Invesco USD CLO UCITS ETF

The Invesco USD CLO UCITS ETF is an exchange-traded fund that invests in U.S. dollar-denominated collateralized loan obligations (CLOs). The primary purpose of this fund is to offer exposure to a diversified pool of senior secured loans, which are broadly syndicated to institutional investors. This ETF targets investments across various sectors, such as finance, real estate, and industrials, thereby providing broad economic representation through its holdings. It is designed to give investors access to the floating rate loan market, offering potential yield enhancement while managing interest rate risk due to the securities’ floating rate nature. This ETF is particularly significant in markets where investors seek income and portfolio diversification from traditional fixed income assets. By incorporating this ETF, investors gain exposure to a niche asset class, CLOs, which has historically demonstrated resilient performance during various economic cycles.