Invesco Introduces $30M Metaverse Fund to Tap Into New Value Chain

American independent investment management company Invesco has launched a new fund targeted toward the Metaverse-inclined entities. 

The fund’s focus is to be a part of the “£1.4 tn boost to the economy” which is regarded as the Metaverse Value Chain. According to the announcement, the Invesco Metaverse fund investment will be used to back large, medium, and small-cap companies. Due to the geographical diversity of the fund, it will cut across the United States, Asia, and Europe. 

Inclusively, the fund will plunge capital into any entity that creates the virtual ecosystem. Currently, the fund is worth $30 million and is registered in Luxembourg. 

The Invesco Metaverse fund will be managed by Tony Roberts while being assisted by James McDermottroe, both from Invesco’s UK-based Asia & Emerging Markets equities team. The fund’s performance will be assessed against the MSCI AC World (Net Total Return) benchmark, and its management fee will be 0.75%.

The Metaverse Value Chain was coined by one of the world’s major accounting firms, PwC in a report released in December 2020. 

Trying to estimate the number of economic benefits that virtual reality (VR) and augmented reality (AR) can bring, it was computed to be worth $1.5 trillion. This estimate is envisaged to reflect in the next eight years.

Invesco Metaverse Fund Focus on Buoyant Thematic Areas

While establishing the connectivity of the Metaverse, Tony explained that the investment management firm will capitalize on the most thriving part of the economy. The Invesco metaverse fund “will likely have a transformative impact across industries as diverse as healthcare, logistics, education, and sport.” he said, “We will seek to capitalize on these opportunities through a highly selective, valuation-conscious approach.”

Invesco intends to actively manage and utilize the fund in shifting its gaze to seven key trends in the economy. Most of these thematic areas are inclined towards the metaverse either directly or indirectly. A few of these core areas of interest are next-generation operating and computer systems, networks for hyper-connectivity, and hardware and devices that provide access to the Metaverse.

Known for its well-targeted Exchange Traded Fund (ETF) products, the Invesco Metaverse Fund would explore blockchain solutions, artificial intelligence-inclined platforms, and any real tool that will fast-track digitization in the economy.