Invesco PowerShares Capital Management, LLC, begun trading of 2 new ETFs, the PowerShares Developed EuroPacific Currency Hedged Low Volatility Portfolio (NYSE Arca: FXEP) and the PowerShares Japan Currency Hedged Low Volatility Portfolio (NYSE Arca: FXJP) on Friday, October 09, 2015.
1.
FUND INFORMATION:
| Symbol: FXEP | Exchange: NYSE Arca |
| Name: PowerShares Developed EuroPacific Currency Hedged Low Volatility Portfolio | Net Expense Ratio: 0.25% |
FUND OBJECTIVE:
The PowerShares Developed EuroPacific Currency Hedged Low Volatility Portfolio seeks investment results that generally correspond (before fees and expenses) to the price and yield of the S&P EPAC Ex. Korea Low Volatility USD Hedged Index.
REFERENCE INDEX:
The S&P EPAC Ex. Korea Low Volatility USD Hedged Index is designed to measure the performance of the 200 least volatile stocks in the S&P EPAC Ex-Korea LargeMidCap Index, while also employing a currency-hedged strategy to mitigate exposure to fluctuations between the value of the U.S. dollar and the currencies of the countries in which the component securities of the Underlying Index are domiciled.
The S&P EPAC Ex-Korea LargeMidCap Index includes publicly listed large-cap or mid-cap equity stocks of any style (e.g., growth or value stocks) of companies located in developed market countries throughout Europe and the Asia Pacific region (but excluding South Korea). From the constituents of the S&P EPAC Ex-KoreaLargeMidCap Index, the Index Provider selects securities with the least volatility over the past 12 months for inclusion in the Underlying Index.
Volatility is a statistical measurement of the magnitude of up and down asset price fluctuations (increases or decreases in a stock’s price) over time. The Underlying Index is weighted such that the least volatile stocks receive the greatest weights.
The Fund’s investments will be denominated in foreign currencies,thereby potentially subjecting the Fund to fluctuations in exchange rates between such currencies and the U.S. dollar. To hedge against such exchange rate fluctuations,the Fund will invest in foreign currency forward contracts, which are contracts between two parties to buy or sell a specified amount of a specific currency in the future at an agreed upon exchange rate.
Top Holdings (10/13/2015):
| MAN SE | 1.27% |
| HK ELECTRIC INVESTMENTS -SS | 0.94% |
| SINGAPORE PRESS HOLDINGS LTD | 0.93% |
| STARHUB Ltd | 0.76% |
| CLP HOLDINGS LTD | 0.74% |
| MCDONALD’S HOLDINGS CO JAPAN | 0.70% |
| KEPPEL REIT | 0.68% |
| KAGOME Co Ltd | 0.66% |
| WILMAR INTERNATIONAL LTD | 0.66% |
| SUNTEC REIT | 0.64% |
Useful Links:
FXEP Home Page
Category: Equities> Regions> Developed Equity Markets> DM Markets Equity Strategy
2.
FUND INFORMATION:
| Symbol: FXJP | Exchange: NYSE Arca |
| Name: PowerShares Japan Currency Hedged Low Volatility Portfolio | Net Expense Ratio: 0.25% |
FUND OBJECTIVE:
The PowerShares Japan Currency Hedged Low Volatility Portfolio seeks investment results that generally correspond (before fees and expenses) to the price and yield of the S&P Japan 500 Low Volatility USD Hedged Index.
REFERENCE INDEX:
The S&P Japan 500 Low Volatility USD Hedged Index is designed to measure the performance of the 100 least volatile stocks in the S&P Japan 500 Index, while also employing a currency-hedged strategy to mitigate exposure to fluctuations between the value of the U.S. dollar and the Japanese yen.
The S&P Japan 500 Index includes the equity stocks of the 500 largest publicly listed companies in Japan. From the constituents of the S&P Japan 500 Index, the Index Provider selects securities with the least volatility over the past 12 months for inclusion in the Underlying Index. Volatility is a statistical measurement of themagnitude of up and down asset price fluctuations (increases ordecreases in a stock’s price) over time. The Underlying Index is weighted such that the least volatile stocks receive the greatest weights.The Fund’s investments will be denominated in yen, thereby potentially subjecting the Fund to fluctuations in exchange rates between that currency and the U.S. dollar.
To hedge against such exchange rate fluctuations, the Fund will invest in foreign currency forward contracts, which are contracts between two parties to buy or sell a specified amount of a specific currency in the future at an agreed upon exchange rate.
Top Holdings (10/13/15):
| MCDONALD’S HOLDINGS CO JAPAN | 1.73% |
| KAGOME Co Ltd | 1.61% |
| SHOCHIKU Co Ltd | 1.29% |
| TONENGENERAL SEKIYU KK | 1.23% |
| ORACLE Corp JAPAN | 1.16% |
| OSAKA GAS CO LTD | 1.16% |
| CANON INC | 1.13% |
| AOZORA BANK LTD | 1.11% |
| AUTOBACS SEVEN CO LTD | 1.11% |
| TAKEDA PHARMACEUTICAL CO LTD | 1.09% |
Useful Links:
FXJP Home Page
Category: Equities> Regions> Asia> Developed Asia Equities> Japan