SPHQ
Invesco S&P 500 Quality ETF
📎 Investment Objective
The Invesco S&P 500 Quality ETF (SPHQ) seeks to track the investment results of the S&P 500 Quality Index, which is designed to measure the performance of S&P 500 constituents that have the highest quality score based on three fundamental measures: return on equity, accruals ratio, and financial leverage ratio.
Overview
ETF tracking Invesco S&P 500 Quality ETF
Performance
Price Chart
Investment Summary
📎 Investment Objective
The Invesco S&P 500 Quality ETF (SPHQ) seeks to track the investment results of the S&P 500 Quality Index, which is designed to measure the performance of S&P 500 constituents that have the highest quality score based on three fundamental measures: return on equity, accruals ratio, and financial leverage ratio.
🎯 Investment Strategy
The fund employs a passive management (or index-tracking) strategy, attempting to replicate the performance of its underlying index by holding all or a representative sample of the securities in the index in approximately the same proportions as their weightings in the index.
✨ Key Features
- Provides exposure to large-cap U.S. stocks with high quality characteristics
- Tracks the S&P 500 Quality Index, which selects constituents based on return on equity, accruals ratio, and financial leverage ratio
- Low expense ratio of 0.00%
- Relatively new fund with limited performance history
⚠️ Primary Risks
- Market risk: The value of the fund's shares will fluctuate with changes in the value of the underlying securities
- Concentration risk: The fund's performance may be more volatile because it is focused on a particular sector or industry
- Tracking error risk: The fund may not be able to perfectly track the performance of its underlying index
- Limited performance history: With a short track record, the fund's long-term performance is uncertain
👤 Best For
This ETF may be suitable for investors seeking exposure to large-cap U.S. stocks with a focus on quality characteristics, as part of a diversified portfolio. Investors should have a long-term investment horizon and be willing to accept the market and concentration risks associated with this type of fund.