Invesco QQQ Innovation Suite Expands with New ETFs for Diverse Investor Strategies

Invesco QQQ Innovation Suite Welcomes Two New ETFs

Invesco Ltd., a prominent global asset management firm, made a significant announcement on December 4, 2024, unveiling the addition of two new exchange-traded funds (ETFs) to its Invesco QQQ Innovation Suite. This expansion now includes the Invesco Top QQQ ETF (QBIG) and the Invesco QQQ Low Volatility ETF (QQLV). These newly launched funds aim to provide investors with enhanced opportunities to access and engage with the dynamic Nasdaq-100 Index®, which encompasses 100 of the largest non-financial companies listed on the Nasdaq stock market.

Acknowledging the Need for Unique Exposures

With these latest offerings, Invesco positions itself as the leader in providing a broad array of ETFs that offer unique exposures to innovative companies. The firm’s Global Head of ETFs and Index Investments, Brian Hartigan, expressed his enthusiasm about the ongoing partnership between Invesco and Nasdaq, emphasizing that the collaboration has led to the launch of this innovative suite of ETFs.

Hartigan stated, “We’re excited that the longstanding partnership between Nasdaq and Invesco continues to result in the launch of unique, innovative ETFs. QBIG and QQLV will offer investors additional ways to access the Nasdaq Indexes that meet their desired investment outcomes.” This vision aligns perfectly with Invesco's goal of becoming a 'one-stop shop' for investors interested in the innovative landscape of the Nasdaq.

Introduction of QBIG and QQLV

The Invesco Top QQQ ETF (QBIG) is an actively managed fund that uses a rules-based approach to track the performance of the Nasdaq-100 Mega™ Index®. This index captures the top 45% of companies within the Nasdaq-100 Index. Invesco believes that this method optimally reflects targeted exposure to innovation by focusing on high-growth, mega-cap companies. QBIG's methodology will adjust quarterly to accommodate the inevitable changes in the mega-cap landscape.

On the other hand, the Invesco QQQ Low Volatility ETF (QQLV) is noteworthy as it is the first in the QQQ Innovation Suite to focus on low-volatility companies within the Nasdaq-100 Index. This passively managed fund tracks the Nasdaq-100 Low Volatility™ Index®, which identifies the least volatile companies from the Nasdaq-100 over a twelve-month period, offering a more conservative investment approach without sacrificing growth potential.

Strategic Offerings for Diverse Investors

The introduction of these ETFs provides investors with strategic options tailored to different risk preferences. QBIG caters to those seeking high beta exposure, allowing for potential significant upside capture, while QQLV appeals to investors interested in mitigating downside risks by focusing on companies with lower volatility.

Emily Spurling, Senior Vice President and Head of Global Index at Nasdaq, highlighted the value that these innovations bring to investors. “For nearly 40 years, our flagship Nasdaq-100 Index has been the benchmark for innovation, and we are pleased Invesco can offer investors access to the concentrated companies in the Nasdaq-100 Mega Index and low volatility factor captured by the Nasdaq-100 Low Volatility Index.”

Conclusion

With the launch of QBIG and QQLV, Invesco strengthens its QQQ Innovation Suite, providing investors with a robust platform to access diverse sectors and strategies within the increasingly dynamic Nasdaq Indexes. This strategic addition not only enhances Invesco's growth narrative but also empowers investors by offering tailored solutions to meet their individual financial goals. As the investment landscape evolves, such developments highlight the importance of innovation in the financial sector, driving companies like Invesco to adapt and grow in alignment with market demands.