Invesco Emerging Markets Enhanced Equity UCITS ETF

Issuer: Invesco

Asset Class: Equity

TER: 25bps

Trading Currency: GBX

Pays Income: False

Listing Date: 06 Oct 2025

Ticker: IQMX

ISIN: IE000U07IGB1

This investment product provides actively managed exposure to the emerging markets equity space, with the primary objective of outperforming traditional market-cap-weighted indices. It employs a sophisticated, quantitative strategy that systematically selects securities based on a proprietary model. This model analyzes a vast universe of emerging market stocks to identify companies with attractive characteristics across multiple factors, including value, quality, and momentum. By focusing on these proven drivers of return, the portfolio is constructed to offer an 'enhanced' risk-return profile compared to passive alternatives, aiming to capture market inefficiencies through a disciplined, research-driven approach.

The portfolio offers broad diversification across various developing economies, providing a core allocation to this high-growth asset class. However, unlike a standard index tracker, its holdings are deliberately tilted towards companies that the quantitative model identifies as having the highest potential for appreciation. This factor-based methodology is designed to be systematic and unemotional, removing common investor biases from the decision-making process. The portfolio is rebalanced on a regular basis to ensure it remains aligned with its target factor exposures and to adapt to changing market conditions, all while maintaining prudent risk management controls.

This product is tailored for investors seeking long-term capital growth who wish to gain exposure to emerging markets through a more refined and potentially higher-performing strategy than simple passive investing. It is suitable for those with a moderate-to-high risk tolerance who believe that a factor-based, active approach can unlock additional value in the dynamic and often less efficient emerging markets landscape. By combining the benefits of a rules-based system with the potential for alpha generation, it serves as a compelling alternative for enhancing the emerging markets allocation within a diversified investment portfolio.