| Summary Prospectus |
December 18, 2020 |
Invesco Premier Tax-Exempt Portfolio
Institutional Class: (PEIXX)
Before you invest, you may want
to review the Fund’s prospectus, which contains more information about the Fund and its risks. You can find the Fund’s prospectus, reports to shareholders, and other
information about the Fund online at www.invesco.com/prospectus. You can also get this information at no cost by calling (800) 659-1005 or by sending an e-mail request to
ProspectusRequest@invesco.com. The Fund’s prospectus and statement of additional information, both dated December 18, 2020 (as each may be amended or supplemented), are
incorporated by reference into this Summary Prospectus and may be obtained, free of charge, at the website, phone number or e-mail address noted above.
Beginning on January 1, 2021, as permitted by regulations adopted by the Securities
and Exchange Commission, paper copies of the Fund's shareholder reports will no longer be sent by mail, unless you specifically request paper copies of the reports from the Fund
or from your financial intermediary, such as a broker-dealer or bank. Instead, the reports will be made available on the Fund's website, and you will be notified by mail each time a report is posted and provided with a website link to access the report.
If you already elected to receive shareholder reports electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from the Fund electronically by contacting your financial intermediary (such as a broker-dealer or bank) or, if you are a direct investor, by enrolling at invesco.com/edelivery.
You may elect to receive all future reports in paper free of charge. If you invest
through a financial intermediary, you can contact your financial intermediary to request that you continue to receive paper copies of your shareholder reports. If you invest
directly with the Fund, you can call (800) 959-4246 to let the Fund know you wish to continue receiving paper copies of your shareholder reports. Your election to receive reports
in paper will apply to all funds held with your financial intermediary or all funds held with the fund complex if you invest directly with the Fund.
Investment Objective(s)
The Fund's investment objective is to provide tax-exempt income consistent with preservation of capital
and liquidity.
Fees and Expenses of the Fund
This table describes the fees and expenses that you may pay if you buy and hold shares of the Fund.
Shareholder Fees (fees paid directly from your investment)
| Class: |
Institutional |
| Maximum
Sales Charge (Load) Imposed on Purchases (as a percentage of offering price) |
None |
| | |
| Maximum
Deferred Sales Charge (Load) (as a percentage of original purchase price or redemption proceeds,
whichever is less) |
None |
| | |
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
| Class: |
Institutional |
| Management Fees |
0.25% |
| | |
| Distribution and/or Service (12b-1) Fees |
None |
| | |
| Other Expenses |
0.00 |
| | |
| Total Annual Fund Operating Expenses |
0.25 |
| | |
| Fee Waiver and/or Expense Reimbursement1
|
0.05 |
| | |
| Total Annual Fund Operating Expenses After Fee Waiver and/or Expense Reimbursement |
0.20 |
| | |
1
Invesco Advisers, Inc. (Invesco or the Adviser) has contractually agreed to waive advisory
fees equal to 0.05% of the average daily net assets of Invesco Premier Tax-Exempt Portfolio. Unless
Invesco continues the fee waiver agreement, it will terminate on December 31, 2021. During its term, the
fee waiver agreement cannot be terminated or amended to reduce the advisory fee waiver without approval of the Board of Trustees.
Example.
This Example is intended to help you compare the cost of investing in the Fund with the cost of investing in other mutual funds.
The Example assumes that you invest $10,000 in the Fund for the time periods indicated and then redeem
all of your shares at the end of those periods. The Example also assumes that your investment has a 5% return
each year and that the Fund’s operating expenses remain equal to the Total Annual Fund Operating
Expenses After Fee Waiver and/or Expense Reimbursement in the first year and the Total Annual Fund Operating
Expenses thereafter.
Although your actual costs may be higher or lower, based on these assumptions, your costs would
be:
| |
1 Year |
3 Years |
5 Years |
10 Years |
| Institutional Class |
20$ |
75$ |
136$ |
313$ |
| | ||||
Principal Investment Strategies of the Fund
The Fund invests under normal circumstances at least 80% of its net assets (plus any borrowings for investment purposes) in securities that (1) pay interest that is excluded from gross income for
federal income tax purposes, and (2) do not produce income that will be considered to be an item of
preference for purposes of the alternative minimum tax. While the Fund’s distributions are primarily
exempt from federal income tax, a portion of the
1 Invesco Premier Tax-Exempt Portfolio
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Fund’s distributions may be
subject to the federal alternative minimum tax and state and local taxes.
