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Re Stock Buyback ETF
Sounds like too much of a gimic to me. Everyone and their uncle can step in front of this fund. By the time they buy a new stock the market has already reacted to the news that they have a buyback.
If they hold the stock you will get the dividends.
Toofuzzy
I've been reading some about the new Powershares ETF...PKW.
Buyback ETF, wondering if anyone has thoughts on this. Sounds interesting. 167 stocks that have purchased back at least 5% of their own stock over the last 12 months. Would I receive the dividends off those stocks too?
Thank in advance for any help.
Joe
Hi QnP, Re: EWA................
Interesting to note that EWA and EPP diverge here in this latest event. They'd been lockstep for a long time.
http://stockcharts.com/charts/performance/perf.html?EWA,epp
Best regards, Tom
Should have sold the stock on the 15th. The ETF is the ripple effect of what happened to the mess in Thailand. EWA will be back the first of next year as Thailand recovers.
http://stockcharts.com/h-sc/ui?s=ewA&p=D&yr=0&mn=4&dy=0&id=p42098688828
Hope this can help.
Best regards,
Quillnpen
The Non-U.S. ETF AIM site is up-to-date and now shows a complete two years of history.
http://www.aim-users.com/exusetf.htm
Best regards, Tom
Hi Clive, The non-U.S. Exchange Traded Funds continued to do very well and act as a very good hedge against the weakening U.S. Dollar.
While the examples I maintain showed potential sales in three of the components, two had adequate AIM cash reserves. So we show a sale in only one - EWW, Mexico. Here's what the overall composite of the theoretical account looks like as of the end of its second anniversary:
That opportunistic buying done mid-year looks quite astute now. The average return excluding dividends and interest is nicely into double digits on a yearly basis. 27% two year gain is quite nice considering that the account's averaged only about 60+% market exposure for the period.
Best regards, Tom
Yes Tom, the UK's had a couple of good years now. Personally I've seen around 28% gain in 05 and around 14% so far this year.
Interest rates look a cert to rise this Thursday to 5% from 4.75, but overall the markets not too hot, I estimate only around 6% to 7% above fair price levels.
There is some talk about dequity however. Pension funds moving out of the bond/equity typical balance into a wider spread of asset classes, so 2007 could turn out to be a good year to be holding a large cash holding.
On further reading through SGAM I wasn't too impressed. Looks like they hold back 50% of the fund value at the start of each month and use derrivatives to leverage up to an overall 200%, which means something like 400% scaling. Whilst they effectively guarantee that 50% of the fund will remain intact in any one month, it wouldn't take too much to knock the fund into an unrecoverable condition.
Regards. Clive.
Hi Clive, Thanks for the link on SGAM.
Here's the current update on the Non-U.S. ETF portfolio I monitor as a hypothetical account. I do actually have these in the account under AIM's management, but these are just similations for display:
http://www.aim-users.com/exusetf.htm
The account has done well in a year of many distractions. Each AIM component is essentially "flush with cash" at this point, so it's ready for any foreseeable damage that might come about.
Best regards, Tom
Want a bit more volatility for your AIM account, check out the
SGAM CAC40 up to 200% exposure ETF
http://www.euronext.com/trader/chartsanalysis/0,5372,1732_6847,00.html?selectedMep=1&idInstrumen...
A whopping 50% gain nearly over the last 12 months.
And check out the chart for apparent AIM trades.
Regards. Clive.
should be an interesting one to WATCH ~~
Press Release Source: PowerShares Capital Management
PowerShares Capital Management Set to Launch Industry's First Listed Private Equity ETF
Tuesday October 17, 5:00 pm ET
CHICAGO, IL--(MARKET WIRE)--Oct 17, 2006 -- PowerShares Capital Management LLC continues to "Lead the Intelligent ETF Revolution" and today announced that it is preparing to launch the industry's first Listed Private Equity(SM) (LPE(SM)) exchange-traded fund (ETF).
The PowerShares Listed Private Equity Portfolio is based on the Red Rocks Listed Private Equity Index(SM) (LPE Index(SM)). The LPE Index is comprised of publicly listed US securities whose principal business is to invest in and lend capital to privately held companies. The LPE Index was created and is managed by Red Rocks Capital Partners of Denver, Colorado.
