PICB Profile
The Invesco International Corporate Bond ETF is an actively managed fund that seeks to achieve its investment objective by focusing primarily on investment-grade corporate bonds from outside the United States. The fund is designed to provide investors with exposure to high-quality, non-U.S. corporate debt, thereby offering diversification beyond the domestic bond market. Under normal market conditions, the fund will allocate at least 80% of its total assets to securities that are part of its underlying index.
The underlying index comprises investment-grade corporate bonds issued in various currencies from Group of Ten (G10) countries, excluding the U.S. Dollar. This includes bonds denominated in the Australian Dollar (AUD), British Pound (GBP), Canadian Dollar (CAD), Euro (EUR), Japanese Yen (JPY), New Zealand Dollar (NZD), Norwegian Krone (NOK), Swedish Krona (SEK), and Swiss Franc (SFR). The inclusion of these currencies reflects a broad and diverse exposure to international markets while maintaining a focus on high credit quality.
The fund’s investment strategy aims to offer investors a diversified portfolio of high-grade corporate bonds from developed international markets. By investing in bonds issued by companies in G10 countries, the fund seeks to provide exposure to a range of economic conditions and interest rate environments, potentially enhancing portfolio returns and reducing overall risk through geographic and currency diversification.
Invesco’s approach ensures that the fund’s investments are concentrated in securities that meet its rigorous credit quality standards, while also providing exposure to a diverse set of global economies. This strategy allows investors to benefit from the relative stability of investment-grade corporate bonds while accessing growth opportunities in international markets. The fund’s focus on G10 currencies also helps mitigate currency risk by investing in established and stable economies.
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