Alternative | Hedged Equity

Invesco S&P 500® Downside Hedged ETF

Ticker: PHDG

Product Details

The Invesco S&P 500® Downside Hedged ETF (Fund) is an actively managed exchange-traded fund (ETF) that seeks to achieve positive total returns in rising or falling markets that are not directly correlated to broad equity or fixed-income market returns. The Fund seeks to achieve its investment objective by allocating its assets among components of the S&P 500 Dynamic VEQTOR Index (Benchmark). The Benchmark is composed of three types of components: (i) equity, represented by the S&P 500 Index; (ii) volatility hedge, represented by the S&P 500 VIX Short-Term Futures Index; and (iii) cash. The Benchmark is designed to measure the performance of the broad equity markets with an implied volatility1 hedge. The Fund allows investors to receive exposure to the equity and volatility of the S&P 500 Index in a dynamic framework. The Fund allows investors to receive exposure to the equity and volatility of the S&P 500 Index in a dynamic framework.

as of 09/30/2022

Morningstar Rating

Overall Rating - Long-Short Equity Category

As of 09/30/2022 the Fund had an overall rating of 5 stars out of 178 funds and was rated 5 stars out of 178 funds, 5 stars out of 158 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 10/31/2022 09/30/2022

Performance

Index History (%) YTD 1Yr 3Yr 5Yr 10Yr Since Inception
S&P 500 Dynamic VEQTOR Index -6.57 -3.33 10.78 7.49 5.87 6.00
S&P 500 Index -17.70 -14.61 10.22 10.44 12.79 12.87
U.S. 3-Month Treasury Bill Index 1.29 1.30 0.65 1.18 0.71 0.71
Fund History (%)
Fund NAV -6.89 -3.78 10.51 6.96 N/A 5.36
After Tax Held -7.12 -4.05 10.14 6.44 N/A 4.56
After Tax Sold -4.08 -2.24 8.02 5.20 N/A 3.83
Fund Market Price -7.03 -3.51 10.67 6.99 N/A 5.37
Index History (%) YTD 1Yr 3Yr 5Yr 10Yr Since Inception
S&P 500 Dynamic VEQTOR Index -9.71 -3.52 8.73 7.06 5.45 5.69
S&P 500 Index -23.87 -15.47 8.16 9.24 11.70 12.09
U.S. 3-Month Treasury Bill Index 0.99 1.00 0.60 1.13 0.68 0.66
Fund History (%)
Fund NAV -10.23 -4.23 8.36 6.48 N/A 5.01
After Tax Held -10.45 -4.51 7.99 5.96 N/A 4.21
After Tax Sold -6.05 -2.50 6.32 4.82 N/A 3.55
Fund Market Price -10.32 -4.40 8.53 6.55 N/A 5.03

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.

as of 09/30/2022

Growth of $10,000

Data beginning Fund inception and ending 09/30/2022. Fund performance shown at NAV.

