ETF
GTO
US Fixed Income Invesco Total Return Bond ETF
Inception Date:
02/10/2016
Invesco ETFs
Fixed income investing with ETFs
Discover the potential benefits of investing in Invesco’s fixed income ETFs, such as income generation, portfolio diversification, and risk mitigation.
Why consider our fixed income ETFs?
Our fixed income suite offers exposure to both index-based and actively managed fixed income ETFs, providing potential expansive solutions to help reach your investing goals, whether seeking additional income or accessing diverse sources of return potential across the credit risk spectrum and capital structure.
Potential expansive solutions
Help enhance your portfolios with differentiated solutions of innovative, targeted, and active exposures based on your parameters.
Income opportunity
Leverage our strategies when replacing cash and money market investments with potentially higher yielding approaches.
Industry leader
We’ve been in the ETF business for more than two decades, and most of our fixed income ETFs have track records of more than five years.
Transcript
- ETFs are fast-becoming a go-to tool for fixed income investors who are focused on fees, taxes, transparency, and liquidity.
- And the growing universe of fixed income ETFs gives investors more options for accessing bond markets.
- But not all ETF providers offer the solutions investors may need for their income-generation and risk-management goals.
- Here are three reasons to consider Invesco for your fixed income ETFs.
- First, our broad suite of fixed income ETFs helps investors accomplish a diverse set of objectives.
- We offer both index-based and actively managed fixed income ETFs, giving investors multiple ways to seek additional income and access diverse sources of return potential across the credit risk spectrum and capital structure.
- Whether you’re focused on reducing your portfolio’s sensitivity to changing interest rates, enhancing your after-tax yield potential, accessing alpha1 drivers that are missing from aggregate bond indexes, or looking for a cost-effective, convenient way to build bond ladders, our fixed income ETF lineup has what you’re looking for.
- Second, our ETFs are powered by our experience as an ETF leader and pioneer.
- We have been in the ETF business for more than 2 decades, and most of our fixed income ETFs have track records of more than five years.
- This allows investors to potentially benefit from our experience navigating the complexity of fixed income markets through the ETF structure.
- Third, our ETFs are backed by the resources of our global fixed income platform.
- The insights that fuel our fixed income ETFs come from our knowledge of bond markets around the world and our extensive global macro and credit research capabilities.
- We invite you to explore our lineup of fixed income ETFs.
- And if you’re interested in learning more about how ETFs can bring efficiency, transparency, liquidity, and flexibility to your fixed income portfolio, please reach out to your Invesco representative.
1) Alpha – Excess returns earned on an investment above the benchmark return.
About Risk:
There are risks involved with investing in ETFs, including possible loss of money. Index-based ETFs are not actively managed. Actively managed ETFs do not necessarily seek to replicate the performance of a specified index. Both index-based and actively managed ETFs are subject to risks similar to stocks, including those related to short selling and margin maintenance. Ordinary brokerage commissions apply. The funds’ return may not match the return of the index. The funds are subject to certain other risks. Please see the current prospectus for more information regarding the risk associated with an investment in the funds.
Investments focused in a particular industry or sector, are subject to greater risk, and are more greatly impacted by market volatility, than more diversified investment.
ETFs disclose their full portfolio holdings daily.
An investment cannot be made in an index.
Invesco does not provide tax advice. Investors should always consult their own legal or tax professional for information concerning their individual situation.
ETF Shares are not individually redeemable and owners of the Shares may acquire those Shares from the Fund and tender those Shares for redemption to the Fund in Creation Unit aggregations only, typically consisting of 10,000, 20,000, 25,000, 50,000, 75,000, 80,000, 100,000, 150,000 or 200,000 Shares.
Not a Deposit | Not FDIC Insured | Not Guaranteed by the Bank | May Lose Value | Not Insured by any Federal Government Agency
Before investing, investors should carefully read the prospectus and/or summary prospectus and carefully consider the investment objectives, risks, charges and expenses. For this and more complete information about the fund(s), investors should ask their financial professional for a prospectus/summary prospectus or visit invesco.com/fundprospectus.
invesco/us.com 800 983 0903 01/23 NA-2700385 Invesco Distributors, Inc.
Learn more about our fixed income ETFs
Watch our Head of Fixed Income and Alternatives ETF Product Strategy Jason Bloom discuss three reasons to consider fixed income ETFs.
| Fund | Ticker | Effective duration (years) | 30-Day SEC yield* | Total expense ratio | Net expense ratio | How to invest (below) |
|---|---|---|---|---|---|---|
| Invesco Total Return Bond ETF | GTO | 6.24 | 4.11% | 0.50% | 0.25% | Invest in GTO Fact Sheet |
| Invesco Senior Loan ETF | BKLN | 0.10 | 7.66% | 0.66% | 0.65% | Invest in BKLN Fact Sheet |
| Invesco AAA CLO Floating Rate Note ETF | ICLO | 0.10 | 6.54% | 0.19% | 0.19% | Invest in ICLO Fact Sheet |
| Invesco Ultra Short Duration ETF | GSY | 0.60 | 4.97% | 0.22% | 0.22% | Invest in GSY Fact Sheet |
| Invesco Equal Weight 0-30 Year Treasury ETF | GOVI | 10.78 | 4.25% | 0.15% | 0.15% | Invest in GOVI Fact Sheet |
| Invesco Variable Rate Investment Grade ETF | VRIG | 0.04 | 5.64% | 0.30% | 0.30% | Invest in VRIG Fact Sheet |
| Invesco Variable Rate Preferred ETF | VRP | 2.33 | 5.30% | 0.50% | 0.50% | Invest in VRP Fact Sheet |
| Invesco Taxable Municipal Bond ETF | BAB | 7.87 | 4.77% | 0.28% | 0.28% | Invest in BAB Fact Sheet |
| Invesco Preferred ETF | PGX | 8.17 | 5.58% | 0.50% | 0.50% | Invest in PGX Fact Sheet |
| Invesco National AMT-Free Municipal Bond ETF | PZA | 8.61 | 3.54% | 0.28% | 0.28% | Invest in PZA Fact Sheet |
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*30-Day SEC yield as of 10/25/2024
GTO:Effective June 28, 2023, the Adviser has agreed to waive a portion of its unitary management fee for the Fund through August 31, 2025. After giving effect to such waiver, the net unitary management fee will be 0.25%. The Adviser may not terminate the agreement prior to August 31, 2025.
