Invesco S&P 500 Low Volatility ETF
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Geneos Wealth Management Inc. lifted its holdings in shares of Invesco S&P 500 Low Volatility ETF (NYSEARCA:SPLV) by 10.0% in the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 105,818 shares of the company's stock after purchasing an
There are easy and inexpensive ways to broaden your stock market exposure, even within the S&P 500.
Looking for broad exposure to the Large Cap Blend segment of the US equity market? You should consider the Invesco S&P 500 Low Volatility ETF (SPLV), a passively managed exchange traded fund launched on May 5, 2011.
The Invesco S&P 500 Low Volatility ETF aims to offer a smoother return profile by focusing on the least volatile S&P 500 stocks. SPLV has lagged the S&P 500 in recent years in large part due to its underweighting of the tech sector. SPLV could be suitable for investors prioritizing capital preservation and income, especially if market volatility or a tech correction emerges.
SPLV offers strong downside protection and liquidity, but its defensive sector tilt and lack of tech exposure limit growth potential versus peers like USMV. Despite a higher dividend yield, SPLV's expense ratio is less competitive, and its risk-adjusted returns lag behind USMV across all major time horizons. SPLV's heavy allocation to financials and utilities faces capped upside due to the current interest rate outlook, making the fund overly defensive in a soft landing environment.
I reiterate my Hold rating on SPLV due to stretched valuation, weak momentum, and continued underperformance versus the S&P 500. Utilities, the fund's largest sector, have struggled despite AI-driven rallies elsewhere, weighing on overall returns and outlook. SPLV's high P/E and PEG ratios, along with modest earnings growth, make the valuation unattractive for new buyers at current levels.
Designed to provide broad exposure to the Large Cap Blend segment of the US equity market, the Invesco S&P 500 Low Volatility ETF (SPLV) is a passively managed exchange traded fund launched on May 5, 2011.
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SPLV offers a defensive, low-volatility approach, ideal for uncertain macro conditions and potential market pullbacks despite recent S&P 500 bullishness. The ETF's sector allocation favors utilities, financials, and consumer defensive stocks, resulting in lower valuations than the broader market. Given slowing GDP growth, a cooling labor market, and persistent macro uncertainty, SPLV should deliver superior risk-adjusted returns in the short run.
I rate SPLV a buy, driven by strong momentum in utilities, which are poised for robust demand from AI and EV-driven electricity growth. SPLV's diversified portfolio, with significant exposure to financials, consumer staples, and industrials, supports steady returns and limits downside risk. The ETF offers monthly dividends, a long payout history, and trades at a valuation discount with a low expense ratio, enhancing long-term appeal.
Launched on 05/05/2011, the Invesco S&P 500 Low Volatility ETF (SPLV) is a passively managed exchange traded fund designed to provide a broad exposure to the Large Cap Blend segment of the US equity market.
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The SPLV ETF has outperformed the S&P 500 in 2025, with a 2% gain and 600 basis points of alpha since my 2024 analysis, justifying my hold rating. SPLV's portfolio focuses on low-volatility large-cap stocks, with Financials and Utilities as top sectors, and a low 10.3% in Information Technology. Despite the strong performance, SPLV's high P/E ratio of 21.2x and mixed technical indicators, including RSI momentum, warrant a cautious hold stance.
If you're interested in broad exposure to the Large Cap Blend segment of the US equity market, look no further than the Invesco S&P 500 Low Volatility ETF (SPLV), a passively managed exchange traded fund launched on 05/05/2011.
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