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 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.

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.

As an index fund, the Invesco FTSE International Low Beta Equal Weight ETF (the “Fund”) is passively managed and seeks to track the investment results (before fees and expenses) of the FTSE Developed ex-U.S. Low Beta Equal Weight Index (the “Index”). The Fund generally will invest at least 90% of its total assets in the securities that comprise the Index.

Strictly in accordance with its guidelines and mandated procedures, FTSE International Limited (the “Index Provider”) compiles, maintains and calculates the Index, which is designed to provide exposure to constituents of the FTSE Developed ex US Index (the “Developed ex US Index”) that exhibit low beta characteristics. The Developed ex US Index is designed to measure the performance of the international equity markets and consists of large and mid-capitalization companies from developed markets throughout the world, excluding the United States. Beta is a measure of relative risk and is the rate of change of a security’s price. The Index is equally weighted, meaning that the Index Provider assigns each component security the same weight in the Index. The Fund generally invests in all of the securities comprising the Index in proportion to their weightings in the Index.

For the fiscal year ended October 31, 2021, on a market price basis, the Fund returned 19.87%. On a net asset value (“NAV”) basis, the Fund returned 19.43%. During the same time period, the Index returned 20.35%. During the fiscal year, the Fund’s performance, on a NAV basis, differed from the return of the Index primarily due to fees and operating expenses that the Fund incurred during the period as well as residual cash holdings due to the Fund’s small size.

During this same time period, the MSCI World ex USA Index (Net) (the “Benchmark Index”) returned 35.59%. The Benchmark Index is an unmanaged index weighted by market capitalization based on the average performance of approximately 935 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 overall international equity market.

The performance of the Fund differed from the Benchmark Index in part because the Fund employs a beta driven stock selection and equal weighting methodology, whereas the Benchmark Index selects and weights stocks based on market capitalization.

Relative to the Benchmark Index, the Fund was most overweight in the consumer staples sector and most underweight in the financials sector during the fiscal year ended October 31, 2021. The majority of the Fund’s underperformance relative to the Benchmark Index during the period can be attributed to its underweight allocation to and stock selection within the financials and information technology sectors as well as an overweight allocation to and under-performance in the consumer staples sector.

For the fiscal year ended October 31, 2021, the financials sector contributed most significantly to the Fund’s return, followed by the industrials and consumer staples sectors, respectively. No sector detracted from the Fund’s return.

Positions that contributed most significantly to the Fund’s return for the fiscal year ended October 31, 2021 included Evolution AB, a consumer discretionary company (portfolio average weight of 0.17%), and Phoenix Holdings Ltd., a financials company (no longer held at fiscal year-end). Positions that detracted most significantly from the Fund’s return included TeamViewer AG, an information technology company (portfolio average weight of 0.06%), and Shin Poong Pharmaceutical Co. Ltd., a health care company (portfolio average weight of 0.07%).

 

Sector Breakdown (% of the Fund’s Net Assets) as of October 31, 2021
Consumer Staples			14.79
Industrials			13.85
Financials			10.33
Information Technology			10.19
Health Care			9.71
Materials			9.51
Consumer Discretionary			8.16
Communication Services			7.83
Utilities			6.25
Real Estate			5.78
Energy			1.47
Money Market Funds Plus Other Assets Less Liabilities			2.13
Top Ten Fund Holdings* (% of the Fund’s Net Assets) as of October 31, 2021
Security
AusNet Services Ltd.			0.18
Nippo Corp.			0.18
Altium Ltd.			0.17
RENOVA, Inc.			0.17
Nippon Building Fund, Inc.			0.17
Sapiens International Corp. N.V.			0.16
Swedish Orphan Biovitrum AB, Class B			0.16
Jardine Cycle & Carriage Ltd.			0.16
Korea Gas Corp.			0.16
Welcia Holdings Co. Ltd.			0.16
Total			1.67

 

*	Excluding money market fund holdings.

Fund Inception: November 5, 2015

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 0.45% 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 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.

 

-	Net returns reflect reinvested dividends net of withholding taxes.

As an index fund, the Invesco S&P Emerging Markets Low Volatility ETF (the “Fund”) is passively managed and seeks to track the investment results (before fees and expenses) of the S&P BMI Emerging Markets Low Volatility Index^TM (the “Index”). The Fund generally will invest at least 90% of its total assets in the securities that comprise the Index.

