Invesco Global Funds Short Duration Bond Fund

Capital preservation is the first principle of wealth management. Before we consider potential returns, we rigorously assess the risks associated with any investment. Our risk management framework operates at multiple levels: individual security risk, portfolio concentration risk, factor exposure risk, and systemic or tail risk. We use sophisticated stress-testing methodologies to evaluate how the portfolio would perform under adverse scenarios.

This conservative, risk-first approach may mean that we occasionally miss out on speculative rallies driven by momentum or sentiment. However, it also means that our investors experience significantly lower volatility and drawdowns compared to peers. Over the long run, the mathematics of compounding mean that avoiding large losses is one of the most powerful contributors to superior risk-adjusted returns.

Seeks to provide long-term capital appreciation by investing in a diversified portfolio of Short Duration securities. The fund aims to outperform its benchmark, the Bloomberg US Agg 1-3 Year Index, over a full market cycle while managing downside risk through rigorous fundamental analysis.

The fund employs a bottom-up investment approach, focusing on quality companies in the Short Duration space. Portfolio construction is driven by in-depth fundamental research, earnings momentum, and macroeconomic analysis. The management team leverages Invesco Global Funds's global research platform to identify high-conviction opportunities while maintaining a disciplined risk management framework. The fund has delivered a 6.0% 3-year annualised return against its benchmark of Bloomberg US Agg 1-3 Year Index. With an expense ratio of 0.3% and a minimum initial investment of $1000, the fund remains accessible to a broad range of investors.

Climate change is the defining systemic risk of our time, and we are acutely aware of our responsibility as a capital allocator to support the transition to a net-zero economy. Our climate strategy operates at two levels: at the portfolio level, we manage our exposure to climate-related physical and transition risks; and at the stewardship level, we actively engage with portfolio companies to accelerate their decarbonisation pathways.

We have committed to achieving net-zero portfolio emissions by 2050, with an interim target of a 50% reduction by 2030. Our progress toward these goals is reported transparently in our annual Stewardship and Sustainability Report, which is available on our website. We submit our portfolio to independent verification against the TCFD framework and the Net Zero Asset Managers initiative.

The investment landscape continues to evolve at extraordinary speed. The emergence of generative artificial intelligence as a transformative technology platform is creating both significant opportunities and disruption risks across virtually every industry. We are spending considerable research effort mapping the first- and second-order impacts of this technological shift — identifying companies that are well-positioned to benefit, those whose business models face genuine disruption risk, and those where the market has already priced in an overly generous AI premium.

On the macro front, geopolitical fragmentation remains a key risk factor. The reshoring of supply chains, while creating interesting investment themes in industrial automation and domestic manufacturing, is also introducing inefficiencies and cost pressures that are yet to be fully reflected in corporate earnings forecasts.

Established in the aftermath of the 1997 Asian financial crisis, our firm was founded with a specific mandate: to apply world-class investment rigour to emerging market opportunities that were being overlooked or misunderstood by global investors. In the nearly three decades since, we have evolved into a full-service asset manager while retaining our distinctive edge in emerging and frontier markets.

Our heritage gives us a unique perspective. Having witnessed first-hand the transformation of economies from frontier to emerging to developed status, we understand the extraordinary wealth creation opportunities that accompany these transitions — as well as the risks that must be carefully managed along the way.

Our investment team is one of the most experienced in the industry. The team is led by a Chief Investment Officer with over 30 years of market experience and is supported by senior portfolio managers, each of whom has spent a minimum of 15 years specialising in their respective asset classes. The team's combined experience spans every major market cycle of the past three decades.

Beyond the core portfolio management team, we maintain a dedicated research function comprising over 50 analysts organised by sector and geography. Our analysts are sector specialists — they do not rotate between industries, but instead develop deep domain expertise over many years. This specialisation allows them to identify subtle but meaningful changes in competitive dynamics, regulatory environments, and technology trajectories that generalist analysts often miss.