In complying with the 80% investment requirement, the Fund may include other instruments that have
economic characteristics similar to the Fund’s direct investments that are counted toward the 80% investment requirement.
The Fund may invest up to 20% of its net assets in money market instruments that may be subject to federal taxes, including Treasury securities, repurchase agreements, commercial
paper, and U.S. dollar-denominated foreign securities.
The Fund invests only in high-quality U.S. dollar-denominated short-term debt obligations, including:
(i) municipal securities; (ii) tax-exempt commercial paper; and (iii) cash equivalents. These securities
may have credit and liquidity enhancements provided by banks, insurance companies or other financial
institutions. Municipal securities include debt obligations of states, territories and possessions of the United States and the District of Columbia, their political subdivisions, agencies, instrumentalities, authorities thereof, and
multi-state agencies, issued to obtain funds for various public purposes. Municipal lease obligations,
synthetic municipal securities (which include tender option bonds and variable rate instruments which are
created when fixed rate bonds are coupled with a third party demand feature) and certain types of industrial
revenue bonds are treated as municipal securities.
Other securities held by the Fund may be structured with demand features which have the effect of
shortening the security’s maturity.
The Fund will limit investments
to those securities that are Eligible Securities as defined by applicable regulations at the time of purchase.
The Fund is a money market fund that rounds the Fund’s current net asset value (NAV) per share to a minimum of the fourth decimal place. Although the Fund is a money market fund, the NAV
of the Fund’s shares “floats,” fluctuating with changes in the values of the Fund’s portfolio securities. The Fund invests in conformity with U.S. Securities and Exchange Commission (SEC) rules and regulation
requirements for money market funds for the quality, maturity, diversification and liquidity of investments.
The Fund invests only in U.S. dollar-denominated securities maturing within 397 calendar days of the date
of purchase, with certain exceptions permitted by applicable regulations. The Fund maintains a dollar-weighted average portfolio maturity of no more than 60 calendar days, and a dollar-weighted average portfolio maturity as
determined without exceptions regarding certain interest rate adjustments under Rule 2a-7 under the
Investment Company Act of 1940, as amended (Rule 2a-7), of no more than 120 calendar days. Each investment
must be determined to present minimal credit risks by Invesco Advisers, Inc. (Invesco or the Adviser)
pursuant to guidelines approved by the Fund’s Board of Trustees (the Board), and must be an Eligible
Security.
The Fund may invest in U.S. dollar-denominated foreign
securities. Some of the Fund’s investments, although U.S. dollar-denominated, may be subject to
foreign credit exposure.
The Fund may also invest in daily and weekly
variable-rate demand notes.
In selecting securities for the Fund’s portfolio, the portfolio managers focus on securities
that offer safety, liquidity, and a competitive yield. The Adviser conducts a credit analysis of each potential issuer prior to the purchase of its securities. The credit research process utilized by the Fund to implement its investment strategy in
pursuit of its investment objective considers factors that include, but are not limited to, an issuer’s operations, capital structure and environmental, social and governance (“ESG”) considerations. Credit quality analysis
therefore may consider whether any ESG factors pose a material financial risk or opportunity to an issuer.
The portfolio managers normally hold portfolio securities to maturity, but may sell a security when they deem it advisable, such as when market or credit factors materially change.
Principal
Risks of Investing in the Fund
You could lose money by investing in the Fund. An investment in the Fund is not insured or
guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The risks
associated with an investment in the Fund can increase during times of significant market volatility. The
principal risks of investing in the Fund are:
Money Market Fund Risk. Because the share price of the Fund will fluctuate, when you sell your shares they may be worth more or less than
what you originally paid for them and you may lose money by investing in the Fund. The Fund may impose a fee upon the sale of your shares or may temporarily suspend your ability to sell shares if the Fund’s liquidity falls below required minimums because of
market conditions or other factors. The Fund’s sponsor has no legal obligation to provide financial
support to the Fund, and you should not rely on or expect that the sponsor will enter into support
agreements or take other actions to provide financial support to the Fund at any time. The credit quality
of the Fund’s holdings can change rapidly in certain markets, and the default of a single holding could have an adverse impact on the Fund’s share price. The Fund’s share price can also be negatively affected during
periods of high redemption pressures, illiquid markets, and/or significant market volatility.
