

Product Details
Invesco Municipal Strategic Income ETF (Fund) is an actively managed exchange-traded fund (ETF) that seeks current income exempt from federal income tax. The Fund seeks its investment objective by investing at least 80% of its net assets in municipal securities exempt from federal income taxes and in other instruments that have similar economic characteristics. The Fund will normally maintain a weighted average portfolio duration of less than 7.5 years.
Performance
Index History (%) | YTD | 1Yr | 3Yr | 5Yr | 10Yr | Since Inception |
---|---|---|---|---|---|---|
S&P Municipal Bond 50% Investment Grade / 50% High Yield Total Return Index (USD) | 2.66 | 1.39 | -0.46 | 1.87 | N/A | 1.56 |
S&P Municipal Bond High Yield Total Return Index (USD) | 4.12 | 0.97 | 0.42 | 2.51 | 4.86 | 2.21 |
Fund History (%) | ||||||
Fund NAV | 2.66 | N/A | N/A | N/A | N/A | 2.13 |
After Tax Held | 1.53 | N/A | N/A | N/A | N/A | 1.01 |
After Tax Sold | 1.57 | N/A | N/A | N/A | N/A | 1.26 |
Fund Market Price | 2.61 | N/A | N/A | N/A | N/A | 1.73 |
Index History (%) | YTD | 1Yr | 3Yr | 5Yr | 10Yr | Since Inception |
---|---|---|---|---|---|---|
S&P Municipal Bond 50% Investment Grade / 50% High Yield Total Return Index (USD) | 3.46 | 3.23 | 0.43 | 2.16 | N/A | 2.34 |
S&P Municipal Bond High Yield Total Return Index (USD) | 4.71 | 3.45 | 1.48 | 2.93 | 4.34 | 2.79 |
Fund History (%) | ||||||
Fund NAV | 3.06 | N/A | N/A | N/A | N/A | 2.54 |
After Tax Held | 2.21 | N/A | N/A | N/A | N/A | 1.69 |
After Tax Sold | 1.81 | N/A | N/A | N/A | N/A | 1.50 |
Fund Market Price | 3.10 | N/A | N/A | N/A | N/A | 2.21 |
This is a new Fund and has no full-year Fund performance to report as of most recent quarter end.
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.
Quality Allocations† as of 09/22/2023
S&P | Moody's |
---|---|
AAA : 0% | Aaa : 2% |
AA : 14% | Aa : 7% |
A : 14% | A : 23% |
BBB : 12% | Baa : 19% |
BB : 11% | Ba : 3% |
B : 0% | B : 2% |
Not Rated : 48% | Not Rated : 44% |
Cash is excluded from the credit rating quality allocations table.
Maturity
Years | % of Fund |
---|---|
0 - 1 years | 1.29 |
1 - 5 years | 9.29 |
5 - 10 years | 19.83 |
10 - 15 years | 30.38 |
15 - 20 years | 12.38 |
20 - 25 years | 8.84 |
25 years and over | 17.99 |
as of 09/22/2023 Top Fixed-Income Holdings | View All
Holding Name | Coupon Rate | Maturity Date | Next Call Date | S&P / Moody's Rating† | Weight |
---|---|---|---|---|---|
California Community Choice Financing Authority | 5.00% | 12/01/2053 | 05/01/2029 | NR/A2 | 3.42% |
Lee Memorial Health System | 4.00% | 04/01/2037 | 04/01/2029 | A+/A2 | 3.19% |
Metropolitan Transportation Authority | 5.00% | 11/15/2037 | 11/15/2026 | BBB+/A3 | 2.58% |
Port of Portland OR Airport Revenue | 5.25% | 07/01/2039 | 07/01/2033 | AA-/NR | 2.50% |
Allentown Neighborhood Improvement Zone Development Authorit | 5.00% | 05/01/2033 | 05/01/2032 | NR/Baa3 | 1.84% |
Utah Telecommunication Open Infrastructure Agency | 5.25% | 06/01/2037 | 06/01/2032 | AA-/NR | 1.83% |
Pennsylvania Economic Development Financing Authority | 5.50% | 06/30/2038 | 12/31/2032 | NR/Baa2 | 1.82% |
Tobacco Settlement Financing Corp | 5.00% | 06/01/2033 | 06/01/2028 | A-/NR | 1.79% |
Metropolitan Washington Airports Authority Aviation Revenue | 5.00% | 10/01/2037 | 10/01/2029 | AA-/Aa3 | 1.76% |
Illinois Finance Authority | 5.00% | 08/15/2052 | 05/15/2027 | AA-/NR | 1.75% |
Holdings are subject to change and are not buy/sell recommendations.
