Invesco Limited Term Municipal Income Fund

AIM Tax-Exempt Funds (Invesco Tax-Exempt Funds) · 6 share classes

Actively managed U.S. bond fund
One fund, 6 share classes:ATFAXAITFXATFIXATFYXATFCXATFSX
$2.79B NAV
868 positions · as of 2026-05-31 · filed 2026-07-30

Fund classification

Classified from what the fund holds · as of 2026 Q2

Invesco Limited Term Municipal Income Fund is an actively managed U.S. bond fund.

Asset class
Bonds
Region
United States
Management
Actively managed
Fund type
Open-end fund
Credit quality
Investment grade
Rate sensitivity
Intermediate duration

Fund profile

As filed in the prospectus · 2026 Q2

The Funds investment objective is federal tax-exempt current income.

Strategy · summarised

The fund invests at least 80% of assets in investment-grade municipal securities whose interest is exempt from federal income tax and not subject to the alternative minimum tax, with active management adjusting portfolio maturity based on interest rate expectations and credit analysis of individual issuers. The fund may hold up to 20% in below-investment-grade municipal securities, and credit downgrades or other market moves may cause below-investment-grade holdings to exceed this limit for extended periods. The fund uses leverage through borrowings and inverse floating rate securities, with borrowings capped at one-third of total assets, and maintains a target dollar-weighted average maturity of five years or less.

Expenses
0.28% 1.34%across 6 share classes
Share classExpense ratio
ATFAX0.59%
AITFX0.34%
ATFIX0.36%
ATFYX0.34%
ATFCX1.34%
ATFSX0.28%

Portfolio turnover 42.00% · as of 2026 Q2

Allocation

Asset groups · long / short shown separately, never netted · 2026 Q2

98.75%
of net assets
Bonds98.75%

Latest quarter

What changed since the fund's previous filing

2026Q2 vs 2026Q1: 86 new42 exited

Largest new: University of Massachusetts Building Authority, Ohio State University (The), County of King WA Sewer Revenue, Maricopa County Industrial Development Authority, District of Columbia, New Jersey (State of) Transportation Trust Fund Authority, University of Illinois Auxiliary Facilities System, St Tammany Parish Hospital Service District No 1

Largest exited: Atlanta (City of), GA, University of Vermont and State Agricultural College, Illinois (State of), University of Illinois Auxiliary Facilities System, American Municipal Power, Inc. (Prairie State Energy Campus), University of Kansas Hospital Authority (KU Health System), Maricopa (County of), AZ Industrial Development Authority (Banner Health Obligated Group), South Florida Water Management District

Return profile

Chart:

Total return as filed — price change plus distributions reinvested · trailing figures to Apr 2026

Share class1-year3-year5-yearVolWorst fall
+4.68%+9.99%+8.26%1.81%-2.05%
+5.04%+10.82%+9.72%1.90%-2.07%
+4.92%+10.75%+9.65%1.79%-1.99%
+5.04%+10.92%+9.72%1.80%-2.08%
+3.99%+7.54%+4.36%1.90%-2.23%
+5.11%+11.13%+10.05%1.90%-2.06%

These classes hold the same portfolio, so the 5.69pp spread over 5 years is the cost difference between them — roughly 1.14pp a year — not a difference in what they own.

Cumulative return· Jun 2023 – Apr 2026

May 2026 has been filed since the trailing figures were struck, so it is not in the table above or the curve — every figure here shares one cut-off, which is what makes them comparable with other funds.

Debt profile

What this fund holds — value-weighted across its bond and securitized long positions · as of 2026-05-31

Avg coupon
4.52%
Avg maturity
10.46 yr
Coupon type

Share of the fund's debt by how its coupon behaves — the fact that decides whether a rate move reaches this portfolio at all.

25%
floating
Fixed rate73.7%
Floating rate24.9%
Zero-coupon or unclassified1.4%
Maturity ladder

Share of the fund's debt value in each maturity band, shortest first.