Strictly in accordance with its guidelines and mandated procedures, S&P Dow Jones Indices LLC (“S&P DJI” or the “Index Provider”) compiles, maintains and calculates the Index, which is designed to measure the performance of 200 of the least volatile stocks (over the trailing 12 months) included in the S&P Emerging Plus LargeMidCap Index. Volatility is a statistical measurement of the magnitude of up and down asset price fluctuations (increases or decreases in a stock’s price) over time. The Fund generally invests in all of the securities comprising the Index in proportion to their weightings in the Index.

For the fiscal year ended October 31, 2021, on a market price basis, the Fund returned 30.16%. On a net asset value (“NAV”) basis, the Fund returned 29.21%. During the same time period, the Index returned 30.22%. During the fiscal year, the Fund’s performance, on a NAV basis, differed from the return of the Index primarily due to fees and operating expenses that the Fund incurred, as well as trading costs around quarterly rebalances during the period that were higher than average given the relatively less liquid nature of many emerging markets securities.

During this same time period, the MSCI Emerging Markets Index^SM (Net) (the “Benchmark Index”) returned 16.96%. The Benchmark Index is an unmanaged index weighted by market capitalization based on the average performance of approximately 1400 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 emerging equity markets overall.

The performance of the Fund differed from the Benchmark Index in part because the Fund employs a beta driven stock selection and an inverse volatility weighting methodology, whereas the Benchmark Index selects and weights stocks based on market capitalization.

Relative to the Benchmark Index, the Fund was most overweight in the financials sector and most underweight in the consumer discretionary sector during the fiscal year ended October 31, 2021. The majority of the Fund’s outperformance relative to the Benchmark Index during the period can be attributed to its underweight allocation to and stock selection within the consumer discretionary sector as well as it’s overweight allocation to the financials sector.

For the fiscal year ended October 31, 2021, the financials sector contributed most significantly to the Fund’s return, followed by the

materials and information technology sectors, respectively. No sector detracted from the Fund’s performance.

Positions that contributed most significantly to the Fund’s return for the fiscal year ended October 31, 2021 included Ruentex Industries. Ltd., a consumer discretionary company (portfolio average weight of 0.64%), and China Resources Power Holdings Co. Ltd., a utilities company (no longer held at fiscal year-end). Positions that detracted most significantly from the Fund’s return included Guangzhou R&F Properties Co., Ltd. Class H, a real estate company (no longer held at fiscal year-end), and BIM Birlesik Magazalar A.S., a consumer staples company (portfolio average weight of 0.23%).

 

Sector Breakdown (% of the Fund’s Net Assets) as of October 31, 2021
Financials			40.51
Consumer Staples			13.50
Communication Services			11.01
Information Technology			7.52
Materials			7.21
Industrials			5.53
Utilities			4.82
Consumer Discretionary			3.85
Sector Types Each Less Than 3%			5.99
Money Market Funds Plus Other Assets Less Liabilities			0.06
Top Ten Fund Holdings* (% of the Fund’s Net Assets) as of October 31, 2021
Security
Saudi Arabian Oil Co.			1.19
Grupo Elektra S.A.B. de C.V.			1.09
Chunghwa Telecom Co. Ltd.			0.98
Far EasTone Telecommunications Co. Ltd.			0.90
National Bank of Kuwait SAKP			0.89
Masraf Al Rayan Q.S.C.			0.89
Taiwan Mobile Co. Ltd.			0.86
E.Sun Financial Holding Co. Ltd.			0.79
First Financial Holding Co. Ltd.			0.78
Taiwan Cooperative Financial Holding Co. Ltd.			0.77
Total			9.14

 

*	Excluding money market fund holdings.

Fund Inception: January 13, 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. According to the Fund’s current prospectus, the Fund’s expense ratio of 0.30% includes the unitary management fee of 0.29% 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 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.

 

-	Net returns reflect reinvested dividends net of withholding taxes.

As an index fund, the Invesco S&P Emerging Markets Momentum ETF (the “Fund”) is passively managed and seeks to track the investment results (before fees and expenses) of the S&P Momentum Emerging Plus LargeMidCap Index (the “Index”). The Fund generally will invest at least 90% of its total assets in the securities of companies that comprise the Index, as well as American depositary receipts (“ADRs”) and global depositary receipts (“GDRs”) that represent securities in the Index.