Debt Securities Risk. The prices of debt securities held by the Fund will be affected by changes in interest rates, the creditworthiness of
the issuer and other factors. An increase in prevailing interest rates typically causes the value of
existing debt securities to fall and often has a greater impact on longer-duration debt securities and higher quality debt securities. Falling interest rates will cause the Fund to reinvest the proceeds of debt securities that have been repaid by the issuer at
lower interest rates. Falling interest rates may also reduce the Fund’s distributable income because interest payments on floating rate debt instruments held by the Fund will decline. The Fund could lose money on investments in
debt securities if the issuer or borrower fails to meet its obligations to make interest payments and/or to
repay principal in a timely manner. Changes in an issuer’s financial strength, the market’s
perception of such strength or in the credit rating of the issuer or the security may affect the value of debt securities. The Adviser’s credit analysis may fail to anticipate such changes, which could result in buying a debt security at an inopportune time or
failing to sell a debt security in advance of a price decline or other credit event.
Municipal Securities Risk. The risk of a municipal obligation generally depends on the financial and credit status of the issuer. Constitutional
amendments, legislative enactments, executive orders, administrative regulations, voter initiatives, and
the issuer’s regional economic conditions may affect the municipal security’s value, interest payments, repayment of principal and the Fund’s ability to sell the security. Failure of a municipal security issuer to comply with
applicable tax requirements may make income paid thereon taxable, resulting in a decline in the security’s value. In addition, there could be changes in applicable tax laws or tax treatments that reduce or eliminate the current federal
income tax exemption on municipal securities or otherwise adversely affect the current federal or state tax
status of municipal securities.
Market Risk. The market values of the Fund’s investments, and therefore the value of the Fund’s shares, will go up and
down, sometimes rapidly or unpredictably. Market risk may affect a single issuer, industry or section of
the economy, or it may affect the market as a whole. The value of the Fund’s investments may go up or down due to general market conditions which are not specifically related to the particular issuer, such as real or perceived adverse economic
conditions, changes in the general outlook for revenues or corporate earnings, changes in interest or currency rates, regional or global instability, natural or environmental disasters, widespread disease or other public health
issues, war, acts of terrorism or adverse investor sentiment generally. During a general downturn in the
financial markets, multiple asset classes may decline in value. When markets perform well, there can be no
assurance that specific investments held by the Fund will rise in value.
2 Invesco Premier
Tax-Exempt Portfolio
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U.S. Government Obligations Risk. Obligations of U.S. Government agencies and authorities receive varying levels of support and may not be backed by the full faith and credit of the U.S. Government, which could affect the Fund’s ability to recover
should they default. No assurance can be given that the U.S. Government will provide financial support to its agencies and authorities if it is not obligated by law to do so.
Banking and Financial Services Industry Focus Risk. From time to time, the Fund may invest more than 25% of its assets in unsecured bank instruments, including but not limited to certificates
of deposit and time deposits, or securities that may have guarantees or credit and liquidity enhancements
provided by banks, insurance companies or other financial institutions. To the extent the Fund focuses its investments in these instruments or securities, the Fund’s performance will depend on the overall condition of those industries and the
individual banks and financial institutions in which the Fund invests (directly or indirectly), the supply of
short-term financing, changes in government regulation, changes in interest rates, and economic downturns
in the United States and abroad.
Risk of Large
Shareholder Redemptions. One or more shareholders hold or control a significant percentage of the
Fund’s shares. Redemptions by such shareholder(s) may force the Fund to sell a significant portion of its holdings.
Repurchase Agreement Risk. The Fund is subject to the risk that the counterparty may default on its obligation to repurchase the underlying instruments collateralizing the repurchase
agreement, which may cause the Fund to lose money. These risks are magnified to the extent that a
repurchase agreement is secured by securities other than cash or U.S. Government securities.
Variable-Rate Demand Notes Risk. The absence of an active secondary market for certain variable and floating rate notes could make it difficult to
dispose of these instruments, which could result in a loss.
