Share-split context: A forward split was recorded on Jul 17, 2023 with coefficient 3. A forward split turns each old share into multiple new shares and lowers the quoted price per share proportionally. Proportional ownership is unchanged at the split moment, so the split itself creates neither a gain nor a loss. The price-return figures in this report are already split-adjusted.

Understanding the Invesco Semiconductors ETF (PSI)

The Invesco Semiconductors ETF (ticker: PSI) is an exchange-traded fund designed to provide exposure to the semiconductor industry. This means the fund invests in companies that make the computer chips used in many different types of technology.

What this ETF is trying to do

PSI focuses on the semiconductor sector. Instead of buying just one company, this ETF holds many different companies involved in making and managing semiconductor technology. This helps spread investment across the industry rather than relying on a single business.

What the numbers show

The fund has shown significant growth over various time periods. It is important to note that the price returns listed below are "split-adjusted." This means the data has been adjusted to account for a forward split that occurred on July 17, 2023. In that event, each old share became three new shares, which changed the per-share price but did not change the total value of an investor's ownership.

Here is the performance based on supplied data:

• Year-to-Date (YTD) Price Return: Approximately 97.21%

• One-Year Price Return: Approximately 116.84%

• Three-Year Price Return: Approximately 263.87%

When looking at total return (which includes the impact of distributions), the numbers are slightly higher:

• YTD Total Return: Approximately 97.23%

• One-Year Total Return: Approximately 116.88%

• Three-Year Total Return: Approximately 265.28%

Income and distribution explanation

PSI provides some income through distributions, but it is not a frequent payer. The distribution frequency is described as "irregular" or "less frequent," with 3 payouts recorded over the last 12 months. The current distribution yield is approximately 1.56%.

NAV erosion explanation

"NAV erosion" refers to a decline in the Net Asset Value (the actual value of the assets held by the fund). The supplied data is sufficient to evaluate price erosion, but it does not include enough historical NAV-per-share data to confirm or rule out NAV erosion.

However, regarding price movement, the fund has an erosion score of 100, which is labeled as "No price erosion detected." The erosion severity is rated as "good," and there is no severe erosion-risk flag present.

Top Holdings

The following are the top holdings in the portfolio (note that this is a partial list):

• Intel Corp: 6.47%

• Advanced Micro Devices Inc: 5.95%

• Micron Technology Inc: 5.37%

• Analog Devices Inc: 4.77%

• Texas Instruments Inc: 4.77%

• KLA Corp: 4.69%

• Lam Research Corp: 4.51%

• Applied Materials Inc: 4.49%

• Semtech Corp: 3.41%

• Cohu Inc: 3.18%

*Holdings are subject to change over time.*

Pros

• Strong Growth: The fund has shown very high price returns over the one-year and three-year periods.

• Industry Focus: Provides concentrated exposure to the semiconductor sector.

Cons

• Irregular Income: Distributions do not happen on a regular, predictable schedule.

• Sector Concentration: Because it focuses on one industry, it may be more sensitive to changes in the semiconductor market.

Beginner takeaway

PSI is an ETF that tracks the semiconductor industry. While it offers some income, its main characteristic in recent history has been significant price growth. Investors should remember that high price returns in the past do not guarantee future results.