Invesco PowerShares Adds Two Low Beta Equal Weight Strategies to Smart Beta Lineup
New Multi-Factor ETFs Designed to Offer Risk-Adjusted Exposure to US and International Equity
DOWNERS GROVE, Ill., Nov. 5, 2015 /PRNewswire/ -- Invesco PowerShares Capital Management, LLC, a leading global provider of exchange-traded funds (ETFs), announced the launch of two new ETFs; the PowerShares Russell 1000® Low Beta Equal Weight Portfolio (USLB) and PowerShares FTSE International Low Beta Equal Weight Portfolio (IDLB).
Both USLB and IDLB offer multi-factor concepts, which combine individual factors that may offer excess or differentiated returns. Multi-factor investing centered around low beta may potentially enhance returns while reducing risk and ultimately provide for better risk-adjusted returns.
The new USLB strategy is based on the Russell 1000® Low Beta Equal Weight Index, offering risk-adjusted exposure to domestic equity. USLB's factor selection focuses on risk management, which centers on low beta, earnings and equal weighting.
The new IDLB strategy also offers risk-adjusted exposure, but is focused on international equity based on the FTSE Developed ex US Low Beta Equal Weight Index.
"We're excited to be rolling out two new low beta strategies," said Dan Draper, Managing Director, Global Head, Invesco PowerShares. "Both ETFs have potential to reduce risk for investors by following disciplined index methodologies while offering exposure to risk-management factors."
"We are happy to be able to offer innovative new methodologies on our flagship US domestic and global indexes for investors who seek exposure through exchange-traded funds," said Ron Bundy, CEO of North America benchmarks for FTSE Russell. "In addition, we are excited to expand on our growing relationship with Invesco PowerShares to provide indexes to underlie their family of exchange-traded funds."
The launch of USLB and IDLB boosts PowerShares lineup to more than 140 ETFs. To learn more about the Invesco PowerShares ETFs, please visit our Resources page and consider our latest paper 'Getting Smart about Beta' here: https://www.invesco.com/portal/site/us/financial-professional/active-passive-investing/
About Invesco PowerShares Capital Management LLC and Invesco, Ltd.
Invesco PowerShares Capital Management LLC is leading the Intelligent ETF Revolution® through its family of more than 140 domestic and international exchange-traded funds, which seek to outperform traditional benchmark indexes while providing advisors and investors access to an innovative array of focused investment opportunities. With franchise assets of nearly $100 billion as of October 2, 2015. PowerShares ETFs trade on both US stock exchanges. For more information, please visit us at invescopowershares.com or follow us on Twitter @PowerShares.
Invesco Ltd. is a leading independent global investment management firm, dedicated to helping investors worldwide achieve their financial objectives. By delivering the combined power of our distinctive investment management capabilities, Invesco provides a wide range of investment strategies and vehicles to our clients around the world. Operating in more than 20 countries, the firm is listed on the New York Stock Exchange under the symbol IVZ. Additional information is available at www.invesco.com.
Important Information
Not FDIC Insured | May Lose Value | No Bank Guarantee
There are risks involved with investing in ETFs, including possible loss of money. Shares are not actively managed and are subject to risks including those regarding short selling and margin maintenance requirements. Ordinary brokerage commissions apply. The funds are subject to certain other risks. Please see the prospectus for more information regarding the risks associated with an investment in the funds.
Beta is a measure of risk representing how a security is expected to respond to general market movements. Smart beta represents an alternative and selection index based methodology that may outperform a benchmark or reduce portfolio risk or both. Smart beta funds may underperform cap-weighted benchmarks and increase portfolio risk.
Investments focused in a particular industry or sector are subject to greater risk, and are more greatly impacted by market volatility, than more diversified investments.
IDLB
Stocks of medium-sized companies tend to be more vulnerable to adverse developments, may be more volatile, and may be illiquid or restricted as to resale.
The risks of investing in securities of foreign issuers can include fluctuations in foreign currencies, political and economic instability, and foreign taxation issues.
The Russell 1000® Low Beta Equal Weight Index is designed to track the performance of stocks in the Russell 1000 Index that exhibit low beta characteristics. The Russell 1000 Index is designed to measure the performance of the U.S. equity market. It is composed of the stocks of the largest 1,000 companies by capitalization in the U.S.
The FTSE Developed ex US Low Beta Equal Weight Index is designed to track the performance of stocks in the FTSE Developed ex US Index that exhibit low beta characteristics. The FTSE Developed ex US Index is designed to measure the performance of the developed international equity markets, and consists of large and mid-cap companies from developed markets throughout the world, excluding the U.S.
An investment cannot be made directly in an index.
The Russell 1000® Low Beta Equal Weight Index and FTSE Developed ex US Low Beta Equal Weight Index are a trademarks of Frank Russell Company and has been licensed for use by Invesco PowerShares. The Products are not sponsored, endorsed, sold or promoted by Frank Russell Company and Frank Russell Company makes no representation regarding the advisability of investing in the Products.
Shares are not individually redeemable and owners of the shares may acquire those shares from the Fund and tender those shares for redemption to the Fund in Creation Unit aggregations only, typically consisting of 50,000, 75,000 and 100,000 shares.
Note: Not all products available through all firms.
Before investing, investors should carefully read the prospectus/summary prospectus and carefully consider the investment objectives, risks, charges and expenses. For this and more complete information about the Fund call 800 983 0903 or visit invescopowershares.com for the prospectus/summary prospectus.
SOURCE Invesco PowerShares
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