Invesco Oppenheimer V.I. Global Strategic Income Fund*
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Annual Report 12/31/2019 Invesco Oppenheimer V.I. Global Strategic Income Fund* Beginning on January 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, the insurance company that offers your variable annuity or variable life insurance contract may no longer send you paper copies of the Fund’s shareholder reports by mail, unless you specifically request paper copies of the reports from the insurance company or your financial intermediary. Instead of delivering paper copies of the report, the insurance company may choose to make the reports available on a website, and will notify you by mail each time a report is posted and provide you with a website link to access the report. Instructions for requesting paper copies will be provided by your insurance company. If the insurance company offers electronic delivery, you may elect to receive shareholder reports and other communications about the Fund electronically by following the instructions provided by the insurance company or by contacting your financial intermediary. 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 all future reports in paper free of charge from the insurance company. You can inform the insurance company or your financial intermediary that you wish to continue receiving paper copies of your sharehold- er reports by following the instructions provided by the insurance company or by contacting your financial intermediary. Your election to receive reports in paper will apply to all portfolio companies available under your contract with the insurance company. The Fund provides a complete list of its holdings four times in each fiscal year, at the quarter ends. For the second and fourth quarters, the lists appear in the Fund’s semi annual and annual reports to shareholders. For the first and third quarters, the Fund files the lists with the Securities and Exchange Commission (SEC) as an exhibit to its reports on Form N-PORT. The Fund’s Form N-PORT filings are available on the SEC website, sec.gov. The Fund’s most recent portfolio holdings, as filed on Form N-PORT, have also been made available to insur- ance companies issuing variable annuity contracts and variable life insurance policies (“variable products”) that invest in the Fund. A description of the policies and procedures that the Fund uses to determine how to vote proxies relating to portfolio securities is available without charge, upon request, from our Client Services department at 800 959 4246 or at invesco.com/proxyguidelines. The information is also available on the SEC website, sec.gov. Information regarding how the Fund voted proxies related to its portfolio securities during the most recent 12-month period ended June 30 is available at invesco.com/proxysearch. The information is also available on the SEC website, sec.gov. Invesco Advisers, Inc. is an investment adviser; it provides investment advisory services to individual and institutional clients and does not sell securities. Invesco Distributors, Inc. is the US distributor for Invesco Ltd.’s retail mutual funds, exchange- traded funds and institution- al money market funds. Both are wholly owned, indirect subsidiaries of Invesco Ltd. This report must be accompanied or preceded by a currently effective Fund prospectus and variable product pro- spectus, which contain more complete information, including sales charges and expenses. Investors should read each carefully before investing. *Prior to the close of business on May 24, 2019, the Fund’s name was Oppenheimer Global Strategic Income Fund/VA. See Important Update on the following page for more information. Important Update On October 18, 2018, Massachusetts Mutual Life Insurance Company, an indirect corporate parent of OppenheimerFunds, Inc. and its subsidiaries OFI Global Asset Management, Inc., OFI SteelPath, Inc. and OFI Advisors, LLC, announced that it had entered into an agreement whereby Invesco Ltd., a global investment management company would acquire OppenheimerFunds and its subsidiaries (together, “OppenheimerFunds”). After the close of business on May 24, 2019 Invesco Ltd. completed the acquisition of OppenheimerFunds. This Fund was included in that acquisition and as of that date, became part of the Invesco family of funds. Please visit invesco.com for more information or call Invesco’s Client Services team at 800-959-4246. PORTFOLIO MANAGERS: Hemant Baijal, Chris Kelly, CFA AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIODS ENDED 12/31/19 Inception Date 1-Year 5-Year 10-Year Series I Shares* 5/3/93 10.80% 3.23% 4.71% Series II Shares* 3/19/01 10.61 3.01 4.47 Bloomberg Barclays U.S. Aggregate Bond Index 8.72 3.05 3.75 Performance quoted is past performance and cannot guarantee future results; current performance may be lower or higher. Visit invesco.com for the most recent month-end