Domestic Equity

US equity markets posted gains in the fourth quarter of 2020, as positive news on coronavirus (“COVID-19”) vaccines and strong corporate earnings outweighed investor concerns about the political disagreement over a fiscal stimulus package and sharply rising COVID-19 infections nationwide. Cyclical sectors like energy and financials led the way, while real estate and consumer staples lagged. Market leadership also shifted during the quarter with value stocks outperforming growth for the first time since the fourth quarter of 2016. While the US economy rebounded significantly since the pandemic began, the recovery appeared to slow in the fourth quarter with employment gains and gross domestic product (GDP) growth down from the third quarter of 2020. However, stocks were buoyed by the US Federal Reserve’s (the Fed’s) pledge to maintain its accommodative stance and asset purchases, “until substantial further progress has been made” toward employment and inflation targets.

US political unrest and rising COVID-19 infection rates marked the start of the first quarter of 2021. Additionally, retail investors bid up select stocks like GameStop and AMC Theaters, ultimately causing a sharp selloff in late January. Corporate earnings generally beat expectations, but market volatility rose during the quarter as investors worried about rising bond yields and inflation. Despite the Fed’s commitment to an accommodative policy, the 10-year US Treasury yield rose from 0.92% at calendar year-end to 1.74%¹ at the end of March 2021. Approval of a third COVID-19 vaccine boosted investors’ optimism for faster economic recovery. Although March saw increased volatility with consecutive down days in the US stock market, stocks continued to hit all-time highs through April 2021.

The US stock market once again hit new highs in the second quarter of 2021, despite higher volatility stemming from inflation concerns and the potential for rising interest rates. Investors remained optimistic about the strength of the economic recovery after the Bureau of Economic Analysis reported that the US GDP grew at a 6.4% annualized rate for the first quarter of 2021.² Corporate earnings also remained strong as the majority of S&P 500 companies beat Wall Street earnings forecasts. US equity markets continued to move higher in July despite inflation concerns and increasing COVID-19 infection rates due to the rapidly spreading Delta variant. Despite the Consumer Price Index (CPI) increasing in June through September 2021,³ the Fed declined to raise interest rates at its September Federal Open Market Committee (FOMC) meeting. The US stock market saw continued volatility in August 2021 and a selloff through most of September due to increasing concerns of inflation due to a spike in oil prices and supply chain shortages causing rising costs. In October 2021, investor sentiment improved as many S&P 500 index companies met or exceeded earnings expectations and the index hit new record highs. For the fiscal year, the S&P 500 Index returned 42.91%.⁴

 

1	Source: US Department of the Treasury

2	Source: US Bureau of Economic Analysis

3	Source: US Bureau of Labor Statistics, July 13, 2021

4	Source: Lipper Inc.

Fixed Income

Fixed income markets posted positive gains in the third quarter of 2020 primarily due to the Federal Reserve’s (Fed) continued accommodative pledge to keep interest rates low through 2023, extending central bank support of many fixed income asset classes. Additionally, the Fed announced a revised framework for interest rate policy by changing the way its inflation targets operate, aiming for lower volatility within interest rates. Corporate credit spreads in the US and globally rallied early in the quarter, however, US markets wobbled late in the quarter amid a resurgence in European COVID-19 cases, as well as questions over refreshed fiscal stimulus measures. Central banks across developed nations in Europe and Asia have taken accommodative stances to keeping interest rate low. Uncertainty regarding the 2020 US presidential election and concerns of smooth transitions of power dampened markets towards the end of the quarter. The unemployment rate fell to 7.9%,¹ its lowest since the beginning of the COVID-19 pandemic.

US corporate markets posted gains in the fourth quarter of 2020, as positive news on COVID-19 vaccines and strong corporate earnings outweighed investor concerns about political disagreement over a fiscal stimulus package and sharply rising COVID-19 infections nationwide. Global corporate markets were also buoyed by similar factors and ultra-accommodative central bank policies. Bonds were buoyed by the Fed’s pledge to maintain its accommodative stance and asset purchases, “until substantial further progress has been made” toward employment and inflation targets. Corporate issuance of investment grade credit slowed in the quarter, concluding a year of record issuance. US interest rate moves subtly affected fixed income valuations during the quarter. The two-year Treasury yield fell from 0.14% to 0.13%, while the 10-year yield saw an increase of 25 basis points, rising from 0.68% to 0.93% (a basis point is one one-hundredth of a percentage point).² The yield curve, as measured by the yield differential between 2- and 10-year Treasuries, steepened modestly during the quarter. Cyclical sectors like energy and financials led the way, while real estate and consumer staples lagged.

In the first quarter of 2021, rising 10-year US Treasury yields increased significantly to 1.74%,² their highest level since January 2020, reflecting higher inflation expectations. Largely a result of economic optimism, government bond yields rose globally during the first quarter of 2021, as investors began to price in higher levels of economic growth and inflation moving towards a post-pandemic world. On the fiscal front, another stimulus package was signed into law and COVID-19 vaccine approvals and administration ramped up. 30-year Treasury yields moved higher by 0.77% to end the quarter at 2.41%. Importantly, short-term rates, which are closely tied to Fed policy, were quite steady. Two-year US Treasury yields moved up just 0.04% to 0.16%.²

Fixed income markets settled down in the second quarter of 2021, posting gains and rebounding from negative performance experienced during the early part of the year due to a sharply rising interest rate environment. Globally, corporate credit markets rallied as economic activity continued to rebound. Yet global corporate credit spreads took a step back at the beginning of the third quarter of 2021, while credit stress from key emerging market country issuers stirred fear of possible global contagion. Despite higher volatility stemming from inflation concerns and potential for rising interest rates, investors remained optimistic about the strength of the economic recovery after the Bureau of Economic Analysis reported that US GDP grew at a 6.4% annualized rate for the first quarter of 2021.³ As the US COVID-19 vaccination rate neared the 50% threshold, consumers resumed pre-pandemic activities in the third quarter, and economically sensitive areas, such as the consumer discretionary and technology sectors, began to recover. With an inconsistent global vaccine rollout and the threat of COVID-19 variants on the rise, investors remained cautiously optimistic and expected corporate balance sheets to continue to recover meaningfully in 2021.

Global Equity

At the beginning of the fiscal year, global equity markets posted gains as good news about COVID-19 vaccines outweighed concerns about sharply rising infection rates and tightening social restrictions. In most global regions, equity market leadership shifted as value stocks outperformed growth stocks. Emerging market equities posted robust gains amplified by US dollar weakness.

Global equity markets ended the first quarter of 2021 in positive territory amid concerns about rising bond yields and inflation. The value-led equity rally continued in most regions, with value stocks outperforming growth stocks. The successful rollout of COVID-19 vaccinations in the US and UK benefited equity markets. However, even regions facing slower rollouts, including the Eurozone and Japan, performed well, driven by a rebound in global demand for goods.

During the second quarter of 2021, global equity markets were again bolstered by the continued acceleration of vaccination rollouts and easing of COVID-19 related restrictions in most developed markets. In a reversal from the first quarter, growth stocks outperformed value stocks in most regions. Emerging market equities were led by Brazil which benefited from global tailwinds, while regulatory concerns weighed on Chinese equities.

Developed global equity markets were flat in the third quarter of 2021 amid concerns about rising inflation, supply disruptions and the economic growth rate. Energy stocks and energy-driven markets performed well as global shortages pushed oil and gas prices higher. Emerging market equities declined during the quarter, primarily due to weak performance from Chinese

equities, which were affected by significant regulatory changes in the private tutoring industry, increased regulation in the technology sector and the potential default of a large Chinese property developer.

In October of 2021, global equity stocks were positive with the US market leading the way, and Chinese equities rebounded after their decline in the third quarter. Overall, developed market equities outperformed emerging market equities for the fiscal year.

 

1	Source: US Bureau of Labor Statistics

2	Source: US Department of the Treasury

3	Source: US Bureau of Economic Analysis

The Invesco Active U.S. Real Estate ETF (the “Fund”) is an actively managed exchange-traded fund whose investment objective is to achieve high total return through growth of capital and current income. The Fund seeks to achieve its investment objective by investing, under normal market conditions, at least 80% of its assets in securities of companies that are principally engaged in the U.S. real estate industry and included within the FTSE NAREIT All Equity REITs Index (the “Benchmark Index”). The Fund considers a company to be principally engaged in the U.S. real estate industry if it: (i) derives 50% of its revenues or profits from the ownership, leasing, management, construction, financing or sale of U.S. real estate; or (ii) has at least 50% of the value of its assets invested in U.S. real estate. The Fund plans to invest principally in equity real estate investment trusts (“REITs”). Equity REITs pool investors’ funds for investments primarily in real estate properties or real estate-related loans (such as mortgages). The Fund also may invest in real estate operating companies (“REOCs”), as well as securities of other companies principally engaged in the U.S. real estate industry. REOCs are similar to REITs, except that REOCs reinvest their earnings into the business, rather than distributing them to unitholders like REITs.

