The Invesco Ultra Short Duration ETF (GSY) is an exchange-traded fund designed to provide current income and capital preservation through investments in short-term fixed income securities. The ETF is managed by Invesco and trades under the ticker GSY on the Cboe BZX Exchange.

Classified as an actively managed fixed income ETF, the fund invests in a diversified portfolio of short-term securities, including corporate bonds, U.S. government and agency securities, securitized debt, and other high-quality fixed income instruments. Its strategy is designed to maintain a low duration to reduce sensitivity to changes in interest rates.

Unlike an ETF that tracks a specific index, GSY employs active portfolio management to select securities based on credit analysis, liquidity, maturity, and market opportunities, seeking to balance income generation with risk management.

Diversification and sector exposure

GSY provides exposure primarily associated with:

• Short-term corporate bonds.

• U.S. government securities.

• U.S. agency securities.

• Securitized debt.

• Money market instruments.

• High-quality fixed income.

• Low duration.

• Active management.

The portfolio consists of securities issued by a wide range of borrowers across multiple segments of the fixed income market, with an emphasis on short-term maturities and relatively high credit quality.

The ETF's performance generally reflects developments in short-term fixed income markets, with returns influenced by both the income generated by its holdings and the portfolio management team's active investment decisions.

Structure and costs

GSY shares trade on the secondary market on the Cboe BZX Exchange during regular trading hours. Share creation and redemption occur through authorized participants, helping keep the ETF's market price aligned with its net asset value (NAV).

The fund charges a management fee as outlined in its prospectus and does not apply a performance fee. Interest income generated by the portfolio's fixed income holdings may be distributed periodically to shareholders according to the fund's distribution policy.

History and evolution of the ETF

The Invesco Ultra Short Duration ETF was launched in 2008 to provide investors with a short-term fixed income solution focused on cash management, capital preservation, and income generation.

Since inception, the fund has employed an active investment strategy to build a diversified portfolio of short-term fixed income securities, adjusting its holdings as market conditions and monetary policy evolve.

Over time, the ETF has navigated multiple interest rate and economic cycles while maintaining its focus on low duration, high liquidity, and diversification across issuers and sectors within the fixed income market.

Additional Information

Invesco Ultra Short Duration ETF (United States) is an exchange-traded fund (ETF), with assets under management totaling $3.89 billion.

Over the past 12 months, Invesco Ultra Short Duration ETF recorded a return of 4.18%, with its price trading between $50.05 and $50.38 during the same period.

The ETF is traded under the ticker GSY.