PowerShares Canada has listed three new smart beta ETFs on the TSX.
PowerShares Low Volatility Portfolio ETF (PLV) employs a low-volatility strategy in both its fixed income and equity allocations. PLV is actively managed by Invesco Advisers, Inc., and seeks to generate capital growth and modest income over the long term by investing, directly or indirectly, primarily in global equity securities and fixed-income securities.
- 30% Canadian short-term bonds
- 20% Canadian equity securities
- 50% global equity securities
The portfolio will be rebalanced on a monthly basis.
PowerShares Global Shareholder Yield ETF (PSY) offers exposure to U.S. and international equities of companies with a strong track record of returning free cash flow to shareholders. It seeks to generate income and capital growth over the long term by investing, directly or indirectly, primarily in equities from developed markets globally. PSY will hold securities of four PowerShares ETFs in the following strategic target allocations:
- 25% PowerShares Dividend Achievers Portfolio
- 25% PowerShares International Dividend Achievers Portfolio
- 25% PowerShares BuyBack Achievers Portfolio
- 25% PowerShares International BuyBack Achievers Portfolio
It’s also available for purchase in U.S. dollars, listed on TSX as PSY.U.
PowerShares FTSE RAFI Global Small-Mid Fundamental ETF (PZW) seeks to generate capital growth over the long term by investing, directly or indirectly, primarily in equities of small- and medium-sized companies from developed markets globally. PZW will hold securities of the following PowerShares portfolios in the following strategic target allocations:
- 50% PowerShares FTSE RAFI US 1500 Small-Mid Portfolio
- 50% PowerShares FTSE RAFI Developed Markets ex-U.S. Small-Mid Portfolio
The underlying funds seek results that generally correspond (before fees and expenses) to the price and yield of the FTSE RAFI US 1500 Small-Mid Index and the FTSE RAFI Developed ex US Mid Small 1500 Index, respectively.
This strategy is also available for purchase in U.S. dollars, listed on TSX as PZW.U.
The ability to purchase USD units is offered as a convenience for investors and will not act as currency hedge between the Canadian dollar and the U.S. dollar.