For the fiscal year ended October 31, 2021, on a market price basis, the Fund returned 44.82%. On a net asset value (“NAV”) basis, the Fund returned 44.71%. During the same time period, the Benchmark Index returned 45.73%.

The Fund’s underperformance relative to the Benchmark Index during the period is primarily the result of security selection. In particular, security selection in the industrial REITs and health care REITs sub-industries were key detractors from the Fund’s relative performance. Within the industrial REITs sub-industry, an underweight position in Prologis, Inc. (portfolio average weight of 3.72%) and an overweight position in Americold Realty Trust (portfolio average weight of 1.02%) were the main detractors from the Fund’s performance. Within the health care REITs sub-industry, an overweight position in National Health Investors, Inc. (portfolio average weight of 0.40%) detracted from the Fund’s relative performance. Additionally, underweight exposure to the retail REITs sub-industry detracted from the Fund’s relative performance.

Key contributors to the Fund’s relative return included underweight exposure to the office REITs sub-industry and overweight exposure to the residential REITs sub-industry. Additionally, security selection in the specialized REITs sub-industry contributed to the Fund’s relative performance. In particular, an underweight position in Equinix, Inc. (average portfolio weight of 3.40%) contributed.

Property Type and Sub-Industry Breakdown (% of the Fund’s Net Assets) as of October 31, 2021
Infrastructure REITs			20.18
Industrial			13.41
Data Centers			11.21
Apartments			10.62
Self Storage			7.55
Health Care			7.41
Office			4.29
Manufactured Homes			3.92
Shopping Centers			3.86
Free Standing			3.46
Specialty			2.96
Diversified			2.90
Timber REITs			2.81
Lodging Resorts			2.75
Single Family Homes			2.65
Money Market Funds Plus Other Assets Less Liabilities			0.02
Top Ten Fund Holdings* (% of the Fund’s Net Assets) as of October 31, 2021
Security
American Tower Corp.			6.76
Crown Castle International Corp.			6.73
SBA Communications Corp., Class A			6.69
Equinix, Inc.			2.87
Digital Realty Trust, Inc.			2.86
CyrusOne, Inc.			2.81
CoreSite Realty Corp.			2.67
Extra Space Storage, Inc.			1.93
Life Storage, Inc.			1.91
CubeSmart			1.87
Total			37.10

 

*	Excluding money market fund holdings.

Fund Inception: November 20, 2008

Performance quoted above represents past performance. Past performance is not a guarantee of future results and current performance may be higher or lower than performance quoted. Investment returns and principal value will fluctuate, and shares of the Fund (“Fund Shares”), when redeemed or sold, may be worth more or less than their original cost. Fund performance reflects any applicable fee waivers and/or expense reimbursements. Had the adviser not waived fees and/or reimbursed expenses currently or in the past, returns would have been lower. See the current prospectus for more information. According to the Fund’s current prospectus, as supplemented to date, the Fund’s expense ratio of 0.35% is expressed as a unitary management fee to cover operating expenses and expenses incurred in connection with managing the portfolio. NAV and Market Price returns assume that dividends and capital gain distributions have been reinvested in the Fund at NAV and Market Price, respectively. The

returns shown in the table above do not reflect the deduction of taxes

that a shareholder would pay on Fund distributions or the redemption or sale of Fund Shares. See invesco.com/ETFs to find the most recent month-end performance numbers.

Performance results for the index stated above are based upon a hypothetical investment in their respective constituent securities. The returns of an index do not represent Fund returns. An investor cannot invest directly in an index. The index does not charge management fees or brokerage expenses, and no such fees or expenses were deducted from the hypothetical performance shown. In addition, the results actual investors might have achieved would have differed from those shown because of differences in the timing, amounts of their investments, and fees and expenses associated with an investment in the Fund.

Notes Regarding Index and Fund Performance History:

 

-	Average Annualized and Cumulative Inception returns for the Fund and index are based on the inception date of the Fund.

The Invesco Balanced Multi-Asset Allocation ETF (the “Fund”) is an actively managed exchange-traded fund (“ETF”) which seeks to provide current income and capital appreciation. The Fund is a “fund of funds,” meaning that it invests its assets primarily in other ETFs (“Underlying ETFs”), rather than in securities of individual companies. Under normal circumstances, most of those Underlying ETFs will be ETFs that are advised by the Fund’s adviser or one of its affiliates (the “Invesco ETFs”). However, at times the Fund also may invest a portion of its assets in Underlying ETFs that are advised by unaffiliated advisers. The Fund and the Invesco ETFs are part of the same group of investment companies. The Fund seeks to achieve its investment objective by allocating its assets using a balanced investment style that seeks to maximize the benefits of diversification, which focuses on investing portions of the Fund’s assets both in Underlying ETFs that invest primarily in fixed-income securities (“Fixed Income ETFs”) as well as in Underlying ETFs that invest primarily in equity securities (“Equity ETFs”).

Invesco Advisers, Inc., the Fund’s sub-adviser, uses the following investment process to construct the Fund’s portfolio: (1) a strategic allocation across broad asset classes (i.e., equities and fixed income securities) and particular investment factors within those classes (e.g., for fixed income securities, exposure to domestic, international, corporate, government, high-yield and investment grade bonds; for equity securities, exposure to domestic and international issuers); (2) selection of Underlying ETFs that best represent those broad asset classes and factor exposures, based on a comprehensive quantitative and qualitative criteria (such as management experience and structure, investment process, performance and risk metrics); (3) determination by the Fund’s sub-adviser of target weightings in each Underlying ETF in a manner that seeks to manage the amount of active risk contributed by each Underlying ETF; (4) and ongoing monitoring of the Fund’s performance and risk. The Fund typically holds a limited number of securities (generally 10-20).

For the fiscal year ended October 31, 2021, on a market price basis, the Fund returned 27.68%. On a net asset value (“NAV”) basis, the Fund returned 27.55%. During the same time period, the Custom Invesco Balanced Allocation ETF Index (the “Benchmark Index”) returned 21.02%, while the S&P 500^® Index returned 42.91%.

The Fund’s performance, on a NAV basis, was higher than the return of the Benchmark Index during the period primarily due to the Fund’s higher relative exposure to US equity securities. Exposure to small/mid cap equity securities, along with exposure to taxable municipal bonds and variable rate investment grade debt, also contributed to the Fund’s relative performance. The Fund’s performance, on a NAV basis, was lower than the return of the S&P 500 Index during the period primarily due to the Fund’s lower relative exposure to US equities.

For the fiscal year ended October 31, 2021, from an asset class perspective, exposure to US equity and small/mid cap equity through Underlying ETFs were the largest contributors to the Fund’s absolute returns, followed by non-US developed equity. From an asset class perspective, there were no detractors from the Fund’s performance.

Positions that contributed most significantly to the Fund’s absolute return included the Invesco RAFI Strategic US Small Company ETF (portfolio average weight of 6.86%), the Invesco Russell 1000 Dynamic Multifactor ETF (portfolio average weight of 8.58%) and Invesco RAFI Strategic US ETF (portfolio average weight of 8.82%). Positions that detracted most significantly from the Fund’s absolute return included the Invesco 1-30 Laddered Treasury ETF (portfolio average weight of 6.43%) and the Invesco Investment Grade Defensive ETF (portfolio average weight of 4.74%).

 

Market Segment Breakdown (% of the Fund’s Net Assets)* as of October 31, 2021
U.S. Equities			46.54
Fixed Income			37.69
International and Developed Equities			9.96
Emerging Markets Equities			5.81
Money Market Funds Plus Other Assets Less Liabilities			0.00

 

*	Reflects exposure achieved through investments in underlying funds.

 

Top Ten Fund Holdings* (% of the Fund’s Net Assets) as of October 31, 2021
Security
Invesco Taxable Municipal Bond ETF			12.44
Invesco S&P 500® Pure Growth ETF			8.96
Invesco RAFI™ Strategic US ETF			8.56
Invesco Russell 1000 Dynamic Multifactor ETF			7.49
Invesco 1-30 Laddered Treasury ETF			6.96
Invesco RAFI™ Strategic US Small Company ETF			5.50
Invesco RAFI™ Strategic Developed ex-US ETF			5.45
Invesco S&P MidCap Low Volatility ETF			5.00
Invesco S&P 500® Low Volatility ETF			4.53
Invesco S&P SmallCap Low Volatility ETF			4.51
Total			69.40

 

*	Excluding money market fund holdings.

