PGF
ETF
Invesco Financial Preferred ETF
Fixed Income
US Fixed Income
Ticker: VRP
Invesco Variable Rate Preferred ETF
Invests in floating and variable rate investment grade and below investment grade US dollar denominated preferred stock and hybrid debt publicly issued by corporations in the US domestic market.
Why invest in VRP?
The Invesco Variable Rate Preferred ETF targets high monthly income with potential tax advantages by investing in preferred stock and hybrid debt.
★★★★★
5-star overall Morningstar rating - Preferred Stock Category
As of 9/30/2024 the Fund had an overall rating, based on risk-adjusted returns, of 5 stars out of 66 funds and was rated 5 stars out of 66 funds, 5 stars out of 60 funds and 5 stars out of 38 funds for the 3-, 5- and 10-year periods, respectively.
Attractive yield potential
Preferred securities offer the potential for high monthly income.
Low rate sensitivity potential
The ETF invests in preferred securities with floating rates and shorter durations than traditional fixed rate preferreds.
Tax-efficient yield
Similar to traditional equity securities, many preferred issuers pay qualified dividend income (QDI), which is taxed at a lower rate than ordinary income.1
FAQ
Get timely answers to important questions regarding this product.
Preferred ETFs generally invest in hybrid securities that have characteristics of both equity and debt.
A variable rate preferred ETF holds securities that have a floating or variable rate rather than a fixed rate. Variable rate preferred securities may help minimize interest rate sensitivity because of their short durations.
Variable rate preferred ETFs may provide portfolio diversification and also appeal to investors seeking income potential.
VRP is based on the ICE Variable Rate Preferred & Hybrid Securities Index. The index is designed to track the performance of floating and variable rate investment grade and below investment grade US dollar preferred stock, as well as certain types of hybrid securities that determined by the index provider, comparable to preferred stocks, that are issued by corporations in the US market.
Explore related funds
Research our related ETF products to learn how they could add value to investing goals.
-
US Fixed Income -
US Equity PGX
ETFInvesco Preferred ETF
Equity US Equity
Footnotes
-
1.
Invesco does not offer tax advice. Please consult your tax adviser for information regarding your own personal tax situation.
-
The Invesco Variable Rate Preferred ETF (the “Fund”) seeks to track the investment results (before fees and expenses) of the ICE Variable Rate Preferred & Hybrid Securities Index (the “Underlying Index”).
-
Source: Morningstar Inc. Ratings are based on a risk-adjusted return measure that accounts for variation in a fund's monthly performance, placing more emphasis on downward variations and rewarding consistent performance. Open-end mutual funds and exchange-traded funds are considered a single population for comparison purposes. Ratings are calculated for funds with at least a three year history. The overall rating is derived from a weighted average of three-, five- and 10-year rating metrics, as applicable, excluding sales charges and including fees and expenses. ©2024 Morningstar Inc. All rights reserved. The information contained herein is proprietary to Morningstar and/or its content providers. It may not be copied or distributed and is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance does not guarantee future results. The top 10% of funds in a category receive five stars, the next 22.5% four stars, the next 35% three stars, the next 22.5% two stars and the bottom 10% one star. Ratings are subject to change monthly. Had fees not been waived and/or expenses reimbursed currently or in the past, the Morningstar rating would have been lower. Ratings for other share classes may differ due to different performance characteristics.
