Invesco MSCI Global Climate 500 ETF (KLMT)

Overview

This investment fund is focused on sustainability and carbon reduction efforts within the global equities market. It commits to a strategy of investing a minimum of 90% of its total assets in the securities that are part of the underlying index, as well as American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs) representing securities in the index. The underlying index aims to follow the performance of around 500 stocks from the ACWI ex Select Countries index. These stocks are selected based on their environmental and climate impact performance relative to their industry peers, evaluated by criteria set by the index provider. This includes efforts to reduce carbon and greenhouse gas emissions. Despite its focus on sustainability, the fund maintains a non-diversified status, indicating a concentrated investment approach in line with its environmental objectives.

Products and Services

The fund offers a targeted investment vehicle centered on environmental sustainability and climate goals:

• Equity Investment in Sustainable Companies - The fund invests primarily in companies that are part of the ACWI ex Select Countries index, which have been identified based on their relative environmental and sustainability performance. This includes companies that demonstrate significant efforts in reducing carbon and greenhouse gas emissions.
• Investment in ADRs and GDRs - Beyond direct stock investments, the fund expands its portfolio by including American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs). These instruments allow the fund to gain exposure to foreign equities that align with the fund's environmental and sustainability criteria, thereby diversifying its investment approach while sticking to its core objectives.