The latest news in investment offerings, financial products and other services relevant to wealth advisors and their clients.

Invesco
Like a number of investment managers, US-headquartered asset manager Invesco is expanding its range of innovative fixed income exposures with the launch of the Invesco EUR AT1 CoCo Bond UCITS Exchange Traded Fund (ETF). This fund will follow the same passive approach used by the firm’s $1.7 billion AT1 ETF but will target the growing euro-denominated segment of the market.

“Our ETF business crossed over $1 trillion in global AuM last year, driven by growth across both core assets as well as more differentiated exposures,” Gary Buxton, head of product, EMEA at Invesco, said. “We’re excited to kick off 2026 with another first-to-market product for European investors.”

The AT1 market has more than doubled in size in 10 years, growing to over $300 billion, the firm said in a statement. For European investors, being able to invest in euros removes the need to hedge currency risk and the associated costs involved. This might be appealing for investors wanting to diversify away from dollar assets due to a weaker dollar, the firm added.

The Invesco ETF will follow the iBoxx EUR Contingent Convertible Liquid Developed Market AT1 (8 per cent Issuer Cap) Index. For eligibility to the index, all bonds must have a credit rating of B or above and at least €500 million ($587 million) outstanding. Individual issuers are capped at 8 per cent at each monthly rebalancing. The ETF aims to replicate the performance of the index by holding all the constituents and rebalancing those holdings when the index is rebalanced. 

“This new ETF adds to our range of more innovative fixed income exposures and comes at a time when many investors are looking for alternative ways to generate higher levels of income,” Matthew Tagliani, head of EMEA ETF product at Invesco, said.

A number of firms have been launching ETFs recently, for instance US-headquartered investment manager Franklin Templeton. See more here. US-based State Street Investment Management also recently published its 2025 EMEA Wealth Manager Survey, showing that ETFs remain dominant, with rising demand for both index and active strategies. In a time of macroeconomic uncertainty and industry change, the survey shows that 88 per cent of wealth managers expect to use ETFs more frequently in client portfolios. See here.