Portfolio Portfolio Construction

Invesco PowerShares to Close 13 ETFs

December 19, 2012 at 09:35 AM
Share & Print

Invesco PowerShares will close 13 exchange-traded funds, the Chicago-based investment firm announced on Wednesday. The company notes that with more than $74 billion in AUM, the affected funds represent less than 1% of its total assets.

The move follows Russell Investment's decision to pull the plug on 25 ETFs last September.

"We regularly review our ETF portfolios, evaluating numerous factors such as investment results, length of time in the market and investor interest," Ben Fulton, Invesco PowerShares managing director of global ETFs, said in a statement.  "Based on this assessment, we believe the time is right to make these moves and refocus our resources to better meet investors' needs."

At a Dec. 18, 2012 meeting, the PowerShares Funds Board of Trustees approved the closings.  The final day of trading on The NASDAQ and NYSE Arca will be Feb. 26, 2013.

Shareholders may sell their holdings on or before Feb. 26, 2013, and may incur typical transaction fees from their broker-dealer. Shareholders who do not sell their holdings on or before Feb. 26, 2013, will receive cash equal to the amount of the net asset value of their shares, which will include any capital gains and dividends, in the cash portion of their brokerage accounts on the liquidation date (currently scheduled for March 7, 2013).  Shareholders will generally recognize a capital gain or loss equal to the amount received for their shares over their adjusted basis in such shares.

The affected ETFs are:

  • PowerShares Dynamic Insurance Portfolio (PIC)
  • PowerShares Morningstar StockInvestor Core Portfolio (PYH)
  • PowerShares Dynamic Banking Portfolio (PJB)
  • PowerShares Global Steel Portfolio (PSTL)
  • PowerShares Active Low Duration Portfolio (PLK)
  • PowerShares Global Wind Energy Portfolio (PWND)
  • PowerShares Active Mega-Cap Portfolio (PMA)
  • PowerShares Global Coal Portfolio (PKOL)
  • PowerShares Global Nuclear Energy Portfolio (PKN)
  • PowerShares Ibbotson Alternative Completion Portfolio (PTO)
  • PowerShares RiverFront Tactical Balanced Growth Portfolio (PAO)
  • PowerShares RiverFront Tactical Growth & Income Portfolio (PCA)
  • PowerShares Convertible Securities Portfolio (CVRT)
Investment Strategies
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Related Stories

Leech Shunted $600M to Favored Portfolios: SEC, DOJ Ramaswamy-Founded Strive Adds Direct Indexing Through Schwab, Fidelity How Advisors Can Use Alts to Boost Portfolios, Gain New Clients Dynasty Financial Launches TAMP How the World's Biggest Fortunes Have Grown Since Trump's Election Invesco to Pay $17.5M Over Misleading Statements

Resource Center

Can Systematic Risk Be Reduced? link

Guide

Can Systematic Risk Be Reduced?

The Business Model Playbook: Mastering Technology for Firm Success link

Playbook

The Business Model Playbook: Mastering Technology for Firm Success

Harnessing AI to Power Advisor-Client Relationships link

White Paper

Harnessing AI to Power Advisor-Client Relationships