Invesco Short Duration Total Return Fund (GTOS)

Overview

The fund is an actively managed exchange-traded fund (ETF) that primarily focuses on investing in a broad range of fixed-income securities. Its investment strategy involves allocating at least 80% of its net assets, in addition to any funds borrowed for investment purposes, into fixed-income securities. This strategy also includes investments in derivatives and other financial instruments that possess economic characteristics similar to fixed-income securities. Although the fund operates with an active investment approach to achieve its objective, it is classified as non-diversified, meaning it may concentrate its investments in fewer issuers than a diversified fund.

Products and Services

• Fixed-Income Securities

  Investments primarily in bonds and other debt instruments that provide returns in the form of regular, or fixed, interest payments, alongside the return of principal at maturity. These securities are chosen based on their potential to meet the fund's investment objective of providing a stable income stream and capital appreciation under normal market conditions.

• Derivatives

  The fund invests in derivatives as a means to potentially enhance returns and manage risk. Derivatives are financial instruments whose value is derived from the performance of an underlying asset, index, or rate. This can include futures, options, and swap contracts. Through derivatives, the fund aims to achieve similar economic characteristics to holding the underlying fixed-income securities directly, but with potentially greater flexibility or efficiency.

• Non-Diversified Status

  Being non-diversified means the fund has the freedom to invest a larger portion of its assets in the obligations of a smaller number of issuers. This approach can lead to higher returns if those investments perform well but also poses a higher risk since the fund’s overall performance is more tied to the fortunes of fewer issuers.