Bringing you live news and features since 2006 

European flags
European flags

Invesco PowerShares launches Europe’s first S&P high dividend low volatility ETF


Invesco PowerShares has launched the PowerShares S&P 500 High Dividend Low Volatility UCITS ETF on London Stock Exchange. Further listings across selected European countries are to follow.

The ETF, the first of its kind in Europe, seeks investment results that correspond to the price and yield of the S&P 500 Low Volatility High Dividend Net Total Return Index. The PowerShares S&P 500 High Dividend Low Volatility UCITS ETF seeks to provide a smoother path to US equity income by investing in the 50 least-volatile high dividend-yielding stocks in the S&P 500 Index while meeting diversification, volatility and tradability requirements (to achieve a balance between dividend yield and volatility).
The benchmark index screens the broad market S&P 500 Index constituents and ranks them in descending order of trailing 12 months dividend yields. The top 75 stocks are selected and the number of stock per GICS (Global Industry Classification Standard)** sector is capped at 10. The 50 lowest realised volatility stocks are selected and weighted by dividend yield (each constituent is capped at 3 per cent and each GICS sector is capped at 25 per cent).
The launch of this product is part of Invesco PowerShares’ ongoing strategy to offer new and innovative solutions to the smart beta market and to further strengthen its core US equity exposure proposition.
Bryon Lake, Head of Invesco PowerShares – EMEA, says: “The US plays an important role in investors’ portfolios as the largest single country economy in the world. By expanding our range of smart beta tools, we can help investors gain more refined exposure to US equities.”
“We’re particularly excited about the PowerShares S&P 500 High Dividend Low Volatility UCITS ETF as it combines two of the most proven and relevant factors. The current climate of low interest rates means investors are continuing to seek yield, and are especially wary of the potential of increased volatility. By combining the high dividend and low volatility screens, we’re seeking to present investors with the best of both worlds.”
The PowerShares S&P 500 High Dividend Low Volatility UCITS ETF is planned to be listed across the following exchanges:     
Irish Stock Exchange – 11 May (listing complete)
Euronext Paris – 18 May
Borsa Italiana – 21 May
Deutsche Börse – 21 May
SIX Swiss Exchange – (date TBC)
The launch of the PowerShares S&P 500 High Dividend Low Volatility UCITS ETF comes just six months after the unveiling of the PowerShares Global Buyback Achievers UCITS ETF, Europe’s first global buyback ETF. The product has currently USD120 million in assets under management.

Latest News

Saving and investing app, Moneybox, has doubled the number of ETFs available on the platform, in the light of ‘growing..
Global X ETFs has announced the appointment of Ryan O'Connor as its Chief Executive Officer effective as of April 8, 2024. ..
Value-driven structured credit investing firm, Angel Oak Capital Advisors, LLC, has announced the completed conversions of two of its mutual..
Confidence in the continuing strength of bitcoin and Ethereum is driving wider interest in altcoins and other digital assets, according..

Related Articles

Sal Esposito, Zacks Investment Management
Zacks Investment Management started doing investment research in 1978 and in 1992 started its investment management arm, initially with SMAs...
Jeremy Senderowicz, Vedder Price
Jeremy Senderowicz, a member of the Investment Services Group at law firm Vedder Price, has witnessed a steady upswing in...
Graham MacKenzie, Toronto Stock Exchange
The evolution of ETFs has been a multi-decade experience for Toronto Stock Exchange says Graham MacKenzie, managing director, Exchange Traded...
Frank Koudelka, State Street Global Services
ETF data provider and ETF Express data partner, Trackinsight, has published its Global ETF Survey 2024 Report: ‘50+ Charts on...
Subscribe to the ETF Express newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by