Exchange Traded Funds ETF Investing J P. Morgan Asset Management

These risks often are heightened for investments in emerging/developing markets or in concentrations of single countries. Most ETPs are designed to track the performance of an underlying index; however, sometimes their performance may diverge. So-called “tracking error” occurs when the returns of the ETP deviate from the returns of its underlying benchmark, which can impact investor performance (either negatively or positively). An ETP’s price also might diverge significantly from the underlying value of its portfolio if, for example, there’s a disruption in the share redemption or creation process. FINRA provides an easy-to-use, online Fund Analyzer that allows you to compare expenses among ETPs. Using a live data feed that captures expense information for thousands of products, the analyzer can help you understand the impact fees and expenses have on your investment over time.

ETFs

• This material is not intended as a recommendation, offer or solicitation for the purchase or sale of any security or investment strategy.
• For more on asset class-specific risks, review the appropriate investment product information.
• International investing involves risks, including risks related to foreign currency, limited liquidity, less government regulation and the possibility of substantial volatility due to adverse political, economic or other developments.
• Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost.
• But unlike mutual funds, ETF shares trade like stocks and can be bought or sold throughout the trading day at fluctuating prices.

None of these companies make any representation regarding the advisability of investing in the Funds. With the exception of BlackRock Index Services, LLC, who is an affiliate, BlackRock Investments, LLC is not affiliated with the companies listed above. ETPs can be owned in a number of different types of accounts, such as tax-advantaged accounts, like retirement accounts, or brokerage accounts. And affiliated banks, Members FDIC and wholly owned subsidiaries of Bank of America Corporation (“BofA Corp.”).

Global ETF launches from 6th to 13th November, 2025

You’ll have to pay taxes on any realized capital gains when you do ultimately sell, however, and are also responsible for reporting any dividend and interest payments you receive from ETPs. Investors purchasing or selling ETNs or shares of an ETP through an investment professional typically pay a brokerage commission on each transaction, as with purchases of individual stocks. Depending upon your level of trading, the sales charges you pay for each purchase or sale could erode your investment return.

Since Inception returns are provided for funds with less than 10 years of history and are as of the fund’s inception date. 10 year returns are provided for funds with greater than 10 years of history. Net Asset Value (NAV) returns are based on the prior-day closing NAV value at 4 p.m. NAV returns assume the reinvestment of all dividend and capital gain distributions at NAV when paid. The Distribution Rate is computed as the normalized current distribution (annualized) over NAV per share.

Tax Considerations

ETPs can also be sold short, purchased on margin or have options contracts written on them. And, like mutual funds, they track an underlying index or asset or might reflect an actively managed strategy. Invesco is an independent investment management company built to help individual investors, financial professionals, and institutions achieve their financial goals. We offer a range of investment strategies across asset classes, investment styles, and geographies. Our asset management capabilities include mutual funds, ETFs, SMAs, model portfolios, calvenridge review indexing and insurance solutions, and more.

The investment return and principal value of an investment will fluctuate so that an investor’s shares, when sold or redeemed, may be worth more or less than their original cost and current performance may be lower or higher than the performance quoted. On the other hand, while ETNs also trade like stocks, they’re more similar to corporate bonds in that they’re debt issued by a financial institution and subject to the credit risk of that issuer. Unlike a mutual fund or ETF, an ETN has no underlying portfolio of assets. Index performance returns do not reflect any management fees or expenses. Returns for net indices generally assume the reinvestment of dividends after the deduction of the maximum withholding tax in each country applicable to non-residents of the country as determined by the index provider. Such indices use withholding tax rates that are often at a higher rate than the rates to which the Fund is subject in each country, including for countries where the Fund is not subject to withholding taxes.

Canadian ETF launches for October 2025

The information on this site does not constitute a recommendation of any investment strategy or product for a particular investor. Investors should consult a financial professional/financial consultant before making any investment decisions. Short-term performance, in particular, is not a good indication of the fund’s future performance, and an investment should not be made based solely on returns. If the issuer defaults on the note, you might lose some or all of your investment. Also, be aware of potential overlaps in the holdings or exposures provided by ETFs and how these might impact your overall level of diversification.

Investors can buy and sell ETP shares throughout the trading day, at prices that may fluctuate. Like with stocks, ETP investors are typically faced with a bid-ask spread. This might be almost zero for some ETPs but much wider for other products, so do your homework. The intraday pricing of ETPs provides trading flexibility because you can monitor how the price is doing and don’t have to wait until the end of the day to know your purchase or sale price.