(PXC) Invesco RAFI Canadian Index - Ratings and Ratios

The Invesco FTSE RAFI Canadian Index ETF (TO:PXC) is a Canadian equity exchange-traded fund designed to track the performance of the FTSE RAFI Canada Index. This index uses a fundamentally driven approach, selecting and weighting constituents based on factors such as revenue, dividends, and book value, rather than traditional market-capitalization methods. The fund provides exposure to Canadian equities with a focus on companies demonstrating strong fundamental health.

From a technical perspective, the ETF is currently trading at CAD 41.81, below its 20-day moving average of 42.81 and 50-day moving average of 42.66. However, it remains above its 200-day moving average of 40.55, indicating a bullish long-term trend. The Average True Range (ATR) of 0.38 suggests relatively low volatility in recent trading sessions. Average daily volume over the past 20 days has been modest at 1,386 shares.

Fundamentally, the ETF manages assets under management (AUM) of CAD 160.77 million, reflecting moderate investor interest in its unique index-driven strategy. The funds holdings are diversified across key Canadian sectors, with a focus on companies that exhibit strong revenue growth, stable dividends, and solid book value. This approach aims to reduce exposure to overvalued stocks and enhance portfolio resilience during market downturns.

3-Month Forecast: Based on and , the ETF is expected to maintain a stable to slightly bullish trajectory. The 20-day and 50-day moving averages are converging, suggesting potential range-bound trading in the near term. Support is likely to hold near the 200-day moving average at 40.55, while resistance could emerge at the recent high of 43.50. With ATR remaining low, volatility is expected to stay muted, making the ETF a relatively conservative choice for investors seeking exposure to Canadian equities with a focus on fundamental strength.