Invesco Senior Loan ETF (BKLN) is an exchange-traded fund that seeks to track the investment results of the S&P/LSTA U.S. Leveraged Loan 100 Index, which consists of the 100 largest facilities in the leveraged loan market; provides exposure to senior loans issued by below-investment-grade companies; and offers current income through a portfolio of floating-rate loans with low sensitivity to interest rate fluctuations.
The fund's primary holdings include senior secured term loans from sectors such as healthcare, software, telecommunications, and diversified financials; features daily liquidity via NYSE Arca trading under ticker BKLN; and employs a passive management strategy with an expense ratio of approximately 0.65%, managed by Invesco Distributors, Inc.
Invesco Senior Loan ETF operates globally through its underlying loans, which are primarily U.S.-denominated but may include international issuers; was launched in 2011 with headquarters aligned to Invesco Ltd.'s base in Atlanta, Georgia; and targets institutional and retail investors seeking high-yield income with reduced duration risk.
Recent developments include adjustments to portfolio weightings amid 2024-2025 leveraged loan market growth driven by refinancing activity; enhanced liquidity provisions in response to Federal Reserve rate policies; and ongoing index reconstitutions by S&P Dow Jones Indices to reflect the 100 largest loans by facility size.