Is Invesco Equal Weight 0-30 Year Treasury ETF (GOVI) a Strong ETF Right Now?

The Invesco Equal Weight 0-30 Year Treasury ETF (GOVI) made its debut on 10/11/2007, and is a smart beta exchange traded fund that provides broad exposure to the Government Bond ETFs category of the market.What Are Smart Beta ETFs?Products that are based on market cap weighted indexes, which are strategies designed to reflect a specific market segment or the market as a whole, have traditionally dominated the ETF industry.Because market cap weighted indexes provide a low-cost, convenient, and transparent way of replicating market returns, they work well for investors who believe in market efficiency.On the other hand, some investors who believe that it is possible to beat the market by superior stock selection opt to invest in another class of funds that track non-cap weighted strategies--popularly known as smart beta.Non-cap weighted indexes try to choose stocks that have a better chance of risk-return performance, which is based on specific fundamental characteristics, or a mix of other such characteristics.While this space offers a number of choices to investors, including simplest equal-weighting, fundamental weighting and volatility/momentum based weighting methodologies, not all these strategies have been able to deliver superior results.Fund Sponsor & IndexBecause the fund has amassed over $981.46 million, this makes it one of the average sized ETFs in the Government Bond ETFs. GOVI is managed by Invesco. Before fees and expenses, this particular fund seeks to match the performance of the ICE 1-30 YR LADDERED MATURITY US TRSR ID.The ICE 1-30 Year Laddered Maturity US Treasury Index is designed to track the performance of up to 30 U.S. Treasury Notes or Bonds representing the annual February maturity ladder across the yield curve.Cost & Other ExpensesInvestors should also pay attention to an ETF's expense ratio. Lower cost products will produce better results than those with a higher cost, assuming all other metrics remain the same.Operating expenses on an annual basis are 0.15% for GOVI, making it on par with most peer products in the space.GOVI's 12-month trailing dividend yield is 3.70%.Sector Exposure and Top HoldingsMost ETFs are very transparent products, and disclose their holdings on a daily basis. ETFs also offer diversified exposure, which minimizes single stock risk, though it's still important for investors to research a fund's holdings.Taking into account individual holdings, United States Treasury Note/bond-1.88%-02-15-2032 (91282CDY4) accounts for about 3.44% of the fund's total assets, followed by United States Treasury Note/bond-1.50%-02-15-2030 (912828Z94) and United States Treasury Note/bond-3.50%-02-15-2033 (91282CGM7).The top 10 holdings account for about 33.91% of total assets under management.Performance and RiskThe ETF has added about 6.1% so far this year and is up roughly 5.04% in the last one year (as of 11/18/2025). In the past 52-week period, it has traded between $26.51 and $28.33The ETF has a beta of 0.34 and standard deviation of 9.08% for the trailing three-year period. With about 30 holdings, it has more concentrated exposure than peers .AlternativesInvesco Equal Weight 0-30 Year Treasury ETF is not a suitable option for investors seeking to outperform the Government Bond ETFs segment of the market. Instead, there are other ETFs in the space which investors should consider.iShares 10-20 Year Treasury Bond ETF (TLH) tracks ICE U.S Treasury 10-20 Year Bond Index and the iShares 20+ Year Treasury Bond ETF (TLT) tracks ICE U.S. Treasury 20+ Year Bond Index. iShares 10-20 Year Treasury Bond ETF has $12.82 billion in assets, iShares 20+ Year Treasury Bond ETF has $50.19 billion. TLH has an expense ratio of 0.15% and TLT changes 0.15%.Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Government Bond ETFsBottom LineTo learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.Boost Your Portfolio with Our Top ETF InsightsZacks' exclusive Fund Newsletter delivers actionable information, top news and analysis, as well as top-performing ETFs, straight to your inbox every week.Don’t miss out on this valuable resource. It’s free!Get it now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Invesco Equal Weight 0-30 Year Treasury ETF (GOVI): ETF Research ReportsThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks