Invesco All Country World Enhanced Equity UCITS ETF makes its debut on the LSE

The Invesco All Country World Enhanced Equity UCITS ETF Acc (ISIN IE000S0JMIY6) has been listed on the London Stock Exchange since 21 August 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 new actively managed ETF combines Value, Quality and Momentum factors across global equities; its TER is 0.24%.

The fund is a sub-fund of the actively managed Invesco Markets II plc; it invests in large- and mid-cap equities from developed and emerging markets and aims to outperform, net of costs, the MSCI ACWI Index. On the same day, it was also admitted to trading on Deutsche Börse’s Xetra; the total annual expense ratio (TER) is 0.24 per cent.

How the fund works

The ETF does not passively track an index. The sub-manager uses a proprietary quantitative model to evaluate a broad universe of global securities, comparing companies within their respective sectors to make them comparable. The objective is to achieve risk-adjusted returns over the long term that exceed the average of developed and emerging equity markets; the MSCI ACWI serves merely as a point of reference, not a benchmark to be replicated.

Three-factor strategy

Securities selection is based on:

Value: companies with low valuations relative to their fundamentals;

Quality: companies with sound balance sheets and stable profitability;

Momentum: shares with a relatively positive recent price trend.

The optimisation model seeks the best balance between exposure to the three factors, control of overall risk and minimisation of transaction costs associated with share turnover. The entire process – factor analysis, risk modelling and portfolio construction – is updated monthly, and positions are rebalanced accordingly.

Listings

In addition to the LSE, the fund is now traded on Xetra, with settlement in euros and clearing via a central counterparty, and is also available on the SIX Swiss Exchange. This multi-listed structure follows the practice of Invesco’s other ‘Enhanced Equity’ sub-funds, which are already listed in Milan, London, Frankfurt and Amsterdam.

Costs and positioning

With a TER of 0.24%, the fund is more expensive than the leading passive ETFs tracking the MSCI ACWI, which typically have annual costs of between 0.12% and 0.20%. The difference reflects active management and monthly rebalancing, which are absent in passive tracking products. For investors, this presents a trade-off between higher costs and the – albeit unguaranteed – possibility of achieving an above-average risk-adjusted return over the long term.

Positioning within the Invesco range

The new ETF expands Invesco’s quantitative family based on Value, Quality and Momentum, which already covers global developed and emerging markets. With a single instrument, it is now possible to gain exposure to both developed and emerging markets whilst maintaining the same factor-based approach. The MSCI ACWI, used as a benchmark, covers large- and mid-cap stocks across 23 developed and 24 emerging markets, accounting for approximately 85 per cent of global investable market capitalisation.

Conclusions

With this listing, Invesco extends its range of quantitative active ETFs covering the entire global equity universe to the London Stock Exchange. The cost level places the product between low-cost passive ETFs tracking the MSCI ACWI and traditional active mutual funds. The strategy’s actual ability to generate excess returns relative to the benchmark will need to be assessed over an appropriate time horizon following its launch.

Source: ETFWorld.co.uk