Invesco has expanded its range of fixed-maturity ETFs with the launch of five euro-denominated corporate bonds.
Listed on the London Stock Exchange, the five ETFs have maturities from 2026 to 2030 with total expense ratios (TERs) of 0.10%.
The new ETFs mirror the five US-dollar-denominated fixed maturity ETFs launched by Invesco in May.
The five ETFs are:
Invesco BulletShares 2026 EUR Corporate Bond UCITS ETF (BE26)
Invesco BulletShares 2027 EUR Corporate Bond UCITS ETF (BE27)
Invesco BulletShares 2028 EUR Corporate Bond UCITS ETF (BE28)
Invesco BulletShares 2029 EUR Corporate Bond UCITS ETF (BE29)
Invesco BulletShares 2030 EUR Corporate Bond UCITS ETF (BE30)
The range tracks the Bloomberg indices, reflecting the performance of euro-denominated, investment grade, fixed-rate corporate debt securities.
To be included in the index, bonds must have at least €300m outstanding and a maturity date within a year of its final date.
Bonds involved in “certain controversial business activities” or that have severe ESG-related issues will be excluded.
Gary Buxton, head of EMEA ETFs and indexed strategies at Invesco, said: “Fixed-maturity ETFs can help investors satisfy a variety of objectives, from matching cash flow with their future liabilities to filling a gap in the maturity profile of their existing bond portfolio.
“Sophisticated strategies once used only by institutions large enough to invest directly in individual bonds can now be replicated by other investors through simple BulletShares ETFs.
“These precision tools could help pension funds match their liabilities but equally provide a simple, low-cost solution for parents needing to plan for school fees or someone saving for a house purchase.”
The fixed-maturity ETF market in Europe has seen rapid expansion over the past year, with BlackRock, DWS and Amundi all launching ranges.
