Description

This Invesco ETF aims to replicate the net total return performance of the STOXX Europe 600 Optimised Oil & Gas Index, accounting for its operational costs. The underlying index is designed to offer investors a highly liquid vehicle for monitoring companies within the broader STOXX Europe 600 Oil & Gas Index, suitable for both bullish and bearish strategies. It comprises businesses operating in 17 European nations: Austria, Belgium, Denmark, Finland, France, Germany, Ireland, Italy, Luxembourg, the Netherlands, Norway, Poland, Portugal, Spain, Sweden, Switzerland, and the United Kingdom. To achieve its investment goal, the fund primarily holds a portfolio of equities. While these holdings generate most of the fund's returns, they typically do not mirror the exact composition of the Reference Index. Additionally, it employs unfunded swaps, which are agreements with approved financial institutions. Through these contracts, the counterparty agrees to pay or receive the difference between the Reference Index's performance and the performance of the fund's actual equity basket. This synthetic replication approach aims to ensure a more precise and consistent alignment with the Reference Index's returns than could typically be achieved solely through direct physical ownership of index constituents. This ETF is characterized by passive management. Investing in this fund means acquiring units of a passively managed, index-tracking vehicle, rather than directly owning the underlying assets held by the fund.