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 12/01/2022

Fund Allocation

Fund Percent of Fund
Equities 86.00%
Cash 5.47%
VIX 8.53%

as of 12/01/2022 Top Holdings | View All

Fund Holdings subject to change

Ticker Company % of Fund
99CEFEEF5 Cash/Receivables/Payables 8.98
AGPXX Invesco Government & Agency Portfolio 5.47
ESZ2 CME E-Mini Standard & Poor's 500 Index Future 5.10
AAPL Apple Inc 4.70
UXZ2 CBOE Volatility Index Future 4.37
UXF3 CBOE Volatility Index Future 4.17
MSFT Microsoft Corp 3.98
AMZN Amazon.com Inc 1.77
GOOGL Alphabet Inc 1.27
BRK/B Berkshire Hathaway Inc 1.19
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
09/19/2022 09/20/2022 09/23/2022 0.09628 0.09628 - - - -
06/21/2022 06/22/2022 06/30/2022 0.06884 0.06884 - - - -
03/21/2022 03/22/2022 03/31/2022 0.04879 0.04879 - - - -
12/20/2021 12/21/2021 12/31/2021 0.03163 0.03163 - - - -
09/20/2021 09/21/2021 09/30/2021 0.04217 0.04217 - - - -
06/21/2021 06/22/2021 06/30/2021 0.03779 0.03779 - - - -
03/22/2021 03/23/2021 03/31/2021 0.05475 0.05475 - - - -
12/21/2020 12/22/2020 12/31/2020 0.04536 0.04536 - - - -
09/21/2020 09/22/2020 09/30/2020 0.04428 0.04428 - - - -
06/22/2020 06/23/2020 06/30/2020 0.05841 0.05841 - - - -
03/23/2020 03/24/2020 03/31/2020 0.06170 0.06170 - - - -
12/23/2019 12/24/2019 12/31/2019 0.19714 0.19714 - - - -
09/23/2019 09/24/2019 09/30/2019 0.11756 0.11756 - - - -
06/24/2019 06/25/2019 06/28/2019 0.09701 0.09701 - - - -
03/18/2019 03/19/2019 03/29/2019 0.09111 0.09111 - - - -
12/24/2018 12/26/2018 12/31/2018 0.14528 0.14528 - - - -
09/24/2018 09/25/2018 09/28/2018 0.11029 0.11029 - - - -
06/18/2018 06/19/2018 06/29/2018 0.09469 0.09469 - - - -
03/19/2018 03/20/2018 03/29/2018 0.05979 0.05979 - - - -
12/18/2017 12/19/2017 12/29/2017 0.25058 0.25058 - - - -
09/18/2017 09/19/2017 09/29/2017 0.18118 0.18118 - - - -
06/16/2017 06/20/2017 06/30/2017 0.06668 0.06668 - - - -
12/16/2016 12/20/2016 12/30/2016 0.27432 0.27432 - - - -
09/16/2016 09/20/2016 09/30/2016 0.09510 0.09510 - - - -
06/17/2016 06/21/2016 06/30/2016 0.11704 0.11704 - - - -
03/18/2016 03/22/2016 03/31/2016 0.06398 0.06398 - - - -
12/24/2015 12/29/2015 12/31/2015 0.04366 0.04366 - - - -
12/18/2015 12/22/2015 12/31/2015 0.14654 0.14654 - - - -
09/18/2015 09/22/2015 09/30/2015 0.07053 0.07053 - - - -
06/19/2015 06/23/2015 06/30/2015 0.07770 0.07770 - - - -
03/20/2015 03/24/2015 03/31/2015 0.06713 0.06713 - - - -
12/24/2014 12/29/2014 12/31/2014 1.23409 - 1.12623 0.10786 - -
12/19/2014 12/23/2014 12/31/2014 0.10420 - - - - -
09/19/2014 09/23/2014 09/30/2014 0.05248 - - - - -
06/20/2014 06/24/2014 06/30/2014 0.06288 - - - - -
03/21/2014 03/25/2014 03/31/2014 0.06531 - - - - -
12/20/2013 12/24/2013 12/31/2013 0.29210 - - - - -
09/20/2013 09/24/2013 09/30/2013 0.04546 - - - - -
06/21/2013 06/25/2013 06/28/2013 0.08291 - - - - -
03/15/2013 03/19/2013 03/28/2013 0.07096 - - - - -
12/21/2012 12/26/2012 12/31/2012 0.02307 - - - - -

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%
09/30/2022 64 31 1 0 0 0 0
06/30/2022 62 28 1 0 0 0 0
03/31/2022 62 34 9 1 0 0 0
12/31/2021 64 42 11 0 0 0 0
Year Ended 2021 252 156 38 1 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%
09/30/2022 64 31 1 0 0 0 0
06/30/2022 62 28 5 0 0 0 0
03/31/2022 62 16 2 0 0 0 0
12/31/2021 64 10 1 0 0 0 0
Year Ended 2021 252 49 8 0 0 0 0

Fund Inception : 12/06/2012

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

1 "Implied volatility" is a measure of the expected volatility of the S&P 500® Index that is reflected in the value of the Chicago Board Options Exchange ("CBOE") Volatility Index ("VIX Index"). Known as the "fear gauge" of the broader U.S. equities market, the VIX Index measures market volatility in large capitalization U.S. stocks and is calculated based on the prices of certain put and call options on the S&P 500® Index.

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.

The Chicago Board Options Exchange (CBOE) can make methodological changes to the calculation of the VIX Index that could affect the value of the futures contracts, which could affect the value of your investment.

