Invesco is set to shutter 42 ETFs representing total assets under management of $1.13 billion. The closures are set to be completed by Feb. 14, 2020.
The list of closures includes funds ranging in size from the miniscule $2.4 million Invesco International Ultra Dividend Revenue ETF (RIDV) to the sizable $78.8 million Invesco Insider Sentiment ETF (NFO). In fact, eight of the doomed ETFs have more than $50 million in assets, an unusual circumstance, as $50 million is widely considered to be the “rule of thumb” for an ETF to be safe from closure.
In the last several years, Invesco has acquired multiple competitors, including OppenheimerFunds’ and Guggenheim’s ETF operations. Guggenheim, in particular, had an extensive lineup when it was folded into Invesco’s ETF family and there were many resulting redundancies. It’s not surprising that well over half of the targeted funds are from Invesco’s acquired firms.
That said, this is the largest wave of closures to hit the ETF industry since Barclays' iPath ETN unit shuttered 50 products in 2018. After these closures are completed, Invesco will be left with 220 remaining ETFs. The firm currently has nearly $220 billion in assets under management and ranks as the fourth-largest issuer of ETFs in the U.S.
The table below lists the closing funds and their assets under management:
Contact Heather Bell at [email protected]