Invesco USD AAA CLO UCITS ETF Dist

Issuer: Invesco

Asset Class: Fixed Income

TER: 0.0035

Trading Currency: USD

Pays Income: True

Listing Date: 10 Feb 2025

Ticker: ICLP_LN

ISIN: IE000PKN5N58

The Invesco USD AAA CLO UCITS ETF Dist is an exchange-traded fund listed on the London Stock Exchange that focuses on investing in collateralized loan obligations (CLOs) backed by highly rated AAA securities. As an ETF, it provides investors with a diversified exposure to a portfolio of CLOs, which are structured finance products that pool together a portfolio of leveraged loans. These loans are often issued by non-investment grade companies, making CLOs a high-yield asset class.

The investment idea behind this ETF is to offer investors access to the potential high returns of the CLO market while mitigating some of the risks associated with investing in individual CLOs. By investing in a diversified portfolio of AAA-rated CLO securities, the ETF aims to provide investors with a level of credit protection and stability. Additionally, the ETF provides investors with liquidity, as they can easily buy and sell shares on the stock exchange.

Investors interested in the Invesco USD AAA CLO UCITS ETF Dist may find it appealing as a way to enhance the yield of their fixed income portfolio and diversify their overall investment strategy. However, it is important to note that as with any investment in fixed income securities, there are risks involved, including credit risk, interest rate risk, and market risk. Therefore, investors should carefully consider their risk tolerance and investment objectives before investing in this ETF.