Fund Inception: February 23, 2017

Performance quoted above represents past performance. Past performance is not a guarantee of future results and current performance may be higher or lower than performance quoted. Investment returns and principal value will fluctuate, and shares of the Fund (“Fund Shares”), when redeemed or sold, may be worth more or less than their original cost. Fund performance reflects any applicable fee waivers and/or expense reimbursements. Had the adviser not waived fees and/or reimbursed expenses currently or in the past, returns would have been lower. See the current prospectus for more information. According to the Fund’s current prospectus, the Fund’s expense ratio of 0.32% includes the unitary management fee of 0.05% and acquired fund fees and expenses of 0.27%. NAV and Market Price returns assume that dividends and capital gain distributions have been reinvested in the Fund at NAV and Market Price, respectively. The returns shown in the table above do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption or sale of Fund Shares. See invesco.com/ETFs to find the most recent month-end performance numbers.

Performance results for the indexes stated above are based upon a hypothetical investment in their respective constituent securities. The returns of an index do not represent Fund returns. An investor cannot invest directly in an index. The indexes do not charge management fees or brokerage expenses, and no such fees or expenses were deducted from the hypothetical performance shown. In addition, the results actual investors might have achieved would have differed from those shown because of differences in the timing, amounts of their investments, and fees and expenses associated with an investment in the Fund.

Notes Regarding Indexes and Fund Performance History:

 

-	Average Annualized and Cumulative Inception returns for the Fund and the indexes are based on the inception date of the Fund.

 

-	The Benchmark Index is a custom benchmark that consists of 60% MSCI ACWI Index and 40% Bloomberg Barclays U.S. Aggregate Bond Index.

The Invesco Conservative Multi-Asset Allocation ETF (the “Fund”) is an actively managed exchange-traded fund (“ETF”) which seeks total return consistent with a lower level of risk relative to the broad stock market. The Fund is a “fund of funds,” meaning that it invests its assets primarily in other ETFs (“Underlying ETFs”), rather than in securities of individual companies. Under normal circumstances, most of those Underlying ETFs will be ETFs that are advised by the Fund’s adviser or one of its affiliates (the “Invesco ETFs”). However, at times the Fund also may invest a portion of its assets in Underlying ETFs that are advised by unaffiliated advisers. The Fund and the Invesco ETFs are part of the same group of investment companies. The Fund seeks to achieve its investment objective by allocating its assets using a conservative investment style that seeks to maximize the benefits of diversification, which focuses on investing a greater portion of the Fund’s assets in Underlying ETFs that invest primarily in fixed- income securities (“Fixed Income ETFs”), but also provides some exposure to Underlying ETFs that invest primarily in equity securities (“Equity ETFs”).

Invesco Advisers, Inc., the Fund’s sub-adviser, uses the following investment process to construct the Fund’s portfolio: (1) a strategic allocation across broad asset classes (i.e., equities and fixed income securities) and particular investment factors within those classes (e.g., for fixed income securities, exposure to domestic, international, corporate, government, high-yield and investment grade bonds; for equity securities, exposure to domestic and international issuers); (2) selection of Underlying ETFs that best represent those broad asset classes and factor exposures, based on comprehensive quantitative and qualitative criteria (such as management experience and structure, investment process, performance and risk metrics);

(3) determination by the Fund’s sub-adviser of target weightings in each Underlying ETF in a manner that seeks to manage the amount of active risk contributed by each Underlying ETF; and (4) ongoing monitoring of the Fund’s performance and risk. The Fund typically holds a limited number of securities (generally 10-20).

For the fiscal year ended October 31, 2021, on a market price basis, the Fund returned 11.44%. On a net asset value (“NAV”) basis, the Fund returned 11.18%. During the same time period, the Custom Invesco Conservative Allocation ETF Index (the “Benchmark Index”) returned 6.32%, while the S&P 500^® Index returned 42.91%.

The Fund’s performance, on a NAV basis, was higher than the return of the Benchmark Index during the period primarily due to the Fund’s higher relative exposure to US equity securities. Exposure to high yield corporate bonds, along with taxable municipal bonds and preferred stock, also contributed to the Fund’s relative performance. The Fund’s performance, on a NAV basis, was lower than the return of the S&P 500 Index during the period primarily due to the Fund’s lower relative exposure to US

equities. For the fiscal year ended October 31, 2021, from an asset class perspective, exposure to US equity and high yield corporate bonds through Underlying ETFs were the largest contributors to the Fund’s absolute returns, followed by taxable municipal bonds. From an asset class perspective, there were no detractors from the Fund’s performance.

Positions that contributed most significantly to the Fund’s absolute return included the Invesco S&P 500 Pure Growth ETF (portfolio average weight of 4.77%) and the Invesco Russell 1000 Dynamic Multifactor ETF (portfolio average weight of 3.81%). Invesco Investment Grade Defensive ETF (portfolio average weight of 8.27%) along with the Invesco Investment Grade Value ETF (portfolio average weight of 4.38%) and the Invesco RAFI Strategic Emerging Markets ETF (portfolio average weight of 0.51%) detracted from the Fund’s absolute return.

 

Market Segment Breakdown (% of the Fund’s Net Assets)* as of October 31, 2021
Fixed Income			75.71
U.S. Equities			19.32
International and Developed Equities			4.00
Emerging Markets Equities			0.96
Money Market Funds Plus Other Assets Less Liabilities			0.01

 

*	Reflects exposure achieved through investments in underlying funds.

 

Top Ten Fund Holdings* (% of the Fund’s Net Assets) as of October 31, 2021
Security
Invesco Taxable Municipal Bond ETF			18.02
Invesco Variable Rate Investment Grade ETF			15.39
Invesco Fundamental High Yield® Corporate Bond ETF			11.93
Invesco 1-30 Laddered Treasury ETF			8.99
Invesco Senior Loan ETF			7.93
Invesco PureBetaSM 0-5 Yr US TIPS ETF			5.99
Invesco RAFI™ Strategic US ETF			4.57
Invesco Preferred ETF			3.99
Invesco Investment Grade Defensive ETF			3.97
Invesco S&P 500® Pure Growth ETF			3.71
Total			84.49

 

*	Excluding money market fund holdings.

Fund Inception: February 23, 2017

Performance quoted above represents past performance. Past performance is not a guarantee of future results and current performance may be higher or lower than performance quoted. Investment returns and principal value will fluctuate, and shares of the Fund (“Fund Shares”), when redeemed or sold, may be worth more or less than their original cost. Fund performance reflects any applicable fee waivers and/or expense reimbursements. Had the adviser not waived fees and/or reimbursed expenses currently or in the past, returns would have been lower. See the current prospectus for more information. According to the Fund’s current prospectus, the Fund’s expense ratio of 0.36% includes the unitary management fee of 0.05% and acquired fund fees and expenses of 0.31%. NAV and Market Price returns assume that dividends and capital gain distributions have been reinvested in the Fund at NAV and Market Price, respectively. The returns shown in the table above do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption or sale of Fund Shares. See invesco.com/ETFs to find the most recent month-end performance numbers.

Performance results for the indexes stated above are based upon a hypothetical investment in their respective constituent securities. The returns of an index do not represent Fund returns. An investor cannot invest directly in an index. The indexes do not charge management fees or brokerage expenses, and no such fees or expenses were deducted from the hypothetical performance shown. In addition, the results actual investors might have achieved would have differed from those shown because of differences in the timing, amounts of their investments, and fees and expenses associated with an investment in the Fund.

Notes Regarding Indexes and Fund Performance History:

 

-	Average Annualized and Cumulative Inception returns for the Fund and the indexes are based on the inception date of the Fund.

 

-	The Benchmark Index is a custom benchmark that consists of 20% MSCI ACWI Index and 80% Bloomberg Barclays U.S. Aggregate Bond Index.

The Invesco Growth Multi-Asset Allocation ETF (the “Fund”) is an actively managed exchange-traded fund (“ETF”) which seeks to provide long-term capital appreciation. The Fund is a “fund of funds,” meaning that it invests its assets primarily in other ETFs (“Underlying ETFs”), rather than in securities of individual companies. Under normal circumstances, most of those Underlying ETFs will be ETFs that are advised by the Fund’s adviser or one of its affiliates (the “Invesco ETFs”). However, at times the Fund also may invest a portion of its assets in Underlying ETFs that are advised by unaffiliated advisers. The Fund and the Invesco ETFs are part of the same group of investment companies. The Fund seeks to achieve its investment objective by allocating its assets using a growth investment style that seeks to maximize the benefits of diversification, which focuses on investing a greater portion of Fund assets in Underlying ETFs that invest primarily in equity securities (“Equity ETFs”), but also provides some exposure to Underlying ETFs that invest primarily in fixed-income securities (“Fixed Income ETFs”).

