DOWNERS GROVE, Ill., July
14, 2016 /PRNewswire/ -- Invesco PowerShares Capital
Management, LLC, a leading global provider of exchange-traded funds
(ETFs), announced today the launch of the PowerShares DWA Momentum
& Low Volatility Rotation Portfolio (DWLV), the first ETF to
use DWA's powerful Dynamic Asset Level Investing (DALI) tool. DALI
uses relative strength analysis to rank macro asset classes based
on developing leadership trends within global capital markets.
"As one of the earliest pioneers of low volatility ETFs, we have
seen the power of factor-based strategies in full force this year
for investors around the world," said Dan
Draper, Head of Invesco PowerShares. "In this new product,
we're combining low volatility and momentum in a blended strategy
that further demonstrates our belief that the future of portfolio
construction will be driven by factor strategies."
DWLV is a one-ticket solution designed to provide exposure to
the low volatility and momentum factors plus developing leadership
trends within global capital markets.
Using DALI's relative strength analysis1, DWLV's
underlying index ranks US equities, international equities and cash
from strongest to weakest. Based on the relative strength results,
the Index allocates among eight PowerShares US and international
equity ETFs and cash (via 1- to 6-month US Treasury Bills).
"We are excited to launch this latest multi-factor strategy as
part of our longstanding partnership with PowerShares," said
Tammy DeRosier, President of Dorsey,
Wright & Associates, a Nasdaq Company. "This index is a
complimentary strategy to other DWA indices that underlie
PowerShares ETFs, such as PowerShares DWA Tactical Sector Rotation
Portfolio (DWTR) and PowerShares DWA Tactical Multi-Asset Income
Portfolio (DWIN)."
Through its design, DWLV's underlying index offers pure exposure
to the low volatility factor, without sector constraints, blended
with an ability to identify meaningful momentum trends for
potential diversification benefits. DWLV also offers global
tactical exposure by tracking the Dorsey Wright Multi-Factor Global
Equity Index, which systematically evaluates on a monthly basis the
relative strength of six global asset classes in determining an
allocation between US and international equity ETFs and cash.
To learn more about the Invesco PowerShares factor-based ETFs,
please visit our Factor Investing page here:
http://powershares.com/factor
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 US franchise assets of
approximately $94 billion as of
March 31, 2016, 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.
About Dorsey, Wright & Associates, LLC
(DWA)
Dorsey, Wright & Associates, a Nasdaq Company, is
a registered investment advisory firm based in Richmond, Virginia. Since 1987, Dorsey Wright has been an advisor to financial
professionals on Wall Street and investment managers worldwide.
Dorsey Wright offers comprehensive
investment research and analysis through their Global Technical
Research Platform and provides research, modeling and indexes which
apply Dorsey Wright's expertise in
Relative Strength to various financial products including exchange
trade funds, mutual funds, UITs, structured products, and
separately managed accounts. Dorsey
Wright's expertise is technical analysis. The Company uses
Point & Figure Charting, Relative Strength analysis, and
numerous other tools to analyze market data and deliver actionable
insights. In 2015, Dorsey
Wright was acquired by Nasdaq, Inc. allowing Dorsey Wright to work towards even greater
innovative solutions for its clients. To take a free trial of the
platform, visit here.
An investment cannot be made directly into an index.
As constraints could result in the inclusion of stocks that may
not be the lowest volatility stocks within their universe, we refer
to the PowerShares low volatility ETFs' unconstrained methodology
as the "pure" approach to low volatility.
Smart Beta represents an alternative and selection index based
methodology that seeks to outperform a benchmark or reduce
portfolio risk, or both in active or passive vehicles. Smart beta
funds may underperform cap-weighted benchmarks and increase
portfolio risk. Beta is a measure of risk representing how a
security is expected to respond to general market movements.
DWLV:
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's return may not match the return of the Underlying Index. 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.
The Fund is subject to the risks of the underlying funds. Market
fluctuations may change the target weightings in the underlying
funds and certain factors may cause the Fund to withdraw its
investments therein at a disadvantageous time.
Momentum style of investing is subject to the risk that the
securities may be more volatile than the market as a whole or
returns on securities that have previously exhibited price momentum
are less than returns on other styles of investing.
There is no assurance that the Fund will provide low
volatility.
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.
The risks of investing in securities of foreign issuers,
including emerging market issuers, can include fluctuations in
foreign currencies, political and economic instability, and foreign
taxation issues.
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.
The Fund will indirectly pay a proportional share of the
expenses of the underlying ETFs in which it invests (including
operating expenses and management fees), in addition to the fees
and expenses it already will pay to the Adviser.
The fund may engage in frequent trading of its portfolio
securities in connection with the rebalancing or adjustment of the
Underlying Index.
1 The relative strength strategy is NOT a guarantee. There
may be times where all investments and strategies are unfavorable
and depreciate in value. Investors should not act on any
recommendation (express or implied) or information in this material
without obtaining specific advice from their financial advisor and
should not rely on the information herein as the primary basis for
investment decisions.
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. A determination that any portion of an investor's
portfolio should be devoted to any ETF product developed by
PowerShares or investment model developed by Dorsey Wright is a determination made solely by
the investment advisor serving the investor or the investor
himself, not Dorsey Wright.
Note: Not all products available through all firms or in all
jurisdictions.
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.
Shares of the PowerShares Funds are not individually redeemable
and owners of the Shares may acquire those Shares from the Funds
and tender those shares for redemption to the Funds only in
Creation Unit aggregations of 50,000 shares.
Shares are not FDIC insured, may lose value and have no bank
guarantee.
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 Funds call 800 983 0903 or visit
invescopowershares.com for prospectus/summary
prospectus.
PowerShares has arranged with Dorsey, Wright & Associates,
LLC (DWA), a Nasdaq Company, to license the DWA Multi-Factor Global
Equity Index. Information provided on the Index 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. Potential for profits is accompanied by possibility of
loss. 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").
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SOURCE Invesco PowerShares Capital Management, LLC