The past four weeks saw the end of the first quarter of 2021 and the beginning of the second. Three Invesco ETFs also posted big inflows.
Big Tech, Equal Weight, and Pure Beta
Unsurprisingly, Invesco’s flagship fund, the Invesco QQQ Trust (QQQ ), made the list. Praised for its versatility as a long-term buy-and-hold fund or a tactical trading tool, QQQ seeks investment results that generally correspond to the price and yield performance of the NASDAQ-100 Index®.
To maintain the correspondence between the composition and weights of the securities in the trust and the stocks in the NASDAQ-100 Index®, the advisor adjusts the securities from time to time to conform to periodic changes in the identity and/or relative weights of index securities. The composition and weighting of the securities portion of a portfolio deposit are also adjusted to conform to changes in the index.
An equal weight strategy could be used as a way to minimize volatility without being too top-heavy on specific stocks, especially with first quarter earnings results underway. That said, the Invesco S&P 500 Equal Weight ETF (RSP ) saw the second highest inflows the past four weeks.
RSP seeks to track the investment results of the S&P 500® Equal Weight Index. The fund generally will invest at least 90% of its total assets in the securities that comprise the underlying index.
Strictly in accordance with its guidelines and mandated procedures, the index provider compiles, maintains, and calculates the underlying index, which is an equal-weighted version of the S&P 500® Index. The fund also features a low 0.20% expense ratio, which mirrors that of QQQ.
Last but not least is the Invesco PureBeta MSCI USA ETF (PBUS), which gives ETF investors heavy emphasis on large cap equities to mirror the movements of the market as closely as possible. PBUS boasts the lowest expense ratio of the three ETFs at 0.04%.
Overall, PBUS seeks to track the investment results of the MSCI USA Index. The fund generally will invest at least 90% of its total assets in the securities that comprise the underlying index.
The index is designed to measure the performance of the large- and mid-capitalization segments of the U.S. equity market. Top holdings feature familiar big tech names like Apple, Microsoft, Amazon, Facebook, and Google.
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