Invesco Advisers, Inc., the Fund’s sub-adviser, uses the following investment process to construct the Fund’s portfolio: (1) a strategic allocation across broad asset classes (i.e., equities and fixed income securities) and particular investment factors within those classes (e.g., for fixed income securities, exposure to domestic, international, corporate, government, high-yield and investment grade bonds; for equity securities, exposure to domestic and international stocks); (2) selection of Underlying ETFs that best represent those broad asset classes and factor exposures, based on comprehensive quantitative and qualitative criteria (such as management experience and structure, investment process, performance and risk metrics); (3) determination by the Fund’s sub-adviser of target weightings in each Underlying ETF in a manner that seeks to manage the amount of active risk contributed by each Underlying ETF; and (4) ongoing monitoring of the Fund’s performance and risk. The Fund typically holds a limited number of securities (generally 10-20).

For the fiscal year ended October 31, 2021, on a market price basis, the Fund returned 36.58%. On a net asset value (“NAV”) basis, the Fund returned 36.68%. During the same time period, the Custom Invesco Growth Allocation ETF Index (the “Benchmark Index”) returned 28.95%, while the S&P 500^® Index returned 42.91%.

The Fund’s performance, on a NAV basis, was higher than the return of the Benchmark Index during the period primarily due to the Fund’s higher relative exposure to US equity securities. Exposure to small/mid cap equity securities, along with exposure to taxable municipal bonds and treasury inflation-protected securities (TIPS), also contributed to the Fund’s relative performance. The Fund’s performance, on a NAV basis, was lower than the return of the S&P 500 Index during the period primarily due to the Fund’s lower relative exposure to US equities.

For the fiscal year ended October 31, 2021, from an asset class perspective, exposure to US equity and small/mid cap equity through Underlying ETFs were the largest contributors to the Fund’s absolute returns, followed by non-US developed equity. From an asset class perspective, there were no detractors from the Fund’s performance.

Positions that contributed most significantly to the Fund’s absolute return included the Invesco Russell 1000 Dynamic Multifactor ETF (portfolio average weight of 11.07%) and the Invesco RAFI Strategic US Small Company ETF (portfolio average weight of 8.62%). Invesco Investment Grade Defensive ETF (portfolio average weight of 3.63%) was the only position to detract from the Fund’s absolute return.

 

Market Segment Breakdown (% of the Fund’s Net Assets)* as of October 31, 2021
U.S. Equities			57.58
Fixed Income			19.78
International and Developed Equities			14.40
Emerging Markets Equities			8.23
Money Market Funds Plus Other Assets Less Liabilities			0.01

 

*	Reflects exposure achieved through investments in underlying funds.

 

Top Ten Fund Holdings* (% of the Fund’s Net Assets) as of October 31, 2021
Security
Invesco S&P 500® Pure Growth ETF			12.09
Invesco RAFI™ Strategic US ETF			11.04
Invesco Russell 1000 Dynamic Multifactor ETF			9.46
Invesco RAFI™ Strategic Developed ex-US ETF			7.40
Invesco S&P International Developed Low Volatility ETF			6.99
Invesco RAFI™ Strategic US Small Company ETF			6.98
Invesco S&P 500® Low Volatility ETF			6.03
Invesco S&P SmallCap Low Volatility ETF			6.00
Invesco S&P MidCap Low Volatility ETF			5.98
Invesco 1-30 Laddered Treasury ETF			5.95
Total			77.92

 

*	Excluding money market fund holdings.

Fund Inception: February 23, 2017

Performance quoted above represents past performance. Past performance is not a guarantee of future results and current performance may be higher or lower than performance quoted. Investment returns and principal value will fluctuate, and shares of the Fund (“Fund Shares”), when redeemed or sold, may be worth more or less than their original cost. Fund performance reflects any applicable fee waivers and/or expense reimbursements. Had the adviser not waived fees and/or reimbursed expenses currently or in the past, returns would have been lower. See the current prospectus for more information. According to the Fund’s current prospectus, the Fund’s expense ratio of 0.30% includes the unitary management fee of 0.05% and acquired fund fees and expenses of 0.25%. NAV and Market Price returns assume that dividends and capital gain distributions have been reinvested in the Fund at NAV and Market Price, respectively. The returns shown in the table above do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption or sale of Fund Shares. See invesco.com/ETFs to find the most recent month-end performance numbers.

Performance results for the indexes stated above are based upon a hypothetical investment in their respective constituent securities. The returns of an index do not represent Fund returns. An investor cannot invest directly in an index. The indexes do not charge management fees or brokerage expenses, and no such fees or expenses were deducted from the hypothetical performance shown. In addition, the results actual investors might have achieved would have differed from those shown because of differences in the timing, amounts of their investments, and fees and expenses associated with an investment in the Fund.

Notes Regarding Indexes and Fund Performance History:

 

-	Average Annualized and Cumulative Inception returns for the Fund and the indexes are based on the inception date of the Fund.

 

-	The Benchmark Index is a custom benchmark that consists of 80% MSCI ACWI Index and 20% Bloomberg Barclays U.S. Aggregate Bond Index.

The Invesco High Yield Bond Factor ETF (the “Fund”) is an actively managed exchange-traded fund (“ETF”) which seeks to provide total return. The Fund seeks to achieve its investment objective by investing, under normal market conditions, at least 80% of its net assets (plus the amount of any borrowings for investment purposes) in high-yield, below-investment grade, fixed-income securities (also referred to as “junk” bonds), and in derivatives and other instruments that have economic characteristics similar to such securities.

Invesco Advisers, Inc., the Fund’s sub-adviser, selects securities for the Fund’s portfolio by utilizing a factor-based strategy that involves systematically targeting securities exhibiting quantifiable issuer characteristics (or “factors”) that the sub-adviser believes will have higher returns than other fixed income securities with comparable characteristics over market cycles. In practice, this means the Fund may have higher allocations to: value bonds (bonds that have high spreads relative to other securities of similar credit quality and/or sector); low volatility bonds (bonds that have lower levels of price volatility); and high carry bonds (bonds with higher absolute yield or spread). The portfolio managers expect to include additional factors, modify the factors used to build the Fund’s portfolio, or, alternatively, actively manage the Fund’s portfolio to minimize certain risks, as it deems appropriate.

During the fiscal period from the Fund’s inception (December 2, 2020) through October 31, 2021, on a market price basis, the Fund returned 5.30%. On a net asset value (“NAV”) basis, the Fund returned 5.39%. During the same time period, the Bloomberg U.S. Corporate High Yield 2% Issuer Cap Index (the “Benchmark Index”) returned 5.95%.

The Fund’s performance, on a NAV basis, was less than the return of the Benchmark Index during the period primarily because of the Fund’s underweight allocation to the consumer staples sector and the health care sector. Exposure to US Treasuries detracted from the Fund’s relative performance. During the same time period, the Benchmark Index posted a positive return, driven by a larger allocation to the energy and the industrials sectors.

For the fiscal period ended October 31, 2021, from an industry perspective, exposure in oil, gas & consumable fuels was the largest contributor to the Fund’s absolute returns, followed by equity real estate investment trusts (REITs). In contrast, diversification in independent power and renewable electricity producers and pharmaceuticals detracted from the Fund’s performance.

Positions that contributed most significantly to the Fund’s absolute return included the Occidental Petroleum Corp. (portfolio average weight of 1.10%) and a 10-Year US Treasury Note (no longer held at fiscal year-end). Positions that detracted most significantly from the Fund’s absolute return included a 10-Year US Treasury Note (no longer held at fiscal year-end) and a 10-Year US Treasury Note (no longer held at fiscal year-end).