<1y10y+
<1y12.7%
1-3y8.2%
3-5y9.1%
5-10y18.3%
10y+51.7%
Flagged holdings
Defaulted: none reported
In arrears: none reported
Paid in kind: none reported

Based on what filers reported; a filer that never reported a flag also reads as none.

Risk profile

Interest-rate and credit-spread sensitivity, both in years · as of 2026Q2

Most of this fund’s sensitivity is to interest rates, with credit spreads carrying nearly as much.

Interest-rate duration
3.82 yr
approx. move per 100bp
Credit-spread duration
3.74 yr
approx. move per 100bp
If rates and spreads both rise 100bp

Where the loss would come from. The two shocks are the same size, so this is the balance of the fund's two sensitivities rather than a bet on one moving more.

≈ -7.5%
of value
Interest rates51%
Credit spreads49%

Filers report the impact of a 0.01% move only, so the total is our own scaling of that one number and overstates the loss on most bonds — read it as approximate, never as precise. The two sensitivities overlap rather than add up: they measure the same positions against different shocks, which is why the durations above are shown side by side and never summed.

Credit risk by quality

Share of the fund's spread duration carried by each credit tier.

+3.74
yrs total
Investment grade+3.45 yr
High yield+0.29 yr
Where the risk sits on the curve

Share of duration at each point, shortest first. A positive figure loses value when spreads widen; a negative one offsets — a credit hedge.

Interest rate3.82 yr total
3 mo30 yr
3 mo0.06 yr1%
1 yr0.36 yr9%
5 yr0.99 yr26%
10 yr1.85 yr48%
30 yr0.56 yr15%
Credit spread3.74 yr total
3 mo30 yr
3 mo0.06 yr2%
1 yr0.36 yr10%
5 yr1.02 yr27%
10 yr1.79 yr48%
30 yr0.51 yr14%

The two bands measure the same positions against different shocks and do not add — a Treasury carries rate duration and no spread duration, a floating-rate credit the reverse. Rate tenors are also summed across every currency the fund discloses.

Show the numbers
TenorRate yrsIG yrsHY yrsIG $/bpHY $/bp
3 mo+0.06+0.05+0.00$14.8k$1.0k
1 yr+0.36+0.33+0.04$91.1k$10.5k
5 yr+0.99+0.91+0.11$253.0k$30.3k
10 yr+1.85+1.67+0.12$464.7k$34.2k
30 yr+0.56+0.49+0.02$137.1k$5.9k

Dollar change per 1bp of spread movement, as filed and sign-anchored. A blank cell was not filed; a zero was.

Holdings

By % of NAV · equity positions carry filed share counts · every resolvable issuer links to its company page

Issuer%NAVValue
PEFA, Inc.5.00% floating · due 2026-09-010.91%$25.24M
Black Belt Energy Gas District (The) (No. 7)4.00% floating · due 2026-12-010.82%$22.97M
Omaha (City of), NE Public Power District5.00% · due 2042-02-010.80%$22.38M
Washington (State of) Health Care Facilities Authority (Providence Health & Services)5.00% · due 2042-10-010.78%$21.65M
Main Street Natural Gas, Inc.4.00% floating · due 2027-09-010.76%$21.14M
Nashville (City of) & Davidson (County of), TN Metropolitan Government Health & Educational Facilities Board (The) (Vanderbilt Univ Medical Center)5.00% · due 2026-07-010.73%$20.37M
Tarrant County Cultural Education Facilities Finance Corp. (Texas Health Resources System)5.00% · due 2041-02-150.71%$19.89M
Houston (City of), TX5.00% · due 2036-11-150.71%$19.75M
Kansas (State of) Development Finance Authority5.00% floating · due 2031-11-150.68%$19.06M
New York (State of), NY Housing Development Corp. (Green Bonds)3.40% floating · due 2026-12-220.65%$18.01M
Showing 10 of 868Sign in to see more

Top 10 positions are 7.55% of net assets, top 25 15.16%, across 597 issuers.

See more of this fund's book

More positions with filed share counts, and the quarter-over-quarter change list rather than the largest few — free with an account, no card required.

Sign in free