PowerShares Capital Management LLC will launch four new international exchange-traded funds (ETFs) based on FTSE RAFI indexes.
PEF – PowerShares FTSE RAFI Europe Portfolio
PJO – PowerShares FTSE RAFI Japan Portfolio
PAF – PowerShares FTSE RAFI Asia Pacific ex-Japan Portfolio
PXF – PowerShares FTSE RAFI Developed Markets ex-U.S. Portfolio
“We are pleased to partner with Research Affiliates, LLC and FTSE to offer intelligent exposure to global markets utilizing the benefit-rich ETF structure and Research Affiliates Fundamental Index (RAFI) strategies,” says Bruce Bond, president of PowerShares Capital Management. “We believe that these portfolios offer material enhancements to the cap-weighted ETFs currently available in the space. We are proud to offer investors opportunities to participate in the four new international portfolios that seek to provide better exposure and the potential for outperformance of traditional cap-weighted indexes.”
The four PowerShares FTSE RAFI Portfolios are based on FTSE RAFI indexes. Those indexes are designed to track the performance of the largest equities in each country or region selected based on the following four fundamental measures of firm size: book value, income, sales and dividends.
The 1,000 equities in each country or region with the highest fundamental strength are weighted according to their fundamental scores.