Distributions | Hide View All | Distribution Information
Ex-Date | Record Date | Pay Date | $/ Share |
Ordinary Income | Short Term Gains | Long Term Gains | Return of Capital | Liquidation Distribution |
---|---|---|---|---|---|---|---|---|
09/18/2023 | 09/19/2023 | 09/22/2023 | 0.16963 | 0.16963 | - | - | - | - |
08/21/2023 | 08/22/2023 | 08/25/2023 | 0.17168 | 0.17168 | - | - | - | - |
07/24/2023 | 07/25/2023 | 07/28/0203 | 0.17169 | 0.17169 | - | - | - | - |
06/20/2023 | 06/21/2023 | 06/23/2023 | 0.17048 | 0.17048 | - | - | - | - |
05/22/2023 | 05/23/2023 | 05/26/2023 | 0.17160 | 0.17160 | - | - | - | - |
04/24/2023 | 04/25/2023 | 04/28/2023 | 0.17153 | 0.17153 | - | - | - | - |
03/20/2023 | 03/21/2023 | 03/24/2023 | 0.16826 | 0.16826 | - | - | - | - |
02/21/2023 | 02/22/2023 | 02/24/2023 | 0.17387 | 0.17387 | - | - | - | - |
01/23/2023 | 01/24/2023 | 01/27/2023 | 0.17023 | 0.17023 | - | - | - | - |
Distribution Information
Fund distributions
Dividends from net investment income, if any, are declared and paid quarterly. For Funds on a quarterly dividend payment cycle, the dividend ex-date is the next business day following the third Friday of each March, June, September and December, payable the last business day of April, July, October and December respectively.
The fund distributes its net realized capital gains, if any, to shareholders annually.
Distributions in cash may be reinvested automatically in additional whole shares of the fund only if the broker through whom you purchased shares makes such option available. Shareholders of the fund may contact their broker to determine the availability and costs of the service and the details of participation. Brokers may require shareholders to adhere to specific procedures and timetables. If this service is available and used, dividend distributions of both income and realized gains will be automatically reinvested in additional whole shares of the fund purchased in the secondary market.
Taxes on distributions
In general, your distributions are subject to federal income tax when they are paid, whether you take them in cash or reinvest them in the Fund. Dividends paid out of the Fund's income and net short-term gains, if any, are taxable as ordinary income. Distributions of net long-term capital gains, if any, in excess of net short-term capital losses are taxable as long-term capital gains, regardless of how long you have held the Shares. Dividends from net investment income, if any, are declared and paid quarterly. The Fund may also pay a special distribution at the end of the calendar year to comply with federal tax requirements.
Under the provisions of the Jobs and Growth Tax Relief Reconciliation Act of 2003 (the "2003 Tax Act"), long-term capital gains tax rates have generally been reduced for individuals to a maximum of 15% for taxable years beginning before January 1, 2009. In addition, some ordinary dividends declared and paid by the Fund to individual shareholders may qualify for taxation at the lower reduced tax rates applicable to long-term capital gains, provided that holding period and other requirements are met by the Fund and the shareholder.
Distributions in excess of the Fund's current and accumulated earnings and profits are treated as a tax-free return of capital to the extent of your basis in the Shares, and as capital gain thereafter. A distribution will reduce the Fund's net asset value per Share and may be taxable to you as ordinary income or capital gain even though, from an investment standpoint, the distribution may constitute a return of capital.
