DOWNERS GROVE, Ill.,
April 9, 2015 /PRNewswire/ -- Invesco
PowerShares Capital Management, LLC, a leading global provider of
exchange-traded funds (ETFs), announced the launch of the
PowerShares S&P 500 ex-Rate Sensitive Low Volatility Portfolio
(XRLV), which was listed today on the NYSE ARCA. Based on the
industry leading S&P 500 Low Volatility Rate Response
Index, XRLV offers a two-factor solution to investors looking for
low volatility equity exposure while seeking protection against
rising interest rates.
"Investors have faced a prolonged period of historically low
interest rates and ever present risk in the wake of the 2008
financial crisis. Inevitably, investors will encounter a reversal
of this trend and will likely be forced to manage the risks
associated with rising interest rates and higher levels of equity
volatility," said Dan Draper, Head
of Invesco PowerShares. "The combination of rising volatility and
interest rates can have an adverse impact on equity prices,
highlighting the need for tailored risk management solutions. XRLV
is designed to minimize the impact of rising volatility and higher
interest rates on our clients' portfolios. We see this as a
strategic addition to our existing suite of PowerShares low
volatility solutions."
The S&P 500 Low Volatility Rate Response Index is
designed to provide exposure to companies in the S&P 500 that
exhibit both low volatility after removing stocks that historically
have performed poorly in rising rate environments. To determine its
makeup, S&P, which is the index provider, narrows its universe
to the 400 stocks with the greatest positive exposure to the
10-year treasury yield (i.e. stocks with the highest positive
returns when interest rates rise). Of the remaining 400, the 100
with the lowest volatility over the past 12 months are selected for
index inclusion. The companies with the lowest volatility receive
the greatest weightings. The Index is rebalanced quarterly.
To learn more about the Invesco PowerShares S&P 500 ex-Rate
Sensitive Low Volatility Portfolio (XRLV), please visit
https://www.invesco.com/portal/site/us/financial-professional/etfs/product-detail?productId=XRLV.
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 over $100 billion as of December 31, 2014 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 Risk Information
There are risks involved
with investing in ETFs, including possible loss of money. Shares
are not actively managed and are subject to risks similar to those
of stocks, including those regarding short selling and margin
maintenance requirements. Ordinary brokerage commissions apply. The
Fund's return may not match the return of the Underlying Index.
Investments focused in a particular industry are subject to
greater risk, and are more greatly impacted by market volatility,
than more diversified investments.
Equity risk is the risk that the value of equity securities,
including common stocks, may fall due to both changes in general
economic and political conditions that impact the market as a
whole, as well as factors that directly relate to a specific
company or its industry.
The Fund is considered non-diversified and may be subject to
greater risks than a diversified fund.
There is no assurance that the Fund will provide low
volatility.
S&P® is a registered trademark of Standard & Poor's
Financial Services LLC (S&P) and Dow Jones® is a registered
trademark of Dow Jones Trademark Holdings LLC (Dow Jones). These
trademarks have been licensed for use by S&P Dow Jones Indices
LLC. S&P® and Standard & Poor's® are trademarks of S&P
and Dow Jones® is a trademark of Dow Jones. These trademarks have
been sublicensed for certain purposes by Invesco PowerShares
Capital Management LLC (Invesco PowerShares). The Index is a
product of S&P Dow Jones Indices LLC and/or its affiliates and
has been licensed for use by Invesco PowerShares. The Fund is not
sponsored, endorsed, sold or promoted by S&P Dow Jones Indices
LLC, Dow Jones, S&P or their respective affiliates and neither
S&P Dow Jones Indices LLC, Dow Jones, S&P or their
respective affiliates make any representation regarding the
advisability of investing in such product(s).
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.
Invesco Distributors, Inc. is the distributor of the PowerShares
Exchange-Traded Fund Trust. PowerShares® is a registered trademark
of Invesco PowerShares Capital Management LLC. Invesco PowerShares
Capital Management LLC (Invesco PowerShares) and Invesco
Distributors, Inc. are indirect, wholly owned subsidiaries of
Invesco Ltd.
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.
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SOURCE Invesco PowerShares Capital Management LLC