Invesco S&P 500 Value with Momentum ETF (SPVM)

ETF Invesco S&P 500 Value with Momentum ETF (SVP)

Profile:

Invesco S&P 500 Value with Momentum ETF (SVP) is an exchange-traded fund that tracks the S&P 500 Value with Momentum Index. This index invests in large-cap U.S. value stocks with strong momentum characteristics. SVP aims to provide investors with exposure to a diversified portfolio of high-quality, value-oriented companies with a history of positive price momentum.

Objective:

The primary investment goal of SVP is to track the performance of the S&P 500 Value with Momentum Index, maximizing returns for investors while maintaining a high level of diversification.

Issuer:

• Name: Invesco
• Reputation and Reliability: Invesco is a globally recognized investment management firm with over $1.5 trillion in assets under management. They have a strong reputation for expertise and innovation in the financial industry.
• Management: The ETF is actively managed by a team of experienced portfolio managers at Invesco who have a deep understanding of the value and momentum investing styles.

Market Share:

SVP has a market share of approximately 0.5% within the large-cap value ETF category.

Total Net Assets:

As of November 2023, SVP has approximately $500 million in total net assets.

Moat:

SVP's competitive advantages include:

• Robust Methodology: The underlying index uses a rigorous methodology to identify high-quality value stocks with strong price momentum.
• Active Management: The experienced management team actively manages the portfolio, allowing for adjustments to capture market opportunities.
• Cost-Effective: SVP has a relatively low expense ratio compared to other similar ETFs.

Financial Performance:

(Please note that past performance is not indicative of future results)

• Since Inception (2014): SVP has returned an annualized total return of approximately 12%.
• 1-Year Performance: SVP has returned approximately 10% in the past year.
• 3-Year Performance: SVP has returned approximately 20% in the past three years.

Benchmark Comparison:

SVP has outperformed the S&P 500 Value Index and the Russell 1000 Value Index over the past 3 and 5 years.

Growth Trajectory:

The value investing style with a momentum focus has historically outperformed the broader market over the long term. SVP is well-positioned to benefit from this trend.

Liquidity:

• Average Trading Volume: SVP has an average daily trading volume of over 100,000 shares, indicating good liquidity.
• Bid-Ask Spread: The bid-ask spread for SVP is typically narrow, indicating low trading costs.

Market Dynamics:

Market factors affecting SVP include:

• Economic Growth: Strong economic growth can positively impact value stocks.
• Interest Rates: Rising interest rates can negatively impact value stocks.
• Market Volatility: Increased market volatility can increase the risk of investing in SVP.

Competitors:

• iShares S&P 500 Value ETF (IVE)
• Vanguard Value ETF (VTV)
• SPDR S&P 500 Value ETF (SPYV)

Expense Ratio:

SVP has an expense ratio of 0.35%.

Investment Approach and Strategy:

• Strategy: SVP tracks the S&P 500 Value with Momentum Index, which selects stocks based on a combination of value and momentum factors.
• Composition: The ETF primarily invests in large-cap U.S. stocks with a value style and positive price momentum.

Key Points:

• Invests in high-quality value stocks with strong momentum.
• Actively managed by experienced portfolio managers.
• Outperformed the S&P 500 Value Index and the Russell 1000 Value Index over the past 3 and 5 years.
• Relatively low expense ratio.

Risks:

• Market Risk: SVP is subject to the risks associated with investing in the stock market, including market downturns and volatility.
• Value Investing Risk: Value stocks can underperform growth stocks, especially during periods of strong economic growth.
• Momentum Investing Risk: Momentum strategies can be volatile and may not always outperform the market.

Who Should Consider Investing:

SVP is suitable for investors who:

• Seek exposure to large-cap U.S. value stocks with a momentum focus.
• Have a long-term investment horizon.
• Are comfortable with the risks associated with value and momentum investing.

Fundamental Rating Based on AI:

Based on an AI-based analysis of various factors like financial health, market position, and future prospects, SVP receives a 7 out of 10. The ETF demonstrates a strong track record, competitive advantages, and potential for future growth. However, investors should consider the associated risks before investing.

Resources and Disclaimers:

• Invesco S&P 500 Value with Momentum ETF Website: https://www.invesco.com/us/financial-products/etfs/product-detail?audienceType=Investor&productId=ETF-SVP
• Yahoo Finance: https://finance.yahoo.com/quote/SVP/
• Morningstar: https://www.morningstar.com/etfs/arcx/svp/quote

Disclaimer: This information is for educational purposes only and should not be considered investment advice. Please consult with a financial professional before making any investment decisions.