Security Type Breakdown (% of the Fund’s Net Assets) as of October 31, 2021
U.S. Dollar Denominated Bonds & Notes			97.23
U.S. Treasury Securities			0.19
Money Market Funds Plus Other Assets Less Liabilities			2.58
Top Ten Fund Holdings* (% of the Fund’s Net Assets) as of October 31, 2021
Security
Occidental Petroleum Corp., 8.88%, 07/15/2030			1.09
Uniti Group L.P./Uniti Fiber Holdings, Inc./CSL Capital LLC, 7.88%, 02/15/2025			0.75
Wynn Las Vegas LLC/Wynn Las Vegas Capital Corp., 5.50%, 03/01/2025			0.71
GFL Environmental, Inc., 4.25%, 06/01/2025			0.66
Cleveland-Cliffs, Inc., 6.75%, 03/15/2026			0.66
Staples, Inc., 7.50%, 04/15/2026			0.64
Sprint Corp., 7.13%, 06/15/2024			0.64
DIRECTV Holdings LLC/DIRECTV Financing Co., Inc, 5.88%, 08/15/2027			0.64
Herbalife Nutrition Ltd./HLF Financing, Inc., 7.88%, 09/01/2025			0.64
Sprint Corp., 7.88%, 09/15/2023			0.63
Total			7.06

 

*	Excluding money market fund holdings.

Fund Inception: December 2, 2020

Performance quoted above represents past performance. Past performance is not a guarantee of future results and current performance may be higher or lower than performance quoted.

Investment returns and principal value will fluctuate, and shares of the Fund (“Fund Shares”), when redeemed or sold, may be worth more or less than their original cost. Fund performance reflects any applicable fee waivers and/or expense reimbursements. Had the adviser not waived fees and/or reimbursed expenses currently or in the past, returns would have been lower. See the current prospectus for more information. According to the Fund’s current prospectus, the Fund’s expense ratio of 0.39% is expressed as a unitary management fee to cover operating expenses and expenses incurred in connection with managing the portfolio. The Financial Highlights section of the Shareholder Report presents the expense ratios based on expenses incurred during the period covered by this report. NAV and Market Price returns assume that dividends and capital gain distributions have been reinvested in the Fund at NAV and Market Price, respectively. The returns shown in the table

above do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption or sale of Fund Shares. See invesco.com/ETFs to find the most recent month-end performance numbers.

Performance results for the index stated above are based upon a hypothetical investment in their respective constituent securities. The returns of an index do not represent Fund returns. An investor cannot invest directly in an index. The index does not charge management fees or brokerage expenses, and no such fees or expenses were deducted from the hypothetical performance shown. In addition, the results actual investors might have achieved would have differed from those shown because of differences in the timing, amounts of their investments, and fees and expenses associated with an investment in the Fund.

Notes Regarding Indexes and Fund Performance History:

 

-	Cumulative Inception returns for the Fund and index are based on the inception date of the Fund.

The Invesco Moderately Conservative Multi-Asset Allocation ETF (the “Fund”) is an actively managed exchange-traded fund (“ETF”) which seeks to provide current income and some capital appreciation. The Fund is a “fund of funds,” meaning that it invests its assets primarily in other ETFs (“Underlying ETFs”), rather than in securities of individual companies. Under normal circumstances, most of those Underlying ETFs will be ETFs that are advised by the Fund’s adviser or one of its affiliates (the “Invesco ETFs”). However, at times the Fund also may invest a portion of its assets in Underlying ETFs that are advised by unaffiliated advisers. The Fund and the Invesco ETFs are part of the same group of investment companies. The Fund seeks to achieve its investment objective by allocating its assets using a moderately conservative investment style that seeks to maximize the benefits of diversification, which focuses on investing portions of the Fund’s assets in Underlying ETFs that invest primarily in equity securities (“Equity ETFs”), as well as in Underlying ETFs that invest primarily in fixed-income securities (“Fixed Income ETFs”).

Invesco Advisers, Inc., the Fund’s sub-adviser uses the following

investment process to construct the Fund’s portfolio: (1) a strategic allocation across broad asset classes (i.e., equities and fixed income securities) and particular investment factors within those classes (e.g., for fixed income securities, exposure to domestic, international, corporate, government, high-yield and investment grade bonds; for equity securities, exposure to domestic and international stocks); (2) selection of Underlying ETFs that best represent those broad asset classes and factor exposures, based on comprehensive quantitative and qualitative criteria (such as management experience and structure, investment process, performance and risk metrics); (3) determination by the Fund’s sub-adviser of target weightings in each Underlying ETF in a manner that seeks to manage the amount of active risk contributed by each Underlying ETF; and (4) ongoing monitoring of the Fund’s performance and risk. The Fund typically holds a limited number of securities (generally 10-20).

For the fiscal year ended October 31, 2021, on a market price basis, the Fund returned 19.57%. On a net asset value (“NAV”) basis, the Fund returned 19.34%. During the same time period, the Custom Invesco Moderately Conservative Allocation ETF Index (the “Benchmark Index”) returned 13.49%, while the S&P 500^® Index returned 42.91%.

The Fund’s performance, on a NAV basis, was higher than the return of the Benchmark Index during the period primarily due to the Fund’s higher relative exposure to US equities and small/mid cap equities. Exposure to emerging markets equities and non-US developed equities detracted from the Fund’s relative performance. The Fund’s performance, on a NAV basis, was lower than the return of the S&P 500 Index during the period primarily due to the Fund’s lower relative exposure to US equities.

For the fiscal year ended October 31, 2021, from an asset class perspective, exposure to U.S. equity and small/mid cap equity through Underlying ETFs were the largest contributors to the Fund’s absolute returns, followed by taxable municipal bonds and high yield corporate bonds. From an asset class perspective, there were no detractors from the Fund’s performance.

Positions that contributed most significantly to the Fund’s absolute return included the Invesco S&P 500 Pure Growth ETF (portfolio average weight of 7.45%) and the Invesco Russell 1000 Dynamic Multifactor ETF (portfolio average weight of 6.09%). Positions that detracted most significantly from the Fund’s absolute return included the Invesco 1-30 Laddered Treasury ETF (portfolio average weight of 6.47%) and the Invesco Investment Grade Defensive ETF (portfolio average weight of 6.85%).

 

Market Segment Breakdown (% of the Fund’s Net Assets)* as of October 31, 2021
Fixed Income			56.62
U.S. Equities			33.00
International and Developed Equities			10.37
Money Market Funds Plus Other Assets Less Liabilities			0.01

 

*	Reflects exposure achieved through investments in underlying funds.

 

Top Ten Fund Holdings* (% of the Fund’s Net Assets) as of October 31, 2021
Security
Invesco Taxable Municipal Bond ETF			15.95
Invesco Variable Rate Investment Grade ETF			9.41
Invesco Fundamental High Yield® Corporate Bond ETF			8.92
Invesco 1-30 Laddered Treasury ETF			7.97
Invesco RAFI™ Strategic US ETF			7.57
Invesco S&P 500® Pure Growth ETF			7.40
Invesco Russell 1000 Dynamic Multifactor ETF			5.50
Invesco PureBetaSM 0-5 Yr US TIPS ETF			4.97
Invesco Senior Loan ETF			4.45
Invesco RAFI™ Strategic Developed ex-US ETF			3.47
Total			75.61

 

*	Excluding money market fund holdings.

Fund Inception: February 23, 2017

Performance quoted above represents past performance. Past performance is not a guarantee of future results and current performance may be higher or lower than performance quoted. Investment returns and principal value will fluctuate, and shares of the Fund (“Fund Shares”), when redeemed or sold, may be worth more or less than their original cost. Fund performance reflects any applicable fee waivers and/or expense reimbursements. Had the adviser not waived fees and/or reimbursed expenses currently or in the past, returns would have been lower. See the current prospectus for more information. According to the Fund’s current prospectus, the Fund’s expense ratio of 0.33% includes the unitary management fee of 0.05% and acquired fund fees and expenses of 0.28%. NAV and Market Price returns assume that dividends and capital gain distributions have been reinvested in the Fund at NAV and Market Price, respectively. The returns shown in the table above do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption or sale of Fund Shares. See invesco.com/ETFs to find the most recent month-end performance numbers.

Performance results for the indexes stated above are based upon a hypothetical investment in their respective constituent securities. The returns of an index do not represent Fund returns. An investor cannot invest directly in an index. The indexes do not charge management fees or brokerage expenses, and no such fees or expenses were deducted from the hypothetical performance shown. In addition, the results actual investors might have achieved would have differed from those shown because of differences in the timing, amounts of their investments, and fees and expenses associated with an investment in the Fund.

Notes Regarding Indexes and Fund Performance History:

 

-	Average Annualized and Cumulative Inception returns for the Fund and the indexes are based on the inception date of the Fund.

 

-	The Benchmark Index is a custom benchmark that consists of 40% MSCI ACWI Index and 60% Bloomberg Barclays U.S. Aggregate Bond Index.

