DOWNERS GROVE, Ill.,
Oct. 9, 2015 /PRNewswire/ -- Invesco
PowerShares Capital Management, LLC, a leading global provider of
exchange-traded funds (ETFs), announced today the launch of the
PowerShares DWA Tactical Sector Rotation Portfolio (DWTR). Dorsey,
Wright & Associates (DWA) is a leading registered investment
advisory firm based in Richmond,
Virginia.
DWTR implements an unemotional approach, focusing on relative
strength, a momentum indicator that compares the magnitude of
recent gains to recent losses in an attempt to determine overbought
and oversold conditions of an asset, as a longer term strategy that
may help reduce potential turnover, but is also adaptive enough to
rotate a portfolio on a monthly basis as the market dictates.
PowerShares' solution benefits from a sector rotation strategy that
provides factor exposure to momentum and also features a cash
component (represented by 0-6 month T-Bills) for risk management
during market downturns.
"The power of this strategy results from its ability to take the
DWA Sector 4 Index and package it in the efficient ETF wrapper,
which potentially reduces tax burden, transaction costs, and eases
portfolio implementation," said Nick
Kalivas, senior equity product strategist at Invesco
PowerShares. "Another potential benefit to this momentum strategy
is that it may be used in tactical and strategic allocations when
combined with other smart beta products or asset classes."
"Invesco PowerShares has been a valued partner to Dorsey Wright for close to a decade," said
Tammy DeRosier, President at Dorsey,
Wright & Associates. "We are excited to continue our work
together, launching this unique sector rotation strategy product
that seeks to dynamically adjust monthly to sector trends, as well
as prevailing market conditions."
DWA's methodology uses technical analysis to identify market
trends which can potentially be used to capitalize on performance
differences between sectors. Allocations are then adjusted based on
DWA's proprietary relative strength methodology.
To learn more about the Invesco PowerShares factor-based 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 7, 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.
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
fund is subject to certain other risks.
Please see the prospectus for more information regarding the
risks associated with an investment in the fund. 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 shares.
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.
The momentum style of investing is subject to the risk that the
securities may be more volatile than the market as a whole, or that
the returns on securities that have previously exhibited price
momentum are less than returns on other styles of investing.
Obligations issued by US Government agencies and
instrumentalities may receive varying levels of support from the
government, which could affect the fund's ability to recover should
they default. Fixed-income investments are subject to credit risk
of the issuer and the effects of changing interest rates. Due to
anticipated Federal Reserve Board policy changes, there is a risk
that interest rates will rise in the near future.
Through its investments in the PowerShares ETFs, which each
track a specific sector of the U.S. equity market, the Fund also
will face specific risks inherent in each of these sectors: basic
materials sector, consumer discretionary sector, consumer staples
sector, energy sector, financial services sector, healthcare
sector, industrials sector, technology sector and utilities sector
risk.
The Fund invests primarily in other funds, the Fund's investment
performance largely depends on the investment performance of those
Underlying Funds. An investment in the Fund is subject to the risks
associated with the PowerShares ETFs that comprise the Underlying
Index.
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.
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.
The fund is non-diversified and may experience greater
volatility than a more diversified investment.
About Dorsey, Wright & Associates, LLC
(DWA)
PowerShares has arranged with Dorsey, Wright &
Associates, LLC (DWA) to provide specialized ETF analysis on the
PowerShares ETFs. The Point & Figure analysis, models and
resulting rankings, including any information, data or commentary
included therein, should not be considered an offer to purchase or
sell, or a solicitation of an offer to buy or purchase any
security, including PowerShares ETF shares. The examples presented
do not take into consideration commissions, tax implications, or
other transactions costs. Neither PowerShares nor DWA through this
document, provide investment advice or recommendations regarding
any security, fund or market. There is no relationship between
Dorsey, Wright & Associates, LLC ("Dorsey Wright") and Invesco PowerShares
("PowerShares") other than a license by Dorsey Wright to PowerShares of certain
Dorsey Wright trademarks,
tradenames, investment models, and indexes (the "DWA IP").
DWA IP has been created and developed by Dorsey Wright without regard to and
independently of PowerShares, and/or any prospective investor. The
licensing of any DWA IP is not an offer to purchase or sell, or a
solicitation of an offer to buy any securities.
Information contained herein is based on data obtained from
recognized statistical services, issuer reports or communications,
or other sources, believed to be reliable. However, such
information has not been verified by DWA or the information
provider and DWA and the information providers make no
representations or warranties or take any responsibility as to the
accuracy or completeness of any recommendation or information
contained herein. DWA and the information provider accept no
liability to the recipient whatsoever whether in contract, in tort,
for negligence, or otherwise for any direct, indirect,
consequential, or special loss of any kind arising out of the use
of this document or its contents or of the recipient relying on any
such recommendation or information (except in so far as any
statutory liability cannot be excluded).
The use of DWA's product and data descriptions, trademarks,
logos and other identifying marks shall not constitute or be
construed as the creation or existence of any partnership, agency
or joint venture relationship between PowerShares and DWA. There
are risks inherent in international investments, which may make
such investments unsuitable for certain clients. These include, for
example, economic, political, currency exchange, rate fluctuations,
and limited availability of information on international
securities. DWA, and their affiliates make no representation that
the companies which issue securities which are the subject of their
research reports are subject to, or in compliance with certain
informational
reporting requirements imposed by the Securities Exchange Act of
1934. Sales of securities covered in this report may be made in
only those jurisdictions where such securities are qualified for
sale.
PowerShares® is a registered trademark of Invesco PowerShares
Capital Management LLC, investment adviser. Invesco PowerShares
Capital Management LLC (Invesco PowerShares) and Invesco
Distributors, Inc., ETF distributor, 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