SOURCE: PowerShares Capital Management

December 06, 2005 15:15 ET

PowerShares Launches Value Line Timeliness™ Select Portfolio and Three New Industry Group ETFs

CHICAGO, IL. -- (MARKET WIRE) -- December 6, 2005 -- PowerShares Capital Management LLC continues to "Lead the Intelligent ETF Revolution" with the launch of four new Exchange Traded Funds (ETFs) today, December 6, 2005, at the American Stock Exchange. This launch includes the PowerShares Value Line Timeliness™ Select Portfolio and three industry group portfolios. The new PowerShares ETFs and ticker symbols are listed below.

--  (AMEX: PIV) PowerShares Value Line Timeliness™ Select Portfolio
--  (AMEX: PHO) PowerShares Water Resources Portfolio
--  (AMEX: PHW) PowerShares Dynamic Hardware & Consumer Electronics
    Portfolio
--  (AMEX: PTE) PowerShares Dynamic Telecommunications & Wireless
    Portfolio
    

The PowerShares Value Line Timeliness™ Select Portfolio is based on the Value Line Timeliness™ Select Index, which chooses securities using Value Lines' proprietary ranking systems of Timeliness™, Safety™ and Technicals™. The index seeks to identify companies that have the potential to outperform the overall U.S. equity market. The Value Line Timeliness™ Select Index has outperformed the S&P 500 benchmark over the past 1, 3, 5 and 10 year periods. (See table below)

Index History (%) as of 9/30/05    1 Year    3 Year    5 Year    10 Year
-------------------------------    ------    ------    ------    -------
Value Line Timeliness™Select
 Index                              29.84     24.77      4.06      16.95
-------------------------------    ------    ------    ------    -------
S&P 500 Index +                     12.24     16.71     -1.49       9.49
-------------------------------    ------    ------    ------    -------
Russell 2000 Index +                14.57     18.13     -0.72       9.54
-------------------------------    ------    ------    ------    -------

The Index performance results are hypothetical and index returns do not represent Fund returns. An investor cannot invest directly in an index. The Index does not charge management fees or brokerage expenses, and no such fees or expenses were deducted from the hypothetical performance shown nor does the index lend securities, and no revenues from securities lending were added to the performance shown. In addition, the results actual investors might have achieved would have differed from those shown because of differences in the timing, amounts of their investments, and fees and expenses associated with an investment in the Fund.

+The S&P 500 and Russell 2000 Indexes are unmanaged indexes used as a measurement of change in stock market conditions based on the average performance of approximately 500 and 2000 common stocks, respectively.

The PowerShares Water Resources Portfolio is based on the Palisades Water Index which seeks to identify companies that focus on the provision of potable water, the treatment of water, and the technology and services that are directly related to water consumption.

The PowerShares Dynamic Hardware & Consumer Electronics and PowerShares Dynamic Telecommunications & Wireless Portfolios are both based on Intellidex indexes which incorporate advanced quantitative methodologies to discriminate between securities and select the stocks within an industry group identified as having the greatest capital appreciation potential.

"Today, for the first time investors will have access to Value Lines proprietary ranking systems in a low cost ETF format," said Bruce Bond, President of PowerShares Capital Management. "Our Water Resource and Hardware & Consumer Electronics Portfolios are also industry firsts for the ETF market. We're pleased to offer these new PowerShares portfolios providing investors with unique options to meet their personal financial goals. The launch of these four new ETFs brings the total number of PowerShares ETF portfolios to 35."

PowerShares Capital Management, LLC

PowerShares Capital Management, LLC provides institutional caliber asset management and market exposure through the replication of enhanced indexes. PowerShares delivers this sophisticated asset management in one of the more benefit rich investment vehicles available today, the exchange traded fund. The firm is committed to theoretically sound portfolio construction and empirically verifiable investment management approaches. PowerShares' asset management philosophy and investment discipline are deeply rooted in the application of intuitive factor analysis and model implementation to enhance investment decisions.

Risks of Owning PowerShares

PowerShares funds are made up of publicly traded securities that can and will move higher and lower with market movements. You should anticipate that the value of the shares of each fund will advance or decline more or less in correlation with the advance or decline in value of the applicable index. The funds are not actively managed and shares of the funds may trade at or below the funds' NAV. Exchange traded funds are subject to risks similar to those of stocks, including risks associated with short-selling and margin account maintenance.

An investor should consider investment objectives, risks, charges and expenses carefully before investing. A prospectus which contains more complete information about PowerShares, including, risks, fees and expenses can be obtained by visiting the PowerShares web site at www.PowerShares.com or by calling 800-THE-AMEX. The prospectus should be read carefully before investing.

The information in the prospectus is not complete and may be changed. The portfolio may not sell its Shares until the registration statement filed with the Securities and Exchange Commission is effective. The prospectus is not an offer to sell the portfolio Shares, nor is the portfolio soliciting an offer to buy its Shares in any jurisdiction where the offer or sale is not permitted.

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

Contact Information

  • For Media Inquiries Contact:
    CTA Public Relations
    Bill Conboy
    303-665-4200 x 106
    Email Contact