Strictly in accordance with its guidelines and mandated procedures, S&P Dow Jones Indices LLC (“S&P DJI” or the “Index Provider”) compiles, maintains and calculates the Index, which is composed of constituents of the S&P Emerging Plus LargeMidCap (the “Emerging LargeMidCap Index”) that have the highest “momentum score.” In general, momentum is the tendency of an investment to exhibit persistence in its relative performance; a “momentum style” of investing emphasizes investing in securities that have had better recent performance compared to other securities. The momentum score for each security included in the Index is based on upward price movements of the security as compared to other eligible securities within the Emerging LargeMidCap Index.

In selecting constituent securities for the Index, the Index Provider first calculates the momentum score of each stock in the Emerging LargeMidCap Index by evaluating the percentage change in the stock’s price over the last 12 months, excluding the most recent month, and applying an adjustment based on the security’s volatility over that period. The Index Provider then ranks all the stocks in descending order by momentum score, selects the top 20% for inclusion in the Index and weights the selected securities based on a modified market capitalization-weighted strategy. While the Fund generally seeks to invest in all of the securities comprising the Index in proportion to their weightings in the Index, at times the composition of the Index may make such “full replication” impracticable. In such circumstances, the Fund will utilize a “sampling” methodology to seek to achieve its investment objective.

For the fiscal year ended October 31, 2021, on a market price basis, the Fund returned 8.44%. On a net asset value (“NAV”) basis, the Fund returned 9.66%. During the same time period, the Index returned 10.94%. During the fiscal year, the Fund’s performance, on a NAV basis, differed from the return of the Index primarily due to fees and expenses that the Fund incurred during the period, trading costs around quarterly rebalances during the period, and Indian capital gains taxes incurred.

During this same time period, the MSCI Emerging Markets Index^SM (Net) (the “Benchmark Index”) returned 16.96%. The Benchmark Index is an unmanaged index weighted by market capitalization based on the average performance of approximately 1400 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 emerging equity markets overall.

The performance of the Fund differed from the Benchmark Index in part because the Fund employs a beta driven stock selection and a momentum weighting methodology, whereas the Benchmark Index selects and weights stocks based on market capitalization.

Relative to the Benchmark Index, the Fund was most overweight in the information technology sector and most underweight in the financials sector during the fiscal year ended October 31, 2021. The majority of the Fund’s underperformance relative to the Benchmark Index during the period can be attributed to its overweight allocation to the materials sector and underweight allocation to the energy sector, as well as to stock selection within both sectors.

For the fiscal year ended October 31, 2021, the information technology sector contributed most significantly to the Fund’s return, followed by the health care and financials sectors, respectively. The communication services sector detracted most significantly from the Fund’s return, followed by the materials sector.

Positions that contributed most significantly to the Fund’s return for the fiscal year ended October 31, 2021 included Taiwan Semiconductor Manufacturing Co., Ltd., an information technology company (no longer held at fiscal year-end). and Samsung Electronics Co., Ltd., an information technology company. Positions that detracted most significantly from the Fund’s return included Tencent Holdings Ltd., a communication services company (no longer held at fiscal year-end), and Meituan Class B, a consumer discretionary company (no longer held at fiscal year-end).

 

Sector Breakdown (% of the Fund’s Net Assets) as of October 31, 2021
Financials			23.11
Materials			21.29
Information Technology			16.24
Consumer Discretionary			16.19
Industrials			7.26
Communication Services			4.07
Health Care			3.73
Energy			3.70
Sector Types Each Less Than 3%			4.38
Money Market Funds Plus Other Assets Less Liabilities			0.03
Top Ten Fund Holdings* (% of the Fund’s Net Assets) as of October 31, 2021
Security
Infosys Ltd.			5.30
Al Rajhi Bank			4.30
NIO, Inc., ADR			3.68
Gazprom PJSC			3.45
Vale S.A.			3.27
ICICI Bank Ltd.			3.25
Samsung Electronics Co. Ltd., Preference Shares			2.52
Wuxi Biologics Cayman, Inc.			2.28
Kakao Corp.			2.22
Li Ning Co. Ltd.			2.01
Total			32.28

 

*	Excluding money market fund holdings.

