Invesco Lists Two US Dollar Corporate Bond ETFs on London Stock Exchange

Invesco has listed two new US dollar-denominated corporate bond exchange-traded funds on the London Stock Exchange as of 2 March 2026.

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Article created by the editorial staff of ETFWorld.co.uk

Matthew Tagliani, Head of ETF Product EMEA at Invesco

The funds are designed to offer exposure to investment grade corporate bonds with a rules-based mechanism to increase yield relative to the broad market.

Invesco USD IG Corporate Bond Yield Plus UCITS ETF Dist

This ETF tracks the iBoxx USD Corporates Investment Grade Spread Select Top 50% TCA Index. The index selects bonds from the broader iBoxx USD Corporates Index based on their benchmark spread—the premium over the yield of a default-free bond with a similar maturity. At each quarterly rebalancing, bonds are grouped into 20 categories by maturity and sector. The top 50 per cent of bonds with the highest spreads within each category are selected for the index, which is market value weighted.

The fund distributes income quarterly. Invesco uses a sampling strategy to track the index, employing quantitative analysis to select securities based on factors including weighted average duration and credit quality.

Invesco USD IG Corporate Bond Yield Plus UCITS ETF GBP Hdg Dist

This share class follows the same index and investment strategy as the base USD fund but includes currency hedging. The ETF enters into foreign exchange transactions to minimise exposure to fluctuations between the US dollar and British pound. It also distributes income quarterly.

Index methodology

Both ETFs track an index that applies a rules-based approach to yield enhancement. The index uses the benchmark spread to identify bonds offering higher premiums within their maturity and sector groups. The selection process runs quarterly, and the index is reconstituted at those intervals. The strategy is intended to maintain broadly similar risk characteristics to the parent index while aiming for higher income .

The funds are passively managed index-tracking ETFs. Investors acquire units in the fund rather than direct ownership of the underlying bonds.

Source: ETFWorld.co.uk