Invesco International Corporate Bond ETF Sees 66.9% Drop in Short Interest

The Invesco International Corporate Bond ETF (NYSEARCA:PICB) experienced a significant decline in short interest, with reports indicating a drop of 66.9% in February. As of February 13, 2024, short interest totaled 76,283 shares, down from 230,313 shares on January 29, 2024. This represents approximately 0.7% of the ETF’s total shares being short sold. Based on an average trading volume of 220,177 shares, the days-to-cover ratio stands at 0.3 days.

Institutional Movements Reflect Market Confidence

Several institutional investors and hedge funds adjusted their positions in the Invesco International Corporate Bond ETF during the fourth quarter. Notably, Tanager Wealth Management LLP increased its stake by 99.5%, now owning 2,867,312 shares valued at approximately $68.47 million after acquiring an additional 1,429,753 shares.

Similarly, Urban Financial Advisory Corp raised its holdings by 0.4%, bringing its total to 908,572 shares worth around $21.70 million. Checchi Capital Advisers LLC also boosted its position by 2.1%, now holding 879,424 shares valued at $21 million.

A particularly notable increase came from Thrivent Financial for Lutherans, which grew its holdings by an astonishing 687.4%, now owning 467,328 shares valued at $11.18 million. In addition, Wells Fargo & Company MN raised its position by 35.4%, bringing its total to 416,917 shares worth approximately $9.96 million.

Trading Performance and Outlook

On the trading front, Invesco International Corporate Bond ETF shares increased by 0.3% during mid-day trading, reaching $24.30 per share. The trading volume for the day was 222,422 shares, surpassing the average volume of 150,767 shares. The ETF has a 12-month low of $21.84 and a high of $24.56, with its fifty-day moving average at $24.07 and a 200-day moving average at $23.85.

Invesco’s International Corporate Bond ETF aims to achieve investment results that closely correspond to the performance of the S&P International Corporate Bond Index. This index measures the performance of investment-grade corporate bonds issued by non-U.S. entities across various currencies, including the Australian Dollar, British Pound, Euro, and others.

As institutional interest continues to shift, market observers are closely monitoring the ETF’s performance and the broader implications for international corporate bond investments.