Fund Inception: February 24, 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. According to the Fund’s current prospectus, the Fund’s expense ratio of 0.31% includes the unitary management fee of 0.29% and acquired fund fees and expenses of 0.02%. 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 Blended-S&P Momentum Emerging Plus LargeMidCap Index is comprised of the performance of the S&P BMI Emerging Markets High Beta Index, the Fund’s underlying index from Fund inception through the conversion date, March 21, 2016, followed by the performance of the Index for the period March 21, 2016 through October 31, 2021.

 

-	Net returns reflect reinvested dividends net of withholding taxes.

As an index fund, the Invesco S&P International Developed High Dividend Low Volatility ETF (the “Fund”) is passively managed and seeks to track the investment results (before fees and expenses) of the S&P EPAC Ex-Korea Low Volatility High Dividend Index (the “Index”). The Fund generally will invest at least 90% of its total assets in the securities that comprise the Index.

Strictly in accordance with its guidelines and mandated procedures, S&P Dow Jones Indices LLC (“S&P DJI” or the “Index Provider”) compiles, maintains and calculates the Index, which is composed of 100 securities in the S&P EPAC Ex-Korea LargeMidCap (which is comprised of large and mid-cap equity securities, excluding those securities issued by companies in the United States and South Korea) that historically have provided high dividend yields with lower volatility. Volatility is a statistical measurement of the magnitude of up and down asset price fluctuations (increases or decreases in a stock’s price) over time.

The Index Provider begins by identifying the 300 securities with the highest dividend yields over the trailing 12 months, with no one country and no one sector allowed to contribute more than 20 securities and 25 securities, respectively. From those 300 securities, the 100 securities with the lowest volatility over the trailing 12 months are included in the Index.

The Index Provider weights each of the 100 constituent securities in the Index by its dividend yield, with the highest dividend-yielding securities receiving the highest weights. Each constituent security comprises between 0.05% and 3.0% of the weight of the Index, and no sector comprises more than 25% of the Index. The Fund generally invests in all of the securities comprising the Index in proportion to their weightings in the Index.

During the fiscal year ended October 31, 2021, on a market price basis, the Fund returned 25.23%. On a net asset value (“NAV”) basis, the Fund returned 25.55%. During the same time period, the Index returned 25.84%. During the fiscal year, the Fund fully replicated the components of the Index; therefore, the Fund’s performance, on a NAV basis, differed from the return of the Index primarily due to fees and operating expenses incurred by the Fund.

During this same time period, the MSCI EAFE^® Index (Net) (the “Benchmark Index”) returned 34.18%. The Benchmark Index is an unmanaged index weighted by market capitalization based on the average performance of approximately 850 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 markets of economically developed countries outside the U.S.

The performance of the Fund differed from the Benchmark Index in part because the Fund employs a dividend driven stock selection and an inverse volatility weighting methodology, whereas the Benchmark Index selects and weights stocks based on market capitalization.

Relative to the Benchmark Index, the Fund was most overweight in the utilities sector and most underweight in the consumer discretionary sector during the fiscal year ended October 31, 2021. The majority of the Fund’s underperformance relative to the Benchmark Index during the period can be attributed to its overweight allocation to the utilities sector, as well as stock selection within the financials sector.

For the fiscal year ended October 31, 2021, the financials sector contributed most significantly to the Fund’s return, followed by the real estate and utilities sectors, respectively. No sector detracted from the Fund’s return.

Positions that contributed most significantly to the Fund’s return for the fiscal year ended October 31, 2021 included Imperial Brands PLC, a consumer staples company (no longer held at fiscal year-end), and Naturgy Energy Group, S.A., a utilities company (no longer held at fiscal year-end). Positions that detracted most significantly from the Fund’s return included AGL Energy Ltd., a utilities company (no longer held at fiscal year-end), Chugoku Electric Power Co., Inc., a utilities company (portfolio average weight of 0.66%).

 

Sector Breakdown (% of the Fund’s Net Assets) as of October 31, 2021
Utilities			23.05
Financials			19.70
Real Estate			16.59
Communication Services			13.72
Consumer Staples			10.39
Industrials			5.95
Health Care			4.11
Sector Types Each Less Than 3%			6.34
Money Market Funds Plus Other Assets Less Liabilities			0.15
Top Ten Fund Holdings* (% of the Fund’s Net Assets) as of October 31, 2021
Security
NN Group N.V.			2.19
Endesa S.A.			1.93
National Grid PLC			1.87
Gjensidige Forsikring ASA			1.77
BOC Hong Kong Holdings Ltd.			1.75
UnipolSai Assicurazioni S.p.A.			1.69
AusNet Services Ltd.			1.59
Orange S.A.			1.49
Red Electrica Corp. S.A.			1.49
Ascendas REIT			1.48
Total			17.25

 

*	Excluding money market fund holdings.

