Invesco PowerShares to Expand Factor-Driven Suite With High Dividend ETF


CHICAGO, IL--(Marketwire - Oct 15, 2012) - Invesco PowerShares Capital Management LLC, a leading global provider of exchange-traded funds (ETFs), announced today the anticipated listing of the PowerShares S&P 500® High Dividend Portfolio on October 18, 2012 on the NYSE Arca. The new ETF, based upon the S&P Low Volatility High Dividend index, is expected to trade under the ticker SPHD and will provide access to the 50 securities in the S&P 500 Index that historically have provided high dividend yields with lower volatility. 

High Dividend Strategies (Anticipated listing on October 18, 2012):

  • PowerShares S&P 500® High Dividend Portfolio (SPHD) 

"The PowerShares S&P 500 High Dividend Portfolio (SPHD) combines two key objectives that are important to many investors today: an emphasis on high dividend equities with the well-documented benefits of low-volatility securities," said Ben Fulton, Invesco PowerShares managing director of global ETFs. "The Fund's underlying Index is designed to perform well in absolute terms and on a risk-adjusted basis compared to the S&P 500 Index, and had an average dividend yield of 4.51% as of Sept 30, 2012.

"We are pleased to once again join with S&P Dow Jones Indices for the PowerShares S&P 500® High Dividend Portfolio (SPHD)," continued Fulton. "S&P Dow Jones Indices is well respected in financial circles and their Index methodology uses a simple, transparent model for constituent selection that we believe will resonate well with investors seeking higher yields and lower volatility. Invesco PowerShares currently has approximately $4.25 billion in AUM in ETFs based on S&P branded indices."

The PowerShares S&P 500® High Dividend Portfolio (SPHD) listing will expand the available range of PowerShares Factor-Driven ETFs to 13, making it the largest Factor Driven suite of ETFs available today. With over $3.7 billion in AUM, the PowerShares suite of Factor-Driven ETFs provide advisors and investors with a disciplined approach for optimizing portfolios to changing market conditions using factor tilts to low volatility, high beta, high quality, relative strength and soon high dividend strategies.

Low Volatility Strategies:

  •  PowerShares S&P 500® Low Volatility Portfolio (SPLV)
  •  PowerShares S&P Emerging Markets Low Volatility Portfolio (EELV)
  •  PowerShares S&P International Developed Low Volatility Portfolio (IDLV) 

High Beta Strategies:

  •  PowerShares S&P 500® Low Volatility Portfolio (SPHB)
  •  PowerShares S&P Emerging Markets High Beta Portfolio (EEHB)
  •  PowerShares S&P International Developed High Beta Portfolio (IDHB)

High Quality Strategies:

  •  PowerShares S&P 500® High Quality Portfolio (SPHQ)
  •  PowerShares S&P International Developed High Quality Portfolio (IDHQ)

The PowerShares S&P 500® High Dividend Portfolio (SPHD) is based on the S&P Low Volatility High Dividend index. The Fund will generally invest at least 90% of its total assets in securities that comprise the Underlying Index. The Index is compiled, maintained and calculated by S&P Dow Jones Indices and is designed to track the performance of 50 securities selected from the S&P 500® Index that have historically provided high dividend yields with lower volatility. The Index Provider screens the S&P 500® Index for the 75 securities with the highest dividend yields over the past 12 months and, from those securities, selects the 50 securities with the lowest realized volatility for inclusion in the Underlying Index. The Index Provider weights each of the securities in the Index by its dividend yield, with the highest dividend-yielding stocks receiving the highest weights. The Index is rebalanced semi-annually.

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 over $74 billion as of Sept 30, 2012, PowerShares ETFs trade on both U.S. 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 retail, institutional and high net worth 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.

Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC ("S&P"), a subsidiary of The McGraw-Hill Companies, Inc. Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC ("Dow Jones"). These trademarks have been licensed to S&P Dow Jones Indices LLC. It is not possible to invest directly in an index. S&P Dow Jones Indices LLC, Dow Jones, S&P and their respective affiliates (collectively "S&P Dow Jones Indices") do not sponsor, endorse, sell, or promote any investment fund or other investment vehicle that is offered by third parties and that seeks to provide an investment return based on the performance of any index. This document does not constitute an offer of services in jurisdictions where S&P Dow Jones Indices does not have the necessary licenses. S&P Dow Jones Indices receives compensation in connection with licensing its indices to third parties.

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.

Securities that pay high dividends as a group can fall out of favor with the market, causing such companies to underperform companies that do not pay high dividends.

Unforeseen market conditions may prevent the Fund from achieving its goal of providing low volatility.

Investments focused in a particular industry are subject to greater risk, and are more greatly impacted by market volatility, than more diversified investments. The Fund is considered non-diversified and may be subject to greater risks than a diversified fund.

The prices of equity securities change in response to many factors, including the historical and prospective earnings of the issuer, the value of its assets, general economic conditions, interest rates, investor perceptions and market liquidity.

Foreign securities have additional risks, including exchange-rate changes, decreased market liquidity, political instability and taxation by foreign governments.

Investment in securities in emerging market countries involves risks not associated with investments in securities in developed countries.

Investing in securities of medium capitalization companies involves greater risk than customarily associated with investing in larger, more established companies.

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 are available through all firms.

Not FDIC Insured | May Lose Value | No Bank Guarantee 

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.

Invesco Distributors, Inc. is the distributor of the PowerShares Exchange-Traded Fund Trust II.

PowerShares® is a registered trademark of Invesco PowerShares Capital Management LLC. Invesco PowerShares Capital Management LLC and Invesco Distributors, Inc. are indirect, wholly owned subsidiaries of Invesco Ltd.

An investor should consider the Funds' investment objectives, risks, charges and expenses carefully before investing. For this and more complete information about the Funds call 800 983 0903 or visit invescopowershares.com for a prospectus. Please read the prospectus carefully before investing.

Contact Information:

Media Contacts:

Kristin Sadlon
Cohn & Wolfe
212.798.9864


Bill Conboy
303-415-2290