New funds have begun trading on the ETF offering factor and thematic investing opportunities
Three new ETFs have been launched by Invesco Canada which offer investors factor and thematic opportunities to invest in the current macroeconomic environment.
The Invesco Russell 1000® Dynamic-Multifactor Index ETF (IUMF, IUMF.F) is based on the Russell 1000 Invesco Dynamic Multifactor Index which reweights large-cap securities on the Russell 1000 Index using a rules-based system and multi-factor scoring based on one of: Value, Momentum, Quality, Low Volatility or Size.
There is also an international version of this strategy which leverages the FTSE Developed ex US Dynamic Multifactor Index. The Invesco International Developed Dynamic-Multifactor Index ETF (IIMF, IIMF.F) will track this index and use a similar reweighting of large-cap securities.
Invesco were among the pioneers of the dynamic multi-factor investing strategy five years ago and Pat Chiefalo, SVP and head of ETFs & Indexed Strategies, Canada, says the launch of these funds is exciting.
“We believe these ETFs can become important allocations in Canadian portfolios for US and international equity exposures," he said.
Energy transition
The third new ETF is the Invesco Morningstar Global Energy Transition Index ETF (IGET, IGET.F) is designed as a thematic fund targeting firms worldwide that stand to benefit from the energy transition megatrend such as those involved in carbon capture and renewables. It is based on the Morningstar Global Energy Transition Index.
"We are always looking to bolster our Canadian ETF line-up with products that can provide clients with new and unique ways to meet their desired investment outcomes," concluded Chiefalo. "Our three new ETFs will offer strategies that are relevant in the current macroeconomic environment, using dynamic factors and pertinent themes that speak to the modern direction of the Canadian marketplace."