The Fund may enter into futures contracts on the VIX Index and S&P 500® Index but will not use them for speculative purposes. Futures contracts normally specify a certain date for delivery of the underlying asset for settlement in cash based on the value of that asset. Futures contracts provide for the future sale by one party and purchase by another party of a specified amount of a specific instrument or index at a specified future time and at a specified price. Investments in futures contracts on the S&P 500® Index may expose the Fund to counterparty risk with respect to an exchange (i.e., the risk that an exchange or its affiliates will be unable to perform its obligations under the terms of the futures contracts or otherwise defaults).

An investment in exchange-traded funds (ETFs) may trade at a discount to net asset value, fail to develop an active trading market, halt trading on the listing exchange, fail to track the referenced index, or hold troubled securities. ETFs may involve duplication of management fees and certain other expenses. Certain of the ETFs the fund invests in are leveraged, which can magnify any losses on those investments.

Exchange-traded notes (ETNs) are subject to credit risk of the issuer, and the value of the ETN may drop due to a downgrade in the issuer’s credit rating, despite the underlying market benchmark or strategy remaining unchanged.

The Fund currently intends to effect creations and redemptions partially in exchange for cash and partially in kind. However, the Fund also reserves the right to permit or require Creation Units to be issued principally in exchange for cash or in kind. As such, investments in the Fund may be less tax efficient than investments in ETFs that create and redeem principally in-kind.

The Fund is designed to achieve positive total returns in rising or falling markets. Significant short-term price movements could adversely affect the performance of the Fund and cause substantial losses.

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.

Interest rate risk refers to the risk that bond prices generally fall as interest rates rise and vice versa.

The Fund’s investments in futures contracts will cause it to be deemed to be a commodity pool, subjecting it to regulation under the Commodity Exchange Act and Commodity Futures Trading Commission (CFTC) rules. The Adviser, a registered Commodity Pool Operator (CPO) and commodity trader advisor (CTA), and the Fund will be operated in accordance with CFTC rules. Registration as a CPO or CTA subjects he Adviser to additional laws, regulations and enforcement policies; all of which could increase compliance costs, affect the operations and financial performance. Registration as a commodity pool may have negative effects on the ability of the Fund to engage in its planned investment program.

The tax treatment of futures may be adversely affected by changes in legislation, regulations or other legally binding authority. If, as a result of any such adverse action, the income of the Fund from certain futures was treated as non-qualifying income, the Fund might fail to qualify as a regulated investment company and be subject to federal income tax at the Fund level.

The Fund may engage in frequent trading of its portfolio securities in connection with the rebalancing or adjustment of the Underlying Index.

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.

Although, the Adviser actively manages the allocation of the Fund's sleeves, the equity sleeve is “passively” invested in components of the S&P 500® Index. Therefore, the Fund would not necessarily buy/sell a security in its equity sleeve unless that security is added/removed from the S&P 500® Index, even if that security is underperforming. If a specific security is removed from the the S&P 500® Index, the Fund may be forced to sell the security at an inopportune time or for a price lower than its current market value.

The T-Bill 3 Month Index (U.S. Treasury Bills Index) is tracked by Lipper to provide performance for the 3-month U.S. Treasury Bill. The VIX Index is a theoretical calculation and cannot be traded. The VIX Index measures the 30-day forward volatility of the S&P 500 Index as calculated based on the prices of certain put and call options on the S&P 500 Index.

S&P® is a registered trademark of Standard & Poor's Financial Services LLC (S&P) and Dow Jones® is a registered trademark of Dow Jones Trademark Holdings LLC (Dow Jones). These trademarks have been licensed for use by S&P Dow Jones Indices LLC. S&P® and Standard & Poor's® are trademarks of S&P and Dow® is a trademark of Dow Jones. These trademarks have been sublicensed for certain purposes by Invesco Capital Management LLC. The Index is a product of S&P Dow Jones Indices LLC and/or its affiliates and has been licensed for use by Invesco. The Fund is not sponsored, endorsed, sold or promoted by S&P Dow Jones Indices LLC, Dow Jones, S&P or their respective affiliates and neither S&P Dow Jones Indices LLC, Dow Jones, S&P or their respective affiliates make any representation regarding the advisability of investing in such product(s).