Fund Inception: December 1, 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 0.30% 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 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.

 

-	Net returns reflect reinvested dividends net of withholding taxes.

As an index fund, the Invesco S&P International Developed Low Volatility ETF (the “Fund”) is passively managed and seeks to track the investment results (before fees and expenses) of the S&P BMI International Developed Low Volatility^TM Index (the “Index”). The Fund generally will invest at least 90% of its total assets in the securities that comprise the Index.

Strictly in accordance with its guidelines and mandated procedures, S&P Dow Jones Indices (“S&P DJI” or the “Index Provider”) compiles, maintains and calculates the Index, which is designed to measure the performance of 200 of the least volatile stocks of the S&P Developed ex-U.S. & South Korea LargeMidCap. Volatility is a statistical measurement of the magnitude of up and down asset price fluctuations (increases or decreases in a stock’s price) over time. S&P DJI measures the realized volatility of the Index’s 200 constituents over the trailing 12 months and weights constituents so that the least volatile stocks receive the highest weights. The Fund generally invests in all of the securities comprising the Index in proportion to their weightings in the Index.

For the fiscal year ended October 31, 2021, on a market price basis, the Fund returned 18.31%. On a net asset value (“NAV”) basis, the Fund returned 18.34%. During the same time period, the Index returned 18.56%. During the fiscal year, the Fund fully replicated the components of the Index; therefore, the Fund’s performance, on a NAV basis, differed from the return of the Index primarily due to the fees and operating expenses incurred by the Fund during the period.

During this same time period, the MSCI EAFE^® Index (Net) (the “Benchmark Index”) returned 34.18%. The Benchmark Index is an unmanaged index weighted by market capitalization based on the average performance of approximately 850 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 markets of economically developed countries outside the U.S.

The performance of the Fund differed from the Benchmark Index in part because the Fund employs a beta driven stock selection and an inverse volatility weighting methodology, whereas the Benchmark Index selects and weights stocks based on market capitalization.

Relative to the Benchmark Index, the Fund was most overweight in the consumer staples sector and most underweight in the consumer discretionary sector during the fiscal year ended October 31, 2021. The majority of the Fund’s underperformance relative to the Benchmark Index during the period can be attributed to its underweight allocation to and stock selection within the consumer staples, utilities, financials and consumer discretionary sectors.

For the fiscal year ended October 31, 2021, the financials sector contributed most significantly to the Fund’s return, followed by the industrials and consumer staples sectors, respectively. No sector detracted from the Fund’s return.

Positions that contributed most significantly to the Fund’s return for the fiscal year ended October 31, 2021 included Wm Morrison Supermarkets Plc, a consumer staples company (no longer held at fiscal year-end), and Kuehne & Nagel International AG, an industrials company (no longer held at fiscal year-end). Positions that detracted most significantly from the Fund’s return included Chugoku Electric Power Co., Inc., a utilities company (portfolio average weight of 0.56%), and Nagoya Railroad Co., Ltd., an industrials company (no longer held at fiscal year-end).

 

Sector Breakdown (% of the Fund’s Net Assets) as of October 31, 2021
Financials			22.44
Consumer Staples			16.75
Utilities			14.65
Real Estate			11.26
Industrials			11.25
Communication Services			8.62
Materials			4.67
Health Care			4.15
Sector Types Each Less Than 3%			5.90
Money Market Funds Plus Other Assets Less Liabilities			0.31
Top Ten Fund Holdings* (% of the Fund’s Net Assets) as of October 31, 2021
Security
HK Electric Investments & HK Electric Investments Ltd.			1.13
Emera, Inc.			0.81
Canadian Imperial Bank of Commerce			0.80
Fortis, Inc.			0.79
Nestle S.A.			0.77
Royal Bank of Canada			0.76
McDonald’s Holdings Co. Japan Ltd.			0.73
CLP Holdings Ltd.			0.71
National Bank of Canada			0.70
BCE, Inc.			0.69
Total			7.89

 

*	Excluding money market fund holdings.