ICLO:Effective May 1, 2024, the Fund’s unitary management fee was reduced to 0.19% of the Funds average daily net assets. Prior to May 1, 2024, the Fund's Advisory Fee was 0.26% of its average daily net assets though the Adviser waived 100% of the Advisory Fee between June 28, 2023, and April 30, 2024.
BKLN:Through August 31, 2025, Invesco Capital Management LLC (the “Adviser”) has contractually agreed to waive a portion of the Fund’s management fee in an amount equal to 100% of the net advisory fees an affiliate of the Adviser receives that are attributable to certain of the Fund’s investments in money market funds managed by that affiliate.
This waiver will have the effect of reducing the Acquired Fund Fees and Expenses that are indirectly borne by the Fund. The Adviser cannot discontinue this waiver prior to its expiration.
Performance quoted is past performance and cannot guarantee comparable future results; current performance may be lower or higher. Investment return and principal value will vary so that you may have a gain or a loss when you sell shares. If applicable the shares performance reflects fee waivers, absent which, performance would have been lower.
For standardized performance, please click here: Standardized Performance
Fixed income has grown fast
The chart below shows the growth of equity ETFs over time versus fixed income ETFs based on the number of years in the market. Fixed income ETFs may have a similar trajectory based on recent growth trends.
Growth of equity ETFs over time versus fixed income ETFs
Frequently asked questions
Since bonds are generally not as volatile as other assets, like stocks³ , they can serve as ballast for an overall portfolio. In particular, ETFs that invest in high quality bonds, like US Treasuries and investment grade rated debt, may help provide portfolio stability. When market uncertainty leads to disruption in the equity markets, fixed income ETFs may provide diversification benefits. Within fixed income ETFs, strategies with lower duration⁴ may help preserve capital when interest rates rise.
As their name suggests, many investors use fixed income ETFs to generate income. Some of the bond asset classes that fixed income ETFs hold are traditionally used to seek overall portfolio stability because when market uncertainty leads to disruption in the equity markets, bonds may provide some diversification. Investors can also use specialized fixed income ETFs to help diversify their sources of income as well as help tailor their exposure to credit and duration risk.
Although fixed-rate bonds generally involve greater inflation risk than stocks, there are fixed income ETFs that invest in asset classes that are traditional inflation hedges, such as US Treasury Inflation-Protected Securities (TIPS)⁵ . Also, ETFs that invest in debt securities with floating rates may benefit from rising interest rates in an inflationary environment. Finally, investors worried about rising rates and inflation can use ETFs that invest in short-duration bonds to potentially mitigate rate risk.
Resources
Discover more from Invesco
Invesco ETFs
Explore our lineup of ETFs and see how they can be cost-effective, tax-efficient tools for maximizing investments and building long-term wealth.
ETF insights and resources
Access our latest insights on investment opportunities and ways to use ETFs in your portfolio.
Invesco Fixed Income
From taxable bonds to tax-free municipals, from mutual funds to ETFs to SMAs, we have a wide range of strategies to help you meet your objectives.
Footnotes
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1
Most ETFs disclose their portfolio holdings daily.
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2
Diversification does not guarantee a profit or eliminate the risk of loss
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3
Investing in stock involves risks, including the loss of principal and changes in dividend policies of companies and the capital resources available for dividend payments. Although bonds generally present less short-term risk and volatility than stocks, investing in bonds involves interest rate risk; as interest rates rise, bond prices usually fall, and vice versa. Bonds also entail credit risk and the risk of default, as well as greater inflation risk than stocks. Treasury bills are guaranteed by the full faith and credit of the US government as to the timely payment of principal and interest; however, this guarantee does not eliminate market risk. Corporate bonds may offer a higher yield than government bonds but are often considered riskier because they’re not issued by the government. The values of junk bonds fluctuate more than those of high quality bonds and can decline significantly over short time periods.
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4
Duration is a measure of the sensitivity of the price of a bond or other debt instrument to a change in interest rates.
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5
TIPS - Treasury Inflation-Protected Securities are a type of Treasury security issued by the U.S. Government.
Important Information
NA3981239
Effective after the close of markets on Aug. 25, 2023, the Fund's name, ticker, underlying index, index provider, investment objective and investment strategy changed. The Fund's name and ticker changed from Invesco 1-30 Laddered Treasury ETF (ticker: PLW) to the Invesco Equal Weight 0-30 Year Treasury ETF (ticker: GOVI). The Fund's Index Provider changed from NASDAQ OMX Group, Inc. to ICE Data Indices, LLC. and it's Underlying Index changed from the Ryan/Nasdaq U.S. 1-30 Year Treasury Laddered Index to the ICE 1-30 Year Laddered Maturity US Treasury Index; and as a result, the Fund's objective and strategy changed to seek to track the investment results of the new Underlying index by investing at least 80% of its total assets in securities that comprise the new Underlying Index. See the prospectus for more information.
