Invesco MSCI EAFE Income Advantage ETF (EFAA)

The Invesco MSCI EAFE Income Advantage ETF (EFAA) is an exchange-traded fund from Invesco that seeks to provide current income alongside exposure to developed-market stocks outside the United States and Canada.

The fund is built around the MSCI EAFE universe, which covers large and mid-cap companies in Europe, Australasia and the Far East. To generate income, it pairs this equity exposure with an options strategy, typically selling call options, which converts part of the portfolio's potential upside into option premium.

Because of the options overlay, the fund's returns are expected to differ from those of a plain EAFE index fund, with more emphasis on distributions and less participation in strong market rallies.