Fund Inception: January 13, 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. According to the Fund’s current prospectus, the Fund’s expense ratio of 0.25% 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 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.

 

-	Net returns reflect reinvested dividends net of withholding taxes.

As an index fund, Invesco S&P International Developed Momentum ETF (the “Fund”) is passively managed and seeks to track the investment results (before fees and expenses) of the S&P Momentum Developed ex-U.S. & South Korea LargeMidCap (the “Index”). The Fund generally will invest at least 90% of its total assets in the securities that comprise the Index.

Strictly in accordance with its guidelines and mandated procedures, S&P Dow Jones Indices LLC (“S&P DJI” or the “Index Provider”) compiles, maintains and calculates the Index, which is composed of constituents of the S&P Developed ex-U.S. &

South Korea LargeMidCap (the “Developed ex-U.S. & South Korea Index”) that have the highest “momentum score.” In general, momentum is the tendency of an investment to exhibit persistence in its relative performance; a “momentum style” of investing emphasizes investing in securities that have had better recent performance compared to other securities. The momentum score for each security included in the Index is based on upward price movements of the security as compared to other eligible securities within the Developed ex-U.S. & South Korea Index.

In selecting constituent securities for the Index, the Index Provider first calculates the momentum score of each stock in the Developed ex-U.S. & South Korea Index by evaluating the percentage change in the stock’s price over the last 12 months, excluding the most recent month, and applying an adjustment based on the security’s volatility over that period. The Index Provider then ranks all the stocks in descending order by momentum score, selects the top 20% for inclusion in the Index and weights the selected securities based on a modified market capitalization-weighted strategy. The Fund generally invests in all of the securities comprising the Index in proportion to their weighting in the Index.

For the fiscal year ended October 31, 2021, on a market price basis, the Fund returned 30.80%. On a net asset value (“NAV”) basis, the Fund returned 30.48%. During the same time period, the Index returned 30.34%. During the fiscal year, the Fund’s performance, on a NAV basis, differed from the return of the Index primarily due to fees and expenses that the Fund incurred during the period, all of which were offset by dividend tax rate differences and beneficial market movements, as a large share redemption was settled in early November 2020.

During this same time period, the MSCI EAFE^® Index (Net) (the “Benchmark Index”) returned 34.18%. The Benchmark Index is an unmanaged index weighted by market capitalization based on the average performance of approximately 850 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 markets of economically developed countries outside the U.S.

The performance of the Fund differed from the Benchmark Index in part because the Fund employs a momentum driven stock

selection and weighting methodology, whereas the Benchmark Index selects and weights stocks based on market capitalization.

Relative to the Benchmark Index, the Fund was most overweight in the information technology sector and most underweight in the financials sector during the fiscal year ended October 31, 2021. The majority of the Fund’s underperformance relative to the Benchmark Index during the period can be attributed to stock selection within the materials sector.

For the fiscal year ended October 31, 2021, the information technology sector contributed most significantly to the Fund’s return, followed by the industrials and consumer discretionary sectors, respectively. No sector detracted from the Fund’s return.

Positions that contributed most significantly to the Fund’s return for the fiscal year ended October 31, 2021 included ASML Holding N.V., an information technology company (portfolio average weight of 6.74%), and Sea Ltd. (Singapore) Sponsored ADR, Cl. A, a communication services company (portfolio average weight of 2.86%). Positions that detracted most significantly from the Fund’s return included SoftBank Group Corp., a communication services company (no longer held at fiscal year-end), and Barrick Gold Corp., a materials company (no longer held at fiscal year-end).

 

Sector Breakdown (% of the Fund’s Net Assets) as of October 31, 2021
Financials			28.61
Consumer Discretionary			22.23
Industrials			21.72
Information Technology			12.93
Materials			7.70
Sector Types Each Less Than 3%			6.80
Money Market Funds Plus Other Assets Less Liabilities			0.01

 

Top Ten Fund Holdings* (% of the Fund’s Net Assets) as of October 31, 2021
Security
ASML Holding N.V.			8.68
LVMH Moet Hennessy Louis Vuitton SE			4.99
Toyota Motor Corp.			4.27
Royal Bank of Canada			3.32
Toronto-Dominion Bank (The)			2.61
Commonwealth Bank of Australia			2.04
Bank of Montreal			2.01
Daimler AG			1.99
Hermes International			1.76
Bank of Nova Scotia (The)			1.74
Total			33.41

 

*	Excluding money market fund holdings.