performance. Performance figures reflect reinvested distributions and changes in net asset value (NAV). Investment return and principal value will vary so that you may have a gain or a loss when you sell shares. Fund returns include changes in share price, reinvested distributions. Performance figures given represent the Fund and are not intended to reflect actual variable product values. They do not reflect sales charges, expenses and fees assessed in connection with a variable product. Sales charges, expenses and fees, which are determined by the variable product issuers, will vary and will lower the total return. Returns for periods of less than one year are cumulative and not annualized. As the result of a reorganization after the close of business on May 24, 2019, the Non-Service and Service share classes of the predecessor fund were reorganized into Series I and Series II Shares, respectively, of the Fund. Returns shown for Series I and Series II shares are blended returns of the predecessor fund and the Fund. Share class returns will differ from those of the Oppenheimer predecessor fund because of different expenses. See Fund prospectuses and summary prospectuses for more information on share classes, sales charges and new fee agreements, if any. Fund literature is available at invesco.com. The Fund’s performance is compared to the performance of the Bloomberg Barclays U.S. Aggregate Bond Index, an index of U.S. Government and corporate bonds. The Index is unmanaged and cannot be purchased directly by investors. While index comparisons may be useful to provide a benchmark for the Fund’s performance, it must be noted that the Fund’s investments are not limited to the investments comprising the Index. Index performance includes reinvestment of income, but does not reflect transaction costs, fees, expenses or taxes. Index performance is shown for illustrative purposes only as a benchmark for the Fund's performance and does not predict or depict performance of the Fund. The Fund's performance reflects the effects of the Fund's business and operating expenses. *Effective after the close of business on May 24, 2019, the Non-Service and Service share classes of the predecessor fund were reorganized into Series I and Series II Shares, respectively, of the Fund. Returns shown for Series I and Series II shares are blended returns of the predecessor fund and the Fund. Share class returns will differ from those of the predecessor fund because of different expenses. 3 INVESCO OPPENHEIMER V.I. GLOBAL STRATEGIC INCOME FUND TOP HOLDINGS AND ALLOCATIONS REGIONAL ALLOCATION PORTFOLIO ALLOCATION Non-Convertible Corporate Bonds and Notes 32.5% Foreign Government Obligations 25.9 Mortgage-Backed Obligations Agency 8.8 CMOs 1.1 Non-Agency 8.4 Investment Companies Carlyle Tactical Private Credit Fund 0.1 Invesco Government & Agency Portfolio, Institutional U.S./Canada—48.4% Class 9.5 Europe—20.7% Invesco Oppenheimer Limited-Term Bond Fund —* Asia/Pacific—11.5% Latin & South America—8.8% Invesco Oppenheimer Master Event-Linked Bond Fund 2.1 Middle East/Africa—7.9% Invesco Oppenheimer Ultra-Short Duration Fund 2.2 Emerging Europe—2.6% Nuveen Floating Rate Income Fund 0.3 Supranational —0.1% Asset-Backed Securities 5.8 Holdings and allocations are subject to change and are not buy/sell Over-the-Counter Options Purchased 1.0 recommendations. Percentages are as of December 31, 2019, and are Structured Securities 0.6 based on the total market value of investments. Over-the-Counter Interest Rate Swaptions Purchased 0.6 Short-Term Notes 0.5 Corporate Loans 0.5 Common Stocks 0.1 Rights, Warrants and Certificates —* Preferred Stocks —* Exchange-Traded Options Purchased —* Over-the-Counter Credit Default Swaptions Purchased —* * Represents a value of less than 0.05%. Holdings and allocations are subject to change and are not buy/sell recommendations. Percentages are as of December 31, 2019, and are based on total market value of investments. For more current Fund holdings, please visit invesco.com. 4 INVESCO OPPENHEIMER V.I. GLOBAL STRATEGIC INCOME FUND Fund Performance Discussion For the year ended December 31, 2019, Series I shares of Invesco V.I. Global Strategic Income Fund (the Fund) outperformed the Bloomberg Barclays U.S. Aggregate Bond Index (the Index), the Fund’s broad-based securities market/style-specific benchmark. Your Fund’s long-term performance appears later in this report. MARKET OVERVIEW 2019 was an eventful and volatile year that saw the Federal Reserve cutting interest rates for the first time in more than a decade, and U.S.-China trade relations dominating market sentiment. At the start of the year, rising global growth concerns came to the forefront. In January 2019, we saw the strongest indications yet that the broad economic trends might be evolving. The second quarter started with some hopes for stabilization, with China’s stimulus kicking in and U.S.