The ETF That Aims to Build A Wall During Market Weakness

The Invesco Defensive Equity ETF (DEF) targets large-cap companies with strong risk-return profiles. It aims to protect during market downturns while allowing for gains in upturns. DEF's portfolio is equal-weighted, selected from the S&P 500 using a quantitative approach focused on revenue growth. Key holdings include Duke Realty and McCormick. DEF manages $250 million in assets with a 59 basis point cost. Since 2006, its performance has closely followed the S&P 500, recently outperforming it. DEF is rated positively by Bloomberg, with a caution on its alternative weighting system.

What is the primary goal of the Invesco Defensive Equity ETF during periods of market weakness?

• To increase market volatility

• To invest in small-cap companies

• To maximize short-term profits

• To build a defensive wall

How are the stocks in DEF selected?

• By investor voting

• Using a rules-based quantitative approach

• Random selection from the S&P 500

• Based on market capitalization

Which of the following companies is NOT mentioned as part of DEF's holdings?

• Duke Realty

• McCormick

• Tesla

• NextEra Energy

What is the cost of managing DEF in basis points?

• 50 basis points

• 59 basis points

• 75 basis points

• 100 basis points

What is the significance of DEF receiving a green light from Bloomberg Intelligence?

• It shows DEF is the top ETF in the market

• It means the ETF is underperforming

• It suggests a stable investment with one caution

• It indicates a high-risk investment