Key stats
About Invesco Variable Rate Preferred ETF
Expense ratio
0.50%
Home page
Inception date
May 1, 2014
ISIN
US46138G8704
VRP holds a portfolio of USD denominated floating- and variable-rate preferred stocks or hybrid securities with similar characteristics. Floating-rate preferreds link dividends to a reference benchmark rate plus a fixed spread. Variable rate preferreds have a fixed dividend initially for a period of time, but later will turn into a floating-rate structure. VRP is the first of its kind: an ETF that combines exposure to both types. The self-adjusting nature of the dividends mitigates duration risk, so VRP can be a viable addition to an income portfolio to position for rising rates. VRP may invest in investment grade and non-investment grade securities. Rebalancing is done monthly. Prior to June 30, 2021, the fund tracked the Wells Fargo Hybrid and Preferred Securities Floating and Variable Rate Index.
Classification
What's in the fund
Exposure type
Finance
Corporate
Stocks69.56%
Finance63.05%
Utilities2.22%
Industrial Services2.02%
Communications0.95%
Commercial Services0.43%
Transportation0.28%
Distribution Services0.27%
Government0.19%
Electronic Technology0.16%
Bonds, Cash & Other30.44%
Corporate29.33%
Structured0.69%
Mutual fund0.25%
Miscellaneous0.16%
Cash0.01%