Alternative Minimum Tax Risk. A portion of the Fund’s otherwise tax-exempt income may be taxable to those shareholders subject to the federal alternative minimum tax.
Foreign Securities and Credit Exposure Risk. U.S. dollar-denominated securities carrying foreign credit exposure may be affected by unfavorable political, economic or governmental developments that could affect payments of principal and interest. Furthermore, the
Fund's foreign investments may be adversely affected by political and social instability, changes in
economic or taxation policies, difficulty in enforcing obligations, decreased liquidity or increased volatility. Foreign investments also involve the risk of the possible seizure, nationalization or expropriation of the issuer or foreign deposits (in which the Fund
could lose its entire investments in a certain market) and the possible adoption of foreign governmental
restrictions such as exchange controls.
Yield Risk. The Fund’s yield will vary as the short-term securities in its portfolio mature or are sold and the proceeds are
reinvested in other securities. When interest rates are very low, the Fund’s expenses could absorb
all or a portion of the Fund’s income and yield. Additionally, inflation may outpace and diminish investment returns over time. Recent and potential future changes in monetary policy made by central banks and/or their governments may affect interest
rates.
Environmental, Social and Governance (ESG)
Considerations Risk. The ESG considerations assessed as part of a credit research process to implement the Fund’s investment strategy in pursuit of its investment objective may vary across types of eligible
investments and issuers, and not every ESG factor may be identified or evaluated for every investment. The
incorporation of ESG factors as part of a credit analysis may affect the Fund’s exposure to certain
issuers or industries and may not work as intended. Information used to evaluate such factors may not be readily available, complete or accurate, and may vary across providers and issuers. There is no guarantee that the incorporation
of ESG considerations will be additive to the Fund’s performance.
Management Risk. The Fund is actively managed and depends heavily on the Adviser’s judgment about markets, interest rates or the
attractiveness, relative values, liquidity, or potential appreciation of particular investments made for the Fund’s portfolio. The Fund could experience losses if these judgments prove to be
incorrect. Additionally, legislative, regulatory, or tax developments may adversely affect management of the
Fund and, therefore, the ability of the Fund to achieve its investment objective.
Performance Information
The bar chart and performance table provide an indication of the risks of investing in the Fund. The bar chart shows changes in the performance of the Fund from year to year as of December
31. The Fund's past performance is
not necessarily an indication of its future performance. Updated performance information is available on
the Fund's website at www.invesco.com/us.
Annual Total Returns
| Institutional Class |
Period Ending |
Returns |
| Year-to-date |
September 30, 2020 |
0.39% |
| Best Quarter |
June 30, 2019 |
0.40% |
| Worst Quarter |
March 31, 2016 |
0.00% |
Average Annual Total Returns (for the periods ended December 31, 2019)
| |
Inception
Date |
1
Year |
5
Years |
10
Years |
| Institutional Class |
2/25/2005 |
1.36% |
0.72% |
0.38% |
| | ||||
Management of the Fund
Investment Adviser: Invesco Advisers, Inc.
Purchase and Sale of Fund Shares
You may purchase or redeem shares of the Fund on any business day the Fund is open through your financial intermediary, by telephone at (800) 659-1005, or through Liquidity LinkSM.
The minimum investments for Institutional Class shares fund accounts are as follows:
| Initial Investments Per Fund Account* |
$1,000 |
| | |
| Additional Investments Per Fund Account |
No
minimum |
| | |
*
An intermediary may aggregate its master accounts and subaccounts to satisfy the minimum investment requirement.
Tax Information
The Fund’s distributions primarily are exempt from regular federal income tax. A portion of these distributions, however, may be subject to the federal alternative minimum tax and state and
local taxes. The Fund may also make distributions that are taxable to you as ordinary income.
Payments to Broker-Dealers and Other Financial Intermediaries
If you purchase the Fund through a broker-dealer or other financial intermediary (such as a bank), the
Fund, the Fund’s distributor or its related companies may pay the intermediary for the sale of Fund shares and related services. These payments may create a conflict of interest by influencing the broker-dealer or other intermediary and
your salesperson or financial adviser to recommend the Fund over another investment. Ask your salesperson
or financial adviser or visit your financial intermediary’s website for more information.
3 Invesco Premier
Tax-Exempt Portfolio
invesco.com/usCM-PTE-SUMPRO-2