Invesco High Yield Equity Dividend Achievers ETF

PEY

Market cap $1.09B

Invesco High Yield Equity Dividend Achievers ETF is rated Hold due to high volatility and underperformance versus market benchmarks like VTI. PEY offers a high 4.54% dividend yield, but its yield-weighted strategy leads to sector concentration and higher risk without superior returns. The ETF's high expense ratio (0.53%) and significant portfolio turnover (58%) erode returns, making it less attractive for stable income seekers.

Making its debut on 12/09/2004, smart beta exchange traded fund Invesco High Yield Equity Dividend Achievers ETF (PEY) provides investors broad exposure to the Style Box - All Cap Value category of the market.

Peyto Exploration & Development Corp. (OTCPK:PEYUF) Q2 2025 Earnings Conference Call August 13, 2025 11:00 AM ET Company Participants Jean-Paul H. Lachance - CEO, President & Director Mike Rees - Corporate Participant Riley Millar Frame - COO & VP of Engineering Todd Burdick - Vice President of Production Conference Call Participants Christopher Thompson - CIBC Capital Markets, Research Division Operator Hello, and welcome to Peyto's Second Quarter 2025 Financial Results Conference Call.

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Invesco High Yield Equity Dividend Achievers ETF (PEY) appears attractive on the surface with its high yield and "Dividend Achievers" branding, but deeper analysis reveals significant risks. The ETF's 74% turnover rate undermines its long-term, income-focused strategy, leading to underperformance and unpredictability. Many of PEY's top holdings show negative earnings growth, high debt and erratic cash flows — not exactly my idea of a great long-term investment or stable income generator.

You can generate a lot of recurring cash flow from the stock market without having to worry about selling your investments. By investing into dividend stocks and income-generating assets, you can have a steady stream of cash flow that you can rely on to bolster your financial position and help pay bills along the way.

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A smart beta exchange traded fund, the Invesco High Yield Equity Dividend Achievers ETF (PEY) debuted on 12/09/2004, and offers broad exposure to the Style Box - All Cap Value category of the market.

Not only do yielding ETFs offer a “retirement paycheck,” but they also help provide financial security, peace of mind, and can even help you pursue retirement goals.

PEY holds 50 high-yielding dividend stocks that have increased payments for at least ten consecutive years. Its expense ratio is 0.53% and the ETF has $1.07 billion in assets. I estimate PEY's dividend yield to be 5.03% at current prices, slightly better than its 4.75% trailing yield. The ETF also avoids REITs, so 100% of its distributions are QDI. PEY offers excellent value and trades at just 10.77x forward earnings. In addition, its 5.56% Index yield is well above the 4.22% four-year average, suggesting PEY's holdings are substantially undervalued.