The Invesco S&P 500^® Downside Hedged ETF (the “Fund”) is an actively managed exchange-traded fund (“ETF”) that seeks to achieve positive total returns in rising or falling markets that are not directly correlated to broad equity or fixed income market returns. The Fund seeks to achieve its investment objective by using a quantitative, rules-based strategy to allocate its assets among components of the S&P 500^® Dynamic VEQTOR Index (the “Benchmark Index”) in a combination of (i) equity securities contained in the S&P 500^® Index and that are listed on a U.S. securities exchange, (ii) Chicago Board Options Exchange (“CBOE”) Volatility Index (“VIX Index”) related instruments, such as listed VIX Index futures contracts that reflect exposure to the S&P 500^® VIX Short Term Futures Index (“VIX Futures Index”), and (iii) money market instruments, cash and cash equivalents. However, the Fund’s allocations among its investments may not correspond to those of the Benchmark Index.

Rather than adhering to the Benchmark Index’s strategy allocation rules, the Adviser uses active management techniques in seeking to obtain returns that exceed the Benchmark Index by providing the Fund with higher or lower exposure to any component within the Benchmark Index at any time. In addition, the Fund may invest in other VIX Index related instruments, including ETFs and exchange-traded notes that are listed on a U.S. securities exchange and that provide exposure to the VIX Index and U.S. listed futures contracts that track the S&P 500^® Index and are listed on the Chicago Mercantile Exchange. Consistent with its investment strategy, the Fund moves to a substantial cash position from time to time during periods of heightened volatility.

For the fiscal year ended October 31, 2021, on a market price basis, the Fund returned 13.49%. On a net asset value (“NAV”) basis, the Fund returned 13.86%. During the same time period, the Benchmark Index returned 14.63%. The Fund’s underperformance on a NAV basis, relative to the return of the Benchmark Index was primarily due to fees and transaction costs, as well as trading slippage incurred by the Fund during the fiscal year.

During this same time period, the S&P 500^® Index returned 42.91% and the U.S. 3-Month Treasury Bill Index (the “T-Bill 3-Month Index”) returned 0.05% (these indexes, collectively with the Benchmark Index, are referred to as the “Indexes”). The Indexes were selected for their recognition in the marketplace. The S&P 500^® Index was selected because its performance comparison is a useful measure for investors as a broad representation of the equity market. The T-Bill 3-Month Index was selected because its performance comparison is a useful measure for investors as a broad representation of the short-term U.S. fixed income market.

The Fund’s performance, on a NAV basis, differed from the return of the S&P 500^® Index during the period primarily because of the Fund’s consistent allocation to VIX futures, which generally have

an inverse correlation to the S&P 500^® Index. The Fund’s performance, on a NAV basis, differed from the return of the U.S. 3-Month Treasury Bill Index during the period primarily because of the Fund’s consistent allocation to VIX Futures.

For the fiscal year ended October 31, 2021, the information technology sector contributed most significantly to the Fund’s return, followed by the financials sector. The Fund’s VIX futures allocations were the only detractors from the Fund’s return.

Positions that contributed most significantly to the Fund’s return included the E-Mini S&P 500 (CME) Jun 21 futures contract (portfolio average weight of 7.96%) and the E-Mini S&P 500 (CME) Dec 20 futures contract (portfolio average weight of 2.50%). The position that detracted most significantly from the Fund’s return was the CBOE VIX (CBF) Dec 20, a VIX futures contract (portfolio average weight of 0.91%).

 

Sector Breakdown (% of the Fund’s Net Assets) as of October 31, 2021
Information Technology			17.10
Health Care			7.97
Consumer Discretionary			7.85
Financials			6.97
Communication Services			6.63
Industrials			4.92
Consumer Staples			3.43
Sector Types Each Less Than 3%			6.36
Money Market Funds Plus Other Assets Less Liabilities			38.77
Top Ten Fund Holdings* (% of the Fund’s Net Assets) as of October 31, 2021
Security
Microsoft Corp.			3.90
Apple, Inc.			3.69
Amazon.com, Inc.			2.30
Tesla, Inc.			1.42
Alphabet, Inc., Class A			1.40
Alphabet, Inc., Class C			1.31
Meta Platforms, Inc., Class A			1.21
NVIDIA Corp.			1.00
Berkshire Hathaway, Inc., Class B			0.83
JPMorgan Chase & Co.			0.80
Total			17.86

 

*	Excluding money market fund holdings.

Fund Inception: December 6, 2012

Performance quoted above represents past performance. Past performance is not a guarantee of future results and current performance may be higher or lower than performance quoted. Investment returns and principal value will fluctuate, and shares of the Fund (“Fund Shares”), when redeemed or sold, may be worth more or less than their original cost. Fund performance reflects any applicable fee waivers and/or expense reimbursements. Had the adviser not waived fees and/or reimbursed expenses currently or in the past, returns would have been lower. See the current prospectus for more information. The adviser has contractually agreed to waive fees and/or pay certain Fund expenses through August 31, 2023. According to the Fund’s current prospectus, the Fund’s expense ratio of 0.45% (0.40% after fee waiver) includes the unitary management fee of 0.39% and acquired fund fees and expenses of 0.06%. NAV and Market Price returns assume that dividends and capital gain distributions have been reinvested in the Fund at NAV and Market Price, respectively. The returns shown in the table above do not reflect the deduction of taxes that a shareholder would pay

on Fund distributions or the redemption or sale of Fund Shares. See invesco.com/ETFs to find the most recent month-end performance numbers.

Performance results for the indexes stated above are based upon a hypothetical investment in their respective constituent securities. The returns of an index do not represent Fund returns. An investor cannot invest directly in an index. The indexes do not charge management fees or brokerage expenses, and no such fees or expenses were deducted from the hypothetical performance shown. In addition, the results actual investors might have achieved would have differed from those shown because of differences in the timing, amounts of their investments, and fees and expenses associated with an investment in the Fund.

Notes Regarding Indexes and Fund Performance History:

 

-	Average Annualized and Cumulative Inception returns for the Fund and the indexes are based on the inception date of the Fund.

The Invesco Total Return Bond ETF (the “Fund”) is an actively managed exchange-traded fund (“ETF”) whose investment objective is to seek maximum total return, comprised of income and capital appreciation. The Fund will normally invest in a portfolio of fixed income instruments of varying maturities and of any credit quality. The Fund will normally invest at least 80% of its net assets (plus any borrowings for investment purposes) in fixed income instruments, which may be represented by certain derivative instruments as discussed below, and also include exchange-traded funds (“ETFs”) and closed-end funds (“CEFs”) that invest substantially all of their assets in fixed income instruments (which may include ETFs and CEFs affiliated with the Fund). The fixed income instruments in which the Fund will invest include corporate debt securities of U.S. and non-U.S. issuers, including corporate bonds, and other similar instruments, such as Treasury securities, collateralized loan obligations, mortgage- backed securities and asset-backed securities, issued by various

U.S. and non-U.S. public- or private-sector entities, and municipal securities, which are debt securities issued by states or local governments and their agencies, authorities and other government sponsored enterprises.

For the fiscal year ended October 31, 2021, on a market price basis, the Fund returned 2.14%. On a net asset value (“NAV”) basis, the Fund returned 2.06%.

During this same time period, the Bloomberg U.S. Aggregate Bond Index (the “Benchmark Index”) returned (0.48)%. The Benchmark Index is an unmanaged index weighted by market capitalization based on the average performance of approximately 11,570 securities. The Benchmark Index was selected for its recognition in the marketplace, and its performance comparison is a useful measure for investors as a broad representation of the U.S. bond market.

Relative to the Benchmark Index, the Fund was most overweight in the financials sector and most underweight in the health care sector during the fiscal year ended October 31, 2021. The Fund’s performance, on a NAV basis, exceeded returns of the Benchmark Index during the period primarily because of the Fund’s overweight allocation to the financials and industrials sectors. Additionally, the Fund’s performance was positively impacted by security selection within the equity real estate investment trusts (REITs), insurance, and airlines industries. Security selection within the consumer staples sector detracted from the Fund’s performance relative to the Benchmark Index for the period.

Individual positions that contributed most significantly to the Fund’s return included a Corning, Inc. a T-Bond (no longer held at fiscal year-end) and a 10-Year US Treasury Note (no longer held at fiscal year-end). Positions that detracted most significantly from the Fund’s return included a US Treasury Bond position (no longer held at fiscal year-end) and a US Ultra T-Bond (no longer held at fiscal year-end).

