Invesco USD AAA CLO UCITS ETF Acc

Issuer: Invesco

Asset Class: Fixed Income

TER: 0.0035

Trading Currency: USD

Pays Income: False

Listing Date: 10 Feb 2025

Ticker: ICLX_LN

ISIN: IE0008GO35B5

The Invesco USD AAA CLO UCITS ETF Acc is an exchange-traded fund (ETF) that provides exposure to collateralized loan obligations (CLOs) composed of loans to below investment-grade companies. CLOs are securitized portfolios of these loans that are actively managed to generate attractive risk-adjusted returns. This ETF focuses on CLOs rated AAA, which are considered the highest quality and least risky within the CLO universe.

Investing in this ETF allows investors to access a diversified portfolio of AAA-rated CLOs without having to individually select and manage these securities. By investing in CLOs, investors can benefit from higher yields compared to traditional fixed income investments, given the higher credit risk associated with below investment-grade companies.

Furthermore, the active management of the CLO portfolio aims to enhance returns and manage risks effectively. This ETF provides investors with a liquid and transparent way to invest in the CLO market, which historically has been less accessible to individual investors. Additionally, the UCITS structure of this ETF ensures compliance with European Union regulations, providing a level of investor protection.

Overall, the investment idea behind the Invesco USD AAA CLO UCITS ETF Acc is to offer investors exposure to a specific segment of the fixed income market that has the potential for attractive returns, while benefiting from professional management and the liquidity of an ETF structure.