Fund Inception: February 24, 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. According to the Fund’s current prospectus, the Fund’s expense ratio of 0.25% 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 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 Blended-S&P Momentum Developed ex-U.S. & South Korea LargeMidCap Index is comprised of the performance of the S&P BMI International Developed High Beta IndexTM, the Fund’s underlying index from Fund inception through the conversion date, March 21, 2016, followed by the performance of the Index for the period March 21, 2016 through October 31, 2021.

 

-	Net returns reflect reinvested dividends net of withholding taxes.

Schedule of Investments

 

		Shares				Value
Common Stocks & Other Equity Interests-97.87%
Australia-5.52%
Altium Ltd.			483			$	13,321
Ansell Ltd.			378				8,946
APA Group			1,525				9,393
Appen Ltd.			1,319				10,650
ASX Ltd.			160				9,977
Aurizon Holdings Ltd.			3,666				9,279
AusNet Services Ltd.			7,515				13,942
BHP Group Ltd.			309				8,490
BHP Group PLC			333				8,833
Brambles Ltd.			1,145				8,635
CIMIC Group Ltd.			654				9,785
Cochlear Ltd.			60				9,934
Coles Group Ltd.			768				9,887
CSL Ltd.			45				10,156
Domino’s Pizza Enterprises Ltd.			95				9,666
Evolution Mining Ltd.			3,474				9,472
Fortescue Metals Group Ltd.			683				7,146
Goodman Group			605				9,952
Harvey Norman Holdings Ltd.(a)			2,597				9,675
IGO Ltd.			1,438				10,412
Iluka Resources Ltd.			1,389				9,807
Medibank Pvt Ltd.			3,892				9,705
Metcash Ltd.(a)			3,491				10,672
Newcrest Mining Ltd.			553				10,338
Northern Star Resources Ltd.			1,403				9,737
Orora Ltd.			4,051				10,041
OZ Minerals Ltd.			581				10,967
Pro Medicus Ltd.(a)			230				9,204
Ramsay Health Care Ltd.			209				11,055
Reece Ltd.			696				10,398
Rio Tinto Ltd.			127				8,613
Rio Tinto PLC			145				9,064
Shopping Centres Australasia Property Group			5,204				10,866
Sonic Healthcare Ltd.			321				9,651
Telstra Corp. Ltd.			3,572				10,249
TPG Telecom Ltd.			2,278				11,549
Transurban Group			1,026				10,357
Treasury Wine Estates Ltd.			1,120				9,691
Washington H Soul Pattinson & Co. Ltd.			402				9,807
Wesfarmers Ltd.			240				10,320
WiseTech Global Ltd.			299				11,472
Woolworths Group Ltd.			338				9,667
							420,781
Austria-0.79%
ANDRITZ AG			179				10,146
Mondi PLC			369				9,231
Raiffeisen Bank International AG			418				12,238
Telekom Austria AG(b)			1,161				10,050
Verbund AG			93				9,697
voestalpine AG			229				8,703
							60,065
Belgium-1.40%
Ackermans & van Haaren N.V.			56				9,637
Ageas S.A./N.V.			202				9,841
Elia Group S.A./N.V.(a)			79				9,225
Etablissements Franz Colruyt N.V			181				8,890

    

 