Asset Group (% of the Fund’s Net Assets) as of October 31, 2021
U.S. Dollar Denominated Bonds & Notes			53.60
Asset-Backed Securities			21.12
U.S. Government Sponsored Agency Mortgage-Backed Securities			9.66
U.S. Treasury Securities			3.07
Preferred Stocks			0.66
U.S. Government Sponsored Agency Securities			0.31
Municipal Obligations			0.30
Agency Credit Risk Transfer Notes			0.13
Options Purchased			0.11
Open Over-The-Counter Foreign Currency Options Purchased			0.05
Non-U.S. Dollar Denominated Bonds & Notes			0.05
Money Market Funds Plus Other Assets Less Liabilities			10.94
Top Ten Fund Holdings* (% of the Fund’s Net Assets) as of October 31, 2021
Security
Uniform Mortgage Backed Securities, TBA, 2.00%, 11/01/2051			2.59
Uniform Mortgage Backed Securities, TBA, 2.50%, 11/01/2051			1.79
Banc of America Merrill Lynch Large Loan, Inc., Series 2015-200P, Class A, 3.22%, 04/14/2033			1.06
U.S. Treasury Notes, 0.88%, 09/30/2026			1.01
BX Trust, Series 2021-LGCY, Class B, 0.96%, 10/15/2023			1.00
Mozart Debt Merger Sub, Inc., 3.88%, 04/01/2029			0.89
Uniform Mortgage Backed Securities, TBA, 1.50%, 11/01/2036			0.88
BX Commercial Mortgage Trust, Series 2021-VOLT, Class D, 1.74%, 09/15/2036			0.88
Golub Capital Partners CLO 40A Ltd., Series 2019-40A, Class AR, 1.21%, 01/25/2032			0.80
U.S. Treasury Bonds, 2.38%, 05/15/2051			0.74
Total			11.64

 

*	Excluding money market fund holdings.

Guggenheim Total Return Bond ETF (the “Predecessor Fund”) Inception: February 10, 2016

Performance quoted above represents past performance. Past performance is not a guarantee of future results and current performance may be higher or lower than performance quoted. Investment returns and principal value will fluctuate, and shares of the Fund (“Fund Shares”), when redeemed or sold, may be worth more or less than their original cost. Fund performance reflects any applicable fee waivers and/or expense reimbursements. Had the adviser not waived fees and/or reimbursed expenses currently or in the past, returns would have been lower. See the current prospectus for more information. According to the Fund’s current prospectus, the Fund’s expense ratio of 0.50% is expressed as a unitary management fee to cover operating expenses and expenses incurred in connection with managing the portfolio. The Financial Highlights section of the Shareholder Report presents the expense ratios based on expenses incurred during the period covered by this report. NAV and Market Price returns assume that dividends and capital gain distributions have been reinvested in the Fund at NAV and Market Price, respectively. The returns shown in the table above do not reflect the deduction of taxes that a shareholder would pay

on Fund distributions or the redemption or sale of Fund Shares. See invesco.com/ETFs to find the most recent month-end performance numbers.

Performance results for the index stated above are based upon a hypothetical investment in their respective constituent securities. The returns of an index do not represent Fund returns. An investor cannot invest directly in an index. The index does not charge management fees or brokerage expenses, and no such fees or expenses were deducted from the hypothetical performance shown. In addition, the results actual investors might have achieved would have differed from those shown because of differences in the timing, amounts of their investments, and fees and expenses associated with an investment in the Fund.

Notes Regarding Index and Fund Performance History:

 

-	Average Annualized and Cumulative Inception returns for the Fund and the index are based on the inception date of the Predecessor Fund.

 

-	Effective after the close of business on April 6, 2018, the Predecessor Fund was reorganized into the Fund. Fund returns shown are blended returns of the Predecessor Fund and the Fund.

The Invesco Ultra Short Duration ETF (the “Fund”) is an actively managed exchange-traded fund (“ETF”) whose investment objective is to seek maximum current income, consistent with preservation of capital and daily liquidity. The Fund will invest at least 80% of its net assets (plus any borrowings for investment purposes) in fixed income securities and in exchange-traded funds (“ETFs”) and closed-end funds that invest substantially all of their assets in fixed income securities. The Fund uses a low duration strategy to seek to outperform the ICE BofA US Treasury Bill Index (the “Benchmark Index”) in addition to providing returns in excess of those available in U.S. Treasury bills, government repurchase agreements, and money market funds, while seeking to provide preservation of capital and daily liquidity. The Fund expects, under normal circumstances, to hold a diversified portfolio of fixed income instruments of varying maturities, but that have an average duration of less than one year.

The Fund is primarily invested in corporate bonds, commercial paper and asset-backed securities. The Fund’s high allocation to floating rate securities reduces interest rate risk while commercial paper helps the Fund manage its liquidity needs. The Fund’s focus on high-quality short maturity holdings helps the Fund manage credit risk. The Fund continues to maintain an average effective duration below one year. The portfolio management team believes the Fund is well positioned for interest rate volatility and broader financial market sell-offs overall and relative to other conservative ultra-short fixed income funds. The Fund’s significant holdings in high quality investment grade assets and money market securities continue to help reduce drawdown risks, while preserving capital and maintaining a competitive yield.

For the fiscal year ended October 31, 2021, on a market price basis, the Fund returned 0.34%. On a net asset value (“NAV”) basis, the Fund returned 0.36%. During the same time period, the Benchmark Index returned 0.06%. The Fund’s performance, on a NAV basis, exceeded the return of the Benchmark Index during the year primarily due to the Fund maintaining an overweight position in short maturity investment grade credit securities.

Active positioning of investment grade corporate bonds of financial companies and cash securities were positive contributors to the Fund’s performance and specifically contributed to the Fund’s outperformance of the Benchmark Index. Investment grade corporate bonds benefitted from support from the U.S. Federal Reserve after spreads widened significantly earlier in the period due to the impact of the COVID-19 pandemic on the economy.

The allocation to thrifts & mortgage finance was a detractor from the Fund’s performance relative to the Fund’s Benchmark Index.

Security Type Breakdown (% of the Fund’s Net Assets) as of October 31, 2021
U.S. Dollar Denominated Bonds & Notes			47.12
Commercial Paper			30.59
Asset-Backed Securities			13.92
Repurchase Agreements			6.88
Certificate of Deposit			0.85
U.S. Treasury Securities			0.41
Variable Rate Senior Loan Interests			0.06
Money Market Funds Plus Other Assets Less Liabilities			0.17
Top Ten Fund Holdings* (% of the Fund’s Net Assets) as of October 31, 2021
Security
Societe Generale, joint term agreement dated 09/30/2021, 0.48%, 04/04/2022			1.70
Citigroup Global Markets, Inc., joint open agreement dated 10/06/2021, 0.62%, 11/01/2021			1.70
Jabil, Inc., 0.50%, 11/22/2021			1.35
Bayer US Finance II LLC, 3.88%, 12/15/2023			1.08
J.P. Morgan Securities LLC, joint open agreement dated 06/11/2021, 0.37%, 11/01/2021			1.02
Rogers Communications, Inc., 0.28%, 01/13/2022			0.99
Sumitomo Mitsui Banking Corp., 0.70%, 07/08/2022			0.85
J.P. Morgan Securities LLC, open agreement dated 03/02/2020, 0.46%, 11/01/2021			0.85
Nomura Securities International, Inc., joint term agreement dated 10/29/2021, 0.74%, 02/28/2022			0.85
AbbVie, Inc., 0.59%, 11/19/2021			0.85
Total			11.24

 

*	Excluding money market fund holdings.

Guggenheim Ultra Short Duration ETF (the “Predecessor Fund”) Inception: February 12, 2008

Performance quoted above represents past performance. Past performance is not a guarantee of future results and current performance may be higher or lower than performance quoted. Investment returns and principal value will fluctuate, and shares of the Fund (“Fund Shares”), when redeemed or sold, may be worth more or less than their original cost. Fund performance reflects any applicable fee waivers and/or expense reimbursements. Had the adviser not waived fees and/or reimbursed expenses currently or in the past, returns would have been lower. See the current prospectus for more information. According to the Fund’s current prospectus, the total annual operating expense ratio was indicated as 0.22% The Financial Highlights section of the Shareholder Report presents the expense ratios based on expenses incurred during the period covered by this report. NAV and Market Price returns assume that dividends and capital gain distributions have been reinvested in the Fund at NAV and Market Price, respectively. The returns shown in the table above do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption or

sale of Fund Shares. See invesco.com/ETFs to find the most recent month-end performance numbers.

Performance results for the index stated above are based upon a hypothetical investment in their respective constituent securities. The returns of an index do not represent Fund returns. An investor cannot invest directly in an index. The index does not charge management fees or brokerage expenses, and no such fees or expenses were deducted from the hypothetical performance shown. In addition, the results actual investors might have achieved would have differed from those shown because of differences in the timing, amounts of their investments, and fees and expenses associated with an investment in the Fund.

