DOWNERS GROVE, Ill.,
March 10, 2017 /PRNewswire/ --
Invesco (NYSE: IVZ), a leading global provider of exchange-traded
funds (ETFs), today announced a change to its product lineup.
As part of the firm's commitment to aligning its fund offerings
to meet an evolving investment landscape, PowerShares announced it
will change the name, underlying index, investment objective and
strategy, for one ETF. The ETF will maintain its current index
provider, product ticker and management fee.
The Board of Trustees approved changes to the ETF indicated in
the table below. These changes will take effect at market close on
May 31, 2017.
Current Index
Name
|
Current Fund
Name
|
Old
Ticker
|
Management
Fee
|
BofA Merrill Lynch
Build America Bond Index
|
PowerShares Build
America Bond Portfolio
|
BAB
|
28bps
|
New Index
Name
|
New Fund
Name
|
New
Ticker
|
Management
Fee
|
BofA Merrill Lynch
U.S. Taxable Municipal Securities Plus Index
|
PowerShares Taxable
Municipal Bond Portfolio
|
BAB
|
No Change (Remains
28bps)
|
About Invesco
Invesco is an independent investment
management firm dedicated to delivering an investment experience
that helps people get more out of life. NYSE: IVZ;
www.invesco.com.
About PowerShares by Invesco
PowerShares by Invesco
is leading the Intelligent ETF Revolution® through its
family of more than 140 domestic and international PowerShares
exchange-traded funds (ETFs). PowerShares ETFs seek to outperform
traditional benchmark indexes while providing advisors and
investors access to an innovative array of focused investment
opportunities. PowerShares has US franchise assets exceeding
$110 billion as of December 30, 2016. For more information, please
visit us at powershares.com or follow us on Twitter
@PowerShares.
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. The
fund is subject to certain other risks. Please see the current
prospectus for more information regarding the risk associated with
an investment in the Fund.
Investment focused in a particular industry are subject to
greater risk, and are more greatly impacted by market volatility,
than more diversified investments.
Debt securities are affected by changing interest rates and
changes in their effective maturities and credit quality.
There is no guarantee that municipalities will continue to take
advantage of the BAB program in the future and there can be no
assurance that BABs will be actively traded. Furthermore, under the
American Recovery and Reinvestment Act of 2009, the ability of
municipalities to issue BABs expired on Dec.
31, 2010. As a result, the number of available BABs in the
market is limited. In addition, illiquidity of the BABs may
negatively affect the value of the BABs. Interest received on BABs
is subject to federal and state income tax.
Municipal securities are subject to the risk that legislative or
economic conditions could affect an issuer's ability to make
payments of principal and/ or interest.
The Fund's use of a representative sampling approach will result
in its holding a smaller number of bonds than are in the underlying
Index, and may be subject to greater volatility.
Note: Not all products available through all firms or in all
jurisdictions.
Shares 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 in creation unit aggregations only,
typically consisting of 10,000, 50,000, 75,000, 100,000 or 200,000
shares.
PowerShares® is a registered trademark of Invesco
PowerShares Capital Management LLC, investment adviser. Invesco
PowerShares Capital Management LLC (PowerShares) and Invesco
Distributors, Inc., ETF distributor, are indirect, wholly owned
subsidiaries of Invesco Ltd.
The BofA Merrill Lynch Build America Bond Index is designed to
track the performance of U.S. dollar-denominated Build America
Bonds publicly issued by U.S. states and territories, and their
political subdivisions, in the U.S. market.
The BofA Merrill Lynch US Taxable Municipal Securities Plus
Index tracks the performance of U.S. dollar denominated taxable
municipal debt publicly issued by U.S. states and territories, and
their political subdivisions, in the U.S. domestic market.
The information in the prospectus is not complete and may
be changed. The Funds may not sell their shares until the
registration statement filed with the Securities and Exchange
Commission is effective. The prospectus is not an offer to sell the
Funds' shares, nor are the Funds soliciting an offer to buy their
shares in any jurisdiction where the offer or sale is not
permitted.
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
powershares.com for the prospectus/summary prospectus.
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/invesco-announces-changes-to-powershares-taxable-municipal-bond-portfolio-bab-and-corresponding-index-300422102.html
SOURCE Invesco Ltd.