By law, the Fund must withhold a percentage of your distributions and proceeds if you have not provided a taxpayer identification number or social security number. The backup withholding rate is currently 28%.
Fund distributions
Dividends from net investment income, if any, are declared and paid either annually, quarterly or monthly, depending on the Fund. For funds on an annual dividend payment cycle, the dividend ex-date is the next business day following the third Friday of December, payable the last business day of the year. For funds on a quarterly dividend payment cycle, the dividend ex-date is the next business day following the third Friday of each March, June, September and December, payable the last business day of the month. For funds on a monthly dividend payment cycle, the dividend ex-date is the next business day following the third Friday of each month, payable the last business day of the month.
The fund distributes its net realized capital gains, if any, to shareholders annually.
Distributions in cash may be reinvested automatically in additional whole shares of the fund only if the broker through whom you purchased shares makes such option available. Shareholders of the fund may contact their broker to determine the availability and costs of the service and the details of participation. Brokers may require shareholders to adhere to specific procedures and timetables. If this service is available and used, dividend distributions of both income and realized gains will be automatically reinvested in additional whole shares of the fund purchased in the secondary market.
Taxes on distributions
In general, your distributions are subject to federal income tax when they are paid, whether you take them in cash or reinvest them in the Fund. Dividends paid out of the Fund's income and net short-term gains, if any, are taxable as ordinary income. Distributions of net long-term capital gains, if any, in excess of net short-term capital losses are taxable as long-term capital gains, regardless of how long you have held the Shares. Dividends from net investment income, if any, are declared and paid quarterly. The Fund may also pay a special distribution at the end of the calendar year to comply with federal tax requirements.
Under the provisions of the Jobs and Growth Tax Relief Reconciliation Act of 2003 (the "2003 Tax Act"), long-term capital gains tax rates have generally been reduced for individuals to a maximum of 15% for taxable years beginning before January 1, 2009. In addition, some ordinary dividends declared and paid by the Fund to individual shareholders may qualify for taxation at the lower reduced tax rates applicable to long-term capital gains, provided that holding period and other requirements are met by the Fund and the shareholder.
Distributions in excess of the Fund's current and accumulated earnings and profits are treated as a tax-free return of capital to the extent of your basis in the Shares, and as capital gain thereafter. A distribution will reduce the Fund's net asset value per Share and may be taxable to you as ordinary income or capital gain even though, from an investment standpoint, the distribution may constitute a return of capital.
By law, the Fund must withhold a percentage of your distributions and proceeds if you have not provided a taxpayer identification number or social security number. The backup withholding rate is currently 28%.
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% |
06/30/2023 | 62 | 35 | 1 | 0 | 0 | 0 | 0 |
03/31/2023 | 62 | 39 | 3 | 0 | 0 | 0 | 0 |
12/31/2022 | 15 | 7 | 8 | 0 | 0 | 0 | 0 |
Year Ended 2022 | 15 | 7 | 8 | 0 | 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% |
06/30/2023 | 62 | 25 | 1 | 0 | 0 | 0 | 0 |
03/31/2023 | 62 | 20 | 0 | 0 | 0 | 0 | 0 |
12/31/2022 | 15 | 0 | 0 | 0 | 0 | 0 | 0 |
Year Ended 2022 | 15 | 0 | 0 | 0 | 0 | 0 | 0 |
Fund Inception : 12/09/2022
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.
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
† Credit ratings are assigned by Nationally Recognized Statistical Rating Organizations based on assessment of the credit worthiness of the underlying bond issuers. The ratings range from AAA (highest) to D (lowest) and are subject to change. Not rated indicates the debtor was not rated, and should not be interpreted as indicating low quality. Futures and other derivatives are not eligible for assigned credit ratings by any NRSRO and are excluded from quality allocations. For more information on rating methodologies, please visit the following NRSRO websites: standardandpoors.com and select "Understanding Ratings" under Rating Resources and moodys.com and select "Rating Methodologies" under Research and Ratings.
