Invesco S&P MidCap 400 GARP ETF (GRPM)

Overview

The Invesco S&P MidCap 400 GARP ETF (IWO) seeks to track the investment results of the S&P MidCap 400 GARP Index, which measures the performance of growth stocks with reasonable price characteristics in the mid-capitalization segment of the U.S. equity market.

Reputation and Reliability

Invesco is a well-established global investment management firm with a strong reputation and a long track record of managing ETFs.

Management Expertise

Invesco has a dedicated team of experienced portfolio managers and analysts specializing in ETFs and factor-based investing.

Goal

To track the investment results of the S&P MidCap 400 GARP Index.

Investment Approach and Strategy

Strategy: The ETF employs a full replication strategy, meaning it invests in all of the securities in the S&P MidCap 400 GARP Index in proportion to their weighting in the index.

Composition Primarily composed of mid-cap U.S. stocks identified as having growth characteristics at a reasonable price, spanning various sectors but often with significant allocations to financials, consumer discretionary, and industrials.

Market Share: Data unavailable.

Total Net Assets (AUM): 2063000000

Key Competitors

• Xtrackers S&P MidCap 400 ESG ETF (MIDE)
• Avantis U.S. Small Cap Value ETF (AVUV)

Competitive Landscape

The mid-cap GARP ETF market has a few key players. IWO competes with ETFs focusing on similar segments, but its specific GARP (Growth at a Reasonable Price) strategy provides a distinct focus. Competitors might focus on ESG or small-cap value, offering different risk/return profiles.

Historical Performance: Data unavailable.

Benchmark Comparison: Data unavailable.

Expense Ratio: 0.36

Average Trading Volume

IWO exhibits adequate liquidity with a consistent average trading volume.

Bid-Ask Spread

The bid-ask spread for IWO is generally tight, indicating efficient trading.

Market Environment Factors

Economic growth, interest rate movements, and sector-specific trends significantly impact IWO's performance. The ETF is sensitive to factors influencing mid-cap companies with growth potential at reasonable valuations.

Growth Trajectory

IWO's growth is tied to the performance of the mid-cap GARP segment. Changes to the underlying index methodology or shifts in market sentiment can impact its trajectory.

Competitive Edge

IWO's competitive edge lies in its focused GARP strategy within the mid-cap space, offering a distinct investment profile. Its replication strategy provides transparency and ensures close tracking of the underlying index. Invesco's brand recognition and established ETF management capabilities further enhance its competitive position. IWO offers targeted exposure to mid-cap stocks with growth characteristics at reasonable price-to-earnings, price-to-book, and sales-per-share ratios. The established methodology of the S&P MidCap 400 GARP Index lends credibility.

Volatility

IWO's volatility is characteristic of mid-cap equities, potentially higher than large-cap but lower than small-cap. It is impacted by market fluctuations and specific events affecting the companies within the index.

Market Risk

IWO is subject to market risk, including economic downturns, sector-specific headwinds, and interest rate changes. The performance of its underlying holdings directly impacts the ETF's returns.

Ideal Investor Profile

IWO is suitable for investors seeking exposure to mid-cap U.S. equities with a GARP investment strategy. It appeals to those who believe in the potential of mid-sized companies exhibiting both growth and value characteristics.

Market Risk

IWO is likely best for long-term investors with a moderate risk tolerance. It can be incorporated into a diversified portfolio to enhance growth potential while maintaining a focus on reasonable valuations.

The Invesco S&P MidCap 400 GARP ETF (IWO) seeks to track the performance of mid-cap U.S. companies exhibiting growth at a reasonable price. Its focused GARP strategy offers a distinct investment profile within the mid-cap space. The ETF invests in all of the securities in the S&P MidCap 400 GARP Index, tracking it closely. Its performance is tied to the mid-cap market and factors influencing growth stocks at reasonable valuations. IWO is appropriate for long-term investors with moderate risk tolerance, seeking a diversified investment approach.

Data Sources:

• Invesco official website
• S&P Dow Jones Indices
• ETF.com
• Bloomberg
• Morningstar

Disclaimers:

The data provided is for informational purposes only and should not be considered investment advice. Past performance is not indicative of future results. Market conditions can change, impacting the accuracy of the data.