There are no changes to any of the Invesco models this week. As we do each quarter, today we review the performance of the models covered in this report.
There are no changes to any of the Invesco models this week. As we do each quarter, today we review the performance of the models covered in this report.
US equities stumbled in Q1 as the S&P 500 finished the quarter down 4.5%. The DWA Sector 4 Model (POWER4) and Invesco Sector Seven (POWER7) each lagged the broader market as exposure to consumer cyclicals and technology weighed on performance. The Invesco Dynamic Equal Weight Sector Model (GUGGEWSECT) benefited from its equal weighted exposure as mega cap stocks were among the hardest hit in the sell-off and the model slightly outperformed its benchmark. While the biggest stocks were among the worst performers within the S&P 500, there was not a broad bias towards smaller stocks as the S&P 600 Small Cap Index (SPSML) finished the quarter down more than 9% while the Invesco Small Cap Sector Model (POWERSMALL) lost a little over 10%.
International equities outperformed US stocks in the first quarter as the MSCI EAFE Index (EAFE) gained more than 6%. Each of the global Invesco models underperformed the benchmark as they were overweight domestic equities.
The Invesco Commodity Model (POWRSHARES) finished the quarter down 0.07%. Energy exposure, which the model held throughout the quarter, was the major factor in its underperformance.
