Invesco launches two new Bond ETFs on the LSE

Invesco launches today two new Bond ETFs on the London Stock Exchange

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By ETFWorld.co.uk

Chris Mellor, Head of EMEA Equity ETF Product Management at Invesco

Invesco US Treasury Bond UCITS ETF Acc

The Invesco US Treasury Bond UCITS ETF Acc aims to provide the total return performance of the Bloomberg US Treasury Index, less the impact of fees.

The Reference Index measures the performance of US dollar-denominated, fixed-rate, nominal debt issued by the US Treasury with a broad spread of maturities. Inflation-linked bonds, floating-rate bonds, STRIP bonds (where the principal and regular coupon payments have been removed are sold separately to investors as new securities) and Treasury bills are excluded. The Reference Index rebalances monthly.

The portfolio managers aim to achieve the fund’s objective by using portfolio modelling tools and techniques to buy and hold a proportion of the index securities that represents the characteristics of the entire index. The objective of this sampling method is to replicate the index performance as closely as possible while reducing the costs that would normally be incurred with full replication.

This ETF is passively managed.

Source: ETFWorld.co.uk