Notes Regarding Index and Fund Performance History:

 

-	Average Annualized and Cumulative Inception returns for the Fund and the index are based on the inception date of the Predecessor Fund.

 

-	Effective after the close of business on April 6, 2018, the Predecessor Fund was reorganized into the Fund. Fund returns shown are blended returns of the Predecessor Fund and the Fund.

The Invesco Variable Rate Investment Grade ETF (the “Fund”) is an actively managed exchange-traded fund (“ETF”) whose investment objectives are seeking to generate current income while maintaining low portfolio duration as a primary objective and capital appreciation as a secondary objective. The Fund seeks to achieve its investment objectives by investing, under normal market conditions, at least 80% of its net assets (plus any borrowings for investment purposes) in a portfolio of investment grade, variable rate or floating rate debt securities that are denominated in U.S. dollars and are issued by U.S. private sector entities or U.S. government agencies and instrumentalities.

Invesco Advisers, Inc., the sub-adviser to the Fund, selects the following types of securities for the Fund: (i) floating rate non-agency commercial mortgage-backed securities (“MBS”); variable rate non-agency residential MBS; variable rate agency MBS and floating rate non-agency asset-backed securities (“ABS”) (including floating rate non-agency commercial real estate collateralized loan obligations); (ii) floating rate corporate debt securities (comprised of corporate notes, bonds, debentures or privately issued securities offered pursuant to Rule 144A of the Securities Act of 1933, as amended); (iii) floating rate government sponsored enterprise credit risk transfers; (iv) floating rate U.S. Government securities (including floating rate agency debt securities); (v) variable rate preferred stock; and (vi) affiliated ETFs that invest primarily in any or all of the foregoing securities (collectively, “Variable Rate Instruments”), to the extent permitted by the Investment Company Act of 1940, as amended.

During the fiscal year ended October 31, 2021, on a market price basis, the Fund returned 1.66%. On a net asset value (“NAV”) basis, the Fund returned 1.62%. During the same time period, the Bloomberg US Floating Rate Note Index (the “Benchmark Index”) returned 0.84%.

The Fund’s outperformance relative to the Benchmark Index was driven largely by its allocation to the Agency Mortgage credit risk transfer sector, as well as security selection within the financials sector. The Fund’s allocation to the healthcare sector was also a positive contributor for the period. The Fund’s allocation to the industrials sector and the consumer discretionary sector detracted from the Fund’s relative performance for the period.

Individual positions that contributed most significantly to the Fund’s return included the Fund’s allocation to Morgan Stanley, 0.75%, 01/20/2023 (portfolio average weight of 1.10%) as well as its allocation to Freddie Mac, Series STACR_18-HQA2, 2.38%, 10/25/2048 (portfolio average weight of 1.20%). The position that detracted most significantly from the Fund’s return was an allocation to Freddie Mac, Series STACR_15-DNA1, Class M3, 3.38%, 10/25/2027 (no longer held at fiscal year-end).

Security Type Breakdown (% of the Fund’s Net Assets) as of October 31, 2021
U.S. Dollar Denominated Bonds & Notes			53.33
Asset-Backed Securities			15.73
Agency Credit Risk Transfer Notes			15.21
U.S. Treasury Securities			10.50
U.S. Government Sponsored Agency Mortgage-Backed Securities			5.75
Money Market Funds Plus Other Assets Less Liabilities			(0.52)
Top Ten Fund Holdings* (% of the Fund’s Net Assets) as of October 31, 2021
Security
U.S. Treasury Floating Rate Notes, 0.08%, 07/31/2023			10.50
Fannie Mae Connecticut Avenue Securities, Series 2018-C01, Class 1M2, 2.34%, 07/25/2030			1.46
Freddie Mac, Series 2018-HQA2, Class M2, STACR®, 2.39%, 10/25/2048			1.18
Freddie Mac, Series 2017-DNA3, Class M2, STACR®, 2.59%, 03/25/2030			1.18
Athene Global Funding, 1.36%, 07/01/2022			1.13
American Express Co., 0.77%, 02/27/2023			1.11
Banco Santander S.A., 1.68%, 04/11/2022			1.11
Athene Global Funding, 0.75%, 05/24/2024			1.07
Morgan Stanley, 0.75%, 01/20/2023			1.06
Caterpillar Financial Services Corp., 0.20%, 11/17/2022			1.06
Total			20.86

 

*	Excluding money market fund holdings.

Fund Inception: September 22, 2016

Performance quoted above represents past performance. Past performance is not a guarantee of future results and current performance may be higher or lower than performance quoted. Investment returns and principal value will fluctuate, and shares of the Fund (“Fund Shares”), when redeemed or sold, may be worth more or less than their original cost. Fund performance reflects any applicable fee waivers and/or expense reimbursements. Had the adviser not waived fees and/or reimbursed expenses currently or in the past, returns would have been lower. See the current prospectus for more information. The adviser has contractually agreed to waive fees and/or pay certain Fund expenses through August 31, 2023. According to the Fund’s current prospectus, the Fund’s expense ratio of 0.31% (0.30% after fee waiver) includes the unitary management fee of 0.30% and acquired fund fees and expenses of 0.01%. NAV and Market Price returns assume that dividends and capital gain distributions have been reinvested in the Fund at NAV and Market Price, respectively. The returns shown in the table

above do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption or sale of Fund Shares. See invesco.com/ETFs to find the most recent month-end performance numbers.

Performance results for the Benchmark Indexes stated above are based upon a hypothetical investment in their respective constituent securities. The returns of an index do not represent Fund returns. An investor cannot invest directly in an index. The Benchmark Index does not charge management fees or brokerage expenses, and no such fees or expenses were deducted from the hypothetical performance shown. In addition, the results actual investors might have achieved would have differed from those shown because of differences in the timing, amounts of their investments, and fees and expenses associated with an investment in the Fund.

Notes Regarding Index and Fund Performance History:

 

-	Average Annualized and Cumulative Inception returns for the Fund and index are based on the inception date of the Fund.

		Shares				Value
Common Stocks & Other Equity Interests-99.98%
Apartments-10.62%
American Campus Communities, Inc.			32,432			$	1,742,247
Apartment Income REIT Corp.			32,899				1,763,715
AvalonBay Communities, Inc.			7,299				1,727,527
Camden Property Trust			10,625				1,732,938
Equity Residential			19,826				1,712,967
Essex Property Trust, Inc.			5,001				1,699,990
Mid-America Apartment Communities, Inc.			8,494				1,734,560
UDR, Inc.			30,659				1,702,494
							13,816,438
Data Centers-11.21%
CoreSite Realty Corp.			24,429				3,480,155
CyrusOne, Inc.			44,591				3,657,354
Digital Realty Trust, Inc.			23,566				3,718,951
Equinix, Inc.			4,456				3,729,984
							14,586,444
Diversified-2.90%
DigitalBridge Group, Inc.(b)(c)			104,892				702,776
JBG SMITH Properties			23,886				689,350
Washington REIT			65,613				1,663,290
WP Carey, Inc.			9,243				712,728
							3,768,144
Free Standing-3.46%
Agree Realty Corp.			10,628				755,226
Essential Properties Realty Trust, Inc.			25,492				759,407
Four Corners Property Trust, Inc.			25,875				750,375
National Retail Properties, Inc.			16,074				729,117
NETSTREIT Corp.			30,489				739,053
Realty Income Corp.			10,713				765,229
							4,498,407
Health Care-7.41%
CareTrust REIT, Inc.			51,828				1,075,431
Healthcare Realty Trust, Inc.			33,211				1,097,956
Healthcare Trust of America, Inc., Class A			32,528				1,086,110
Healthpeak Properties, Inc.			31,604				1,122,258
Medical Properties Trust, Inc.			52,764				1,125,456
National Health Investors, Inc.			19,468				1,046,989
Omega Healthcare Investors, Inc.			35,234				1,034,470
Sabra Health Care REIT, Inc.			71,966				1,018,319
Welltower, Inc.			12,900				1,037,160
							9,644,149
Industrial-13.41%
Americold Realty Trust			61,399				1,809,429
Duke Realty Corp.			34,764				1,955,127
EastGroup Properties, Inc.			10,228				2,022,894
First Industrial Realty Trust, Inc.			32,646				1,900,977
Prologis, Inc.			13,597				1,971,021
PS Business Parks, Inc.			10,663				1,894,815
Rexford Industrial Realty, Inc.			30,422				2,044,358
STAG Industrial, Inc.			42,995				1,871,572
Terreno Realty Corp.			27,025				1,976,338
							17,446,531
Infrastructure REITs-20.18%
American Tower Corp.			31,198				8,796,900