RDIV Profile
The Invesco S&P Ultra Dividend Revenue ETF aims to deliver high dividend income by investing in a portfolio of revenue-producing securities from the S&P 900 Index. Under normal circumstances, the fund commits at least 90% of its total assets to the securities included in its underlying index. This approach ensures a focused investment in companies that generate significant revenue and are selected for their capacity to provide robust dividend yields.
The underlying index, curated and managed by the index provider, is specifically designed to measure the performance of high-revenue-producing securities within the broader S&P 900 Index. This includes large-cap, mid-cap, and small-cap companies that meet criteria for substantial revenue generation and dividend distribution. The index incorporates a stringent selection process to identify those companies that offer both revenue strength and attractive dividend yields, aiming to capture a comprehensive view of dividend-paying opportunities across various market capitalizations.
The funds investment strategy focuses on securities with strong revenue streams that contribute to its dividend payouts, thus providing investors with a source of income in addition to potential capital appreciation. By concentrating on revenue-generating firms, the fund targets companies with proven financial stability and consistent performance. This strategy is particularly appealing to income-focused investors seeking exposure to a diverse range of sectors and industries that are prominent within the S&P 900 Index.
Despite its emphasis on revenue and dividends, the fund is non-diversified, meaning it is concentrated in specific securities that fit the revenue criteria outlined by the underlying index. This targeted approach can lead to higher risk and volatility relative to more broadly diversified funds but aims to deliver enhanced dividend income and potential capital growth based on the performance of selected high-revenue companies.
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