Introduction to Invesco’s thematic ETFs
Invesco recently introduced three new thematic ETFs, offering investors targeted access to rapidly growing sectors such as artificial intelligence (AI), cybersecurity and defense. These ETFs are designed to capitalize on the long-term trends that are shaping the future of the global economy. With the increase in cyber threats and the expansion of AI applications, the demand for investments in these areas is constantly growing
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Collaboration with Kensho for innovative indices
Each Invesco ETF will follow innovative indices developed by Kensho, a division of S&P Global Indices that specializes in the application of AI. This collaboration is crucial to ensure that investors can benefit from a cutting-edge approach to market analysis. Gary Buxton, head of EMEA and APAC ETFs at Invesco, emphasized the importance of exploiting AI to identify the most promising investment opportunities, in a context of
increasing complexity and risk.
ESG filters and company selection
A distinctive aspect of Invesco ETFs is the integration of ESG (environmental, social and governance) filters. The indices for Artificial Intelligence Enablers and Cybersecurity exclude companies involved in controversial business activities or that do not comply with the principles of the United Nations Global Compact. This approach not only promotes responsible investments, but it also offers investors greater peace of mind regarding the sustainability of their choices. Companies are classified into two categories: ‘Core’ and ‘Non-Core’, with a particular focus on the former, which represent the most active companies in
the sector.
Competitive costs and benefits for investors
Another strength of Invesco’s new ETFs is their competitive cost. With annual fees of 0.35%, these ETFs rank among the most affordable on the market. Chris Mellor, head of managing ETF equity products at Invesco, highlighted how these reduced costs, together with the experience of the index provider, make these ETFs an attractive option for investors. In addition, the fair weighting of the companies within each group ensures effective diversification, thus maximizing return potential
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Expansion of Invesco’s thematic offering
With the launch of these three new ETFs, Invesco is further expanding its thematic offering, which already includes products focused on emerging technologies such as blockchain, biotechnology and clean energy. This diversification allows investors to explore a range of opportunities in innovative sectors, thus responding to the needs of a constantly evolving market. Invesco’s strategy aims to position investors at the forefront of future trends, while ensuring a responsible and sustainable approach to investments
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