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 investment techniques and risk analysis used by the portfolio managers may not produce the desired results.
Interest rate risk refers to the risk that bond prices generally fall as interest rates rise and vice versa. An issuer may be unable to meet interest and/or principal payments, thereby causing its instruments to decrease in value and lowering the issuer’s credit rating. The values of junk bonds fluctuate more than those of high quality bonds and can decline significantly over short time periods.
Municipal securities are subject to the risk that legislative or economic conditions could affect an issuer’s ability to make payments of principal and/ or interest.
The Fund may invest in municipal securities issued by entities having similar characteristics, which may make the Fund more susceptible to fluctuation.
The Fund invests in obligations, exempt from regular federal individual income taxes, of the governments of U.S. territories, commonwealths and possessions such as Puerto Rico, the U.S. Virgin Islands, Guam and the Northern Mariana Islands. As result, the Fund may be adversely affected by local political, economic, social and environmental conditions and developments, including natural disasters affecting such obligations. Certain municipalities the Fund invests in, such as Puerto Rico, have significant financial difficulties, including risk of default, insolvency or bankruptcy; and may be subject to credit rating downgrades affecting the payment of principal and interest, the market values and marketability of such municipal obligations.
Securities which are in the medium- and lower-grade categories generally offer higher yields than are offered by higher-grade securities of similar maturity, but they also generally involve more volatility and greater risks, such as greater credit, market, liquidity, management, and regulatory risks.
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.
A portion of the Fund’s otherwise tax-exempt income may be subject to the federal alternative minimum tax.
The Fund invests in financial instruments that use the London Interbank Offered Rate (“LIBOR”) as a reference or benchmark rate for variable interest rate calculations. LIBOR will be phased out by the end of 2021, and it's anticipated that LIBOR will cease to be published after that time. To assist with the transition, US dollar LIBOR rates will continue to be published until June 2023. There is uncertainty on the effects of the LIBOR transition process, therefore any impact of the LIBOR transition on the Fund or its investments cannot yet be determined. There is no assurance an alternative rate will be similar to, produce the same value or economic equivalence or instruments using the rate will have the same volume or liquidity as LIBOR. Any effects of LIBOR transition and the adoption of alternative rates could result in losses to the Fund.
The Fund’s income may decline when interest rates fall if it holds a significant portion of short duration securities and/or securities with floating or variable interest rates. If the Fund invests in lower yielding bonds, as the bond’s portfolio mature; the Fund will need to purchase additional bonds, thereby reducing its income.
Based on a Master Settlement Agreement (“MSA”) with 46 states and six other US jurisdictions, large US tobacco manufacturers have agreed to make annual payments to government entities in exchange for the release of all litigation claims. Several states have sold bonds backed by those future payments, including (i) bonds that make payments only from a state’s interest in the MSA and (ii) bonds that make payments from both the MSA revenue and from an “appropriation pledge” by the state which requires the state to pass a specific periodic appropriation to make the payments and is generally not an unconditional guarantee of payment by a state. Settlement payments are based on factors, including, but not limited to, annual domestic cigarette shipments, cigarette consumption, inflation and the financial capability of participating tobacco companies. Payments could be reduced if consumption decreases, if market share is lost to non-MSA manufacturers, or if there is a negative outcome in litigation regarding the MSA, including challenges by participating tobacco manufacturers regarding the amount of annual payments owed under the MSA.
The Fund is non-diversified and may experience greater volatility than a more diversified investment.
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 S&P Municipal Bond 50% Investment Grade/50% High Yield is a custom index, created by Invesco as the fund's benchmark, and is composed of the following indexes: S&P Municipal Bond Investment Grade Index (50%) and S&P Municipal Bond High Yield Index (50%).
S&P Municipal Bond High-Yield Index consists of bonds in the S&P Municipal Bond Index that are not rated or are rated below investment grade.