Description

This Invesco ETF endeavors to replicate the net total return of the STOXX Europe 600 Optimised Utilities Index (referred to as the "Reference Index"), after deducting fund expenses. The Reference Index itself provides a highly liquid method for investors to gain exposure to (or short) utility sector companies listed within the broader STOXX Europe 600 Utilities Index. Its constituents originate from 17 European nations, specifically: Austria, Belgium, Denmark, Finland, France, Germany, Ireland, Italy, Luxembourg, the Netherlands, Norway, Poland, Portugal, Spain, Sweden, Switzerland, and the United Kingdom. To achieve this, the fund primarily invests in a diverse collection of stocks. While these holdings are the main source of the fund's returns, they typically do not mirror the exact composition of the Reference Index. In addition, the fund employs unfunded swaps. These financial agreements involve approved counterparties exchanging with the fund any performance differential between the Reference Index and the fund's equity basket. This dual strategy is designed to deliver a more precise and stable tracking of the Reference Index than solely holding the underlying assets would allow. This ETF is passively managed, meaning it strictly follows its benchmark. Investors acquire units in this index-tracking fund, not direct ownership of the underlying securities held within it.