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PSJ ETF — Holdings & Analysis

The Invesco Dynamic Software ETF (PSJ) is a $0.20 billion fund seeking to replicate the performance of U.S. software companies. PSJ's expense ratio is 0.50%.

The fund's non-diversified approach allows for concentrated exposure to its underlying index, differentiating it from broader technology ETFs. PSJ's top holdings include The Trade Desk Inc Class A (6.06%), Workday Inc Class A (5.45%), and HubSpot Inc (5.35%).

Invesco Dynamic Software ETF (PSJ) ETF — Price, Holdings & Analysis

The Invesco Dynamic Software ETF (PSJ) is a $0.20 billion fund seeking to replicate the performance of U.S. software companies. PSJ's expense ratio is 0.50%. The fund's non-diversified approach allows for concentrated exposure to its underlying index, differentiating it from broader technology ETFs. PSJ's top holdings include The Trade Desk Inc Class A (6.06%), Workday Inc Class A (5.45%), and HubSpot Inc (5.35%).

ETF Overview

The fund generally will invest at least 90% of its total assets in the securities that comprise the underlying index. The underlying index is composed of common stocks of U.S. software companies. These companies are principally engaged in the research, design, production or distribution of products or processes that relate to software applications and systems and information-based services. The fund is non-diversified.
The Invesco Dynamic Software ETF (PSJ) aims to provide investment results that correspond generally to the price and yield of the underlying index, composed of common stocks of U.S. software companies. PSJ invests at least 90% of its total assets in securities that comprise the index. These companies are principally engaged in the research, design, production, or distribution of products or processes that relate to software applications and systems and information-based services. As a non-diversified fund, PSJ offers concentrated exposure to the software sector. The fund's top holdings include companies like The Trade Desk Inc Class A (6.06%), Workday Inc Class A (5.45%), and HubSpot Inc (5.35%). PSJ's sector allocation is heavily weighted towards Technology (70.8%), followed by Communication Services (17.7%). This ETF may appeal to investors seeking targeted exposure to the software industry.

Risk Metrics

PSJ carries several risks inherent to its investment strategy. As a non-diversified fund, it is subject to concentration risk, meaning its performance is highly dependent on a relatively small number of holdings; its top holding, The Trade Desk Inc Class A, accounts for 6.06% of the fund. The fund's significant allocation to the Technology sector (70.8%) exposes it to sector-specific risks. With a beta of 0.98, PSJ's volatility is similar to the overall market. The expense ratio of 0.50% will create a drag on performance over time, particularly when compared to lower-cost broad market ETFs. these may be worth researching factors when evaluating PSJ.

Expense Ratio

0.50%

What does PSJ hold?

HoldingWeight
The Trade Desk Inc Class A (TTD)6.06%
Workday Inc Class A (WDAY)5.45%
HubSpot Inc (HUBS)5.35%
Snap Inc Class A (SNAP)5.14%
Synopsys Inc (SNPS)5.10%
Fortinet Inc (FTNT)5.06%
Electronic Arts Inc (EA)4.83%
Roblox Corp Ordinary Shares - Class A (RBLX)4.39%
MicroStrategy Inc Class A (MSTR)3.66%
Perion Network Ltd (PERI)2.92%

How Is the Fund Allocated?

SectorWeight
Technology70.8%
Communication Services17.7%
Real Estate4.0%
Healthcare3.9%
Industrials3.3%
Cash & Others0.2%
Financial Services0.2%
CountryWeight
China1.2%
United States78.9%
Other0.2%
United Kingdom0.8%
Taiwan (Province of China)3.8%
Japan3.1%
Switzerland0.6%
Germany0.1%
Singapore0.1%
Korea (the Republic of)8.0%

Dividend Yield

0.18%

Risk Metrics

  • Beta: 0.98

Questions & Answers

What is PSJ and what does it track?

The Invesco Dynamic Software ETF (PSJ) is an exchange-traded fund that seeks to replicate the investment results of the Dynamic Software Intellidex Index. This index is composed of common stocks of U.S. software companies.

These companies are principally engaged in the research, design, production or distribution of products or processes that relate to software applications and systems and information-based services.

What is the expense ratio for PSJ?

The expense ratio for PSJ is 0.50%. This means that for every $10,000 invested in the fund, investors will pay $50 in annual fees.

While this provides exposure to a specific segment of the market, the expense ratio is higher than some broad market ETFs. Investors should consider the expense ratio in relation to the potential returns and the benefits of targeted software exposure.

What are the top holdings in PSJ?

As of March 15, 2026, the top holdings in PSJ are The Trade Desk Inc Class A (TTD) at 6.06%, Workday Inc Class A (WDAY) at 5.45%, HubSpot Inc (HUBS) at 5.35%, Snap Inc Class A (SNAP) at 5.14%, and…

Synopsys Inc (SNPS) at 5.10%.

Is PSJ a good long-term investment?

Whether PSJ is a suitable long-term investment depends on an investor's individual circumstances and risk tolerance. PSJ offers targeted exposure to the software industry, which has the potential for growth but also carries specific risks.

The fund's expense ratio of 0.50% and non-diversified nature should be considered. With a beta of 0.98, PSJ's volatility is similar to the overall market. Past performance does not guarantee future results.

How does PSJ compare to similar ETFs?

PSJ differentiates itself through its dynamic selection process and focus on U.S. software companies. Other technology ETFs may have broader mandates, including hardware or semiconductors, or may have different weighting methodologies.

PSJ's AUM is $0.20 billion, which may be smaller than some of its competitors. The expense ratio of 0.50% is also a factor to consider when comparing PSJ to other ETFs with similar investment objectives.

Does PSJ pay dividends?

Yes, PSJ does pay dividends. The current dividend yield for PSJ is 0.18% as of March 15, 2026. This yield may vary over time depending on the performance of the underlying holdings and the fund's distribution policy.

Investors seeking income may want to consider other ETFs with higher dividend yields.