		Shares				Value
Belgium-(continued)
Groupe Bruxelles Lambert S.A.			88			$	10,209
Proximus SADP			515				9,706
Sofina S.A.			23				10,178
Telenet Group Holding N.V.			267				9,597
UCB S.A.			89				10,619
Umicore S.A.			157				9,008
Warehouses De Pauw C.V.A.			222				10,122
							107,032
Brazil-0.15%
Yara International ASA			215				11,203
Canada-4.10%
Agnico Eagle Mines Ltd.			179				9,486
Bank of Nova Scotia (The)			172				11,259
Barrick Gold Corp.			517				9,472
BCE, Inc.			196				10,074
Canadian Imperial Bank of Commerce			93				11,267
Canadian National Railway Co.			84				11,146
Canadian Pacific Railway Ltd.			142				10,973
Canadian Utilities Ltd., Class A(a)			363				10,499
Constellation Software, Inc.			6				10,528
Dollarama, Inc.			225				10,154
Enbridge, Inc.			269				11,250
Fortis, Inc.			223				9,911
Franco-Nevada Corp.			71				10,115
George Weston Ltd.			95				10,248
Great-West Lifeco, Inc.			352				10,339
Hydro One Ltd.(c)			406				9,685
Intact Financial Corp.			75				10,039
Loblaw Cos. Ltd.			145				10,888
Metro, Inc.			201				10,097
Nutrien Ltd.			170				11,863
Rogers Communications, Inc., Class B			201				9,334
Royal Bank of Canada(a)			100				10,392
Saputo, Inc.			362				8,633
Shaw Communications, Inc., Class B			361				10,380
Sun Life Financial, Inc.			199				11,323
TC Energy Corp.			225				12,153
TELUS Corp.			443				10,146
Thomson Reuters Corp.			86				10,329
Toronto-Dominion Bank (The)			163				11,814
Wheaton Precious Metals Corp.			228				9,190
							312,987
Chile-0.13%
Antofagasta PLC(a)			518				10,122
China-1.85%
AAC Technologies Holdings, Inc.(a)			2,000				8,729
Budweiser Brewing Co. APAC Ltd.(a)(c)			4,000				11,030
ESR Cayman Ltd.(b)(c)			3,400				11,036
Kerry Logistics Network Ltd.(a)			1,508				3,664
Lee & Man Paper Manufacturing Ltd.			12,000				9,009
Lenovo Group Ltd.			9,841				10,702
Minth Group Ltd.			2,626				10,498
Prosus N.V.(b)			111				9,790
Shui On Land Ltd.			62,500				9,240
Tingyi Cayman Islands Holding Corp.(a)			5,057				9,465
Towngas China Co. Ltd.(b)			14,717				10,121

		Shares				Value
China-(continued)
Uni-President China Holdings Ltd.			10,379			$	8,859
Want Want China Holdings Ltd.(a)			15,132				11,730
Wilmar International Ltd.			3,313				10,613
Xinyi Glass Holdings Ltd.(a)			2,357				6,651
							141,137
Denmark-1.13%
Ambu A/S, Class B(a)			314				8,954
Chr. Hansen Holding A/S			110				8,761
Coloplast A/S, Class B			58				9,465
Danske Bank A/S			604				10,232
DSV A/S			40				9,306
Novo Nordisk A/S, Class B			102				11,175
Novozymes A/S, Class B			128				9,422
Orsted A/S(c)			65				9,181
Tryg A/S			410				9,730
							86,226
Finland-1.23%
Elisa OYJ			159				9,601
Kesko OYJ, Class B			248				8,062
Kojamo OYJ			410				9,171
Kone OYJ, Class B			124				8,461
Nokian Renkaat OYJ			269				10,086
Orion OYJ, Class B			252				10,916
Stora Enso OYJ, Class R			526				8,753
UPM-Kymmene OYJ			250				8,830
Valmet OYJ			250				10,155
Wartsila OYJ Abp			714				9,911
							93,946
France-4.11%
Air Liquide S.A.			57				9,515
Alstom S.A.			239				8,513
BioMerieux			80				10,188
Bollore S.A.			1,792				10,390
Bureau Veritas S.A.			306				9,724
Carrefour S.A.			566				10,254
Cie Generale des Etablissements Michelin S.C.A.			63				9,893
Danone S.A.			140				9,130
Dassault Systemes SE			176				10,261
Edenred			187				10,121
EssilorLuxottica S.A.			52				10,766
Gecina S.A.			66				9,246
Hermes International			7				11,102
Ipsen S.A.			104				10,760
Kering S.A.			13				9,752
La Francaise des Jeux SAEM(c)			200				10,392
Legrand S.A.			89				9,706
L’Oreal S.A.			22				10,055
LVMH Moet Hennessy Louis Vuitton SE			14				10,972
Orange S.A.			935				10,209
Orpea S.A.			82				8,560
Pernod Ricard S.A.			47				10,807
Remy Cointreau S.A.			51				10,305
Sanofi			98				9,802
Sartorius Stedim Biotech			17				9,368
Schneider Electric SE			59				10,167
SEB S.A.			67				10,491
SOITEC(b)			44				11,701
Suez S.A.			441				10,046