to outperform a benchmark or reduce portfolio risk, or both. Smart beta funds may underperform cap-weighted benchmarks and increase portfolio risk.