Companies that qualify for the Listed Private Equity Index(SM) have a majority of assets invested in privately held companies or have the stated intention to have a majority of assets invested in private companies. The firms must have a minimum market capitalization of $50 million and a closing price above $1.00 per share. The Listed Private Equity Index is diversified from three perspectives: stage of investment, capitalization structure and industry focus. Consideration is given to valuation metrics, financial data, historical performance and the need for diversification within the portfolio. The Listed Private Equity Index uses a modified equal dollar weighting and is rebalanced quarterly.
"Providing investors with direct, diversified and liquid access to the world of private equity is consistent with PowerShares' goals as an asset manager. I believe this product will be a very useful asset management tool for institutional investors and investment professionals alike," said Bruce Bond, President of PowerShares Capital Management. "The LPE Index is both unique and innovative, and it is a great fit for our growing portfolio of exchange-traded funds."
"Private equity investing is an Asset Class that has historically been the domain of institutional investors, endowment funds and ultra wealthy investors," said Mark Sunderhuse, co-founder of Red Rocks Capital Partners. "With the Listed Private Equity Index we have created a means to track the performance of private equity firms, which historically have a lower correlation coefficient and above average yield compared to the S&P 500.*"
PowerShares Capital Management LLC is passionate about its goal of efficiently delivering the highest quality institutional investment management available. PowerShares is "Leading the Intelligent ETF Revolution," providing investment advisors with institutional caliber asset management that seeks to replicate enhanced indexes in one of the more benefit rich investment vehicles available in the marketplace 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.
Red Rocks Capital Partners (RRCP) is a Denver, Colorado-based investment management firm. RRCP focuses on, develops and manages unique and proprietary investment products that complement core institutional portfolios. These products include domestic and international Listed Private Equity in both active & passive approaches. RRCP principals have over 40 years of combined investment experience in both public and private equity having managed in excess of $4 billion.
* The Listed Private Equity Index has had a correlation coefficient of 0.703 to the S&P 500 Index over the past 10 years. The S&P 500 Index is an unmanaged index used as a measurement of change in stock market conditions based on the average performance of approximately 500 common stocks. The dividend yield of the Listed Private Equity Index was 5.15% for the trailing 12 months ending September 30, 2006; this yield included regular and special dividends. Due to the nature of underlying index companies the dividend yield may vary widely. By comparison the average yield of the S&P 500 index over the same period was 1.86%. Past performance is no guarantee of future results. The LPE Index return does not represent fund return. You cannot invest directly in the LPE index.
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.
A I M Distributors, Inc. is the distributor of the PowerShares Exchange-Traded Fund Trust.
An investor should consider the Fund's investment objectives, risks, charges and expenses carefully before investing. For this and more complete information about the Fund, call 800.983.0903 or visit the website www.powershares.com for a prospectus. Please read the prospectus carefully before investing.
The information in this 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.
Contact:
Contact:
CTA Public Relations
Bill Conboy
303-665-4200 x 106
Email Contact
--------------------------------------------------------------------------------
Source: PowerShares Capital Management
Thanks, That does add a bit of caution to the whole process.
Best regards, Tom
Tom ~~ this adds even MORE perspective (note: Su is IN Can.)
http://www.investorshub.com/boards/read_msg.asp?message_id=13877086
Hi EZ², Re: Oil Sands potential............
I think the rose might have wilted a bit for now, but long term there's merit to tracking this portion of the energy spectrum. I would expect it to be rather sensitive to energy prices since it's fringe production and potential. Sort of like a "peak shaving" electric plant, it will only be brought on line when demand justifies the higher price of extraction.
I'd wait at least a couple of week after the initial public offering of the ETF. Maybe even a month. The market will be more efficient in valuing the ETF than will the investment bankers who bring it public.
In this case the rose bush is healthy and the recent pruning of energy prices should bring about newer healthy buds in the future.
Best regards, Tom
Is this a "day late and a barrel short" ?
ETFZone.com
Oil Sands ETF to Launch Soon
Friday October 6, 3:31 am ET
By Jonathan Bernstein, ETFzone Trading Specialist
Betting on oil service ETFs has paid off well for investors. The energy sector has more than doubled in value over the last three years, and the recent slump in the price of crude has barely dented profits. For investors looking for a new energy play one of the most intriguing is an ETF that provides exposure to the world's second largest proven reserves: Canada's oil sands production.
Alberta Canada has about 175 billion barrels of proven reserves. This is more oil than Iran or Iraq, and second only to Saudi Arabia's 260 billion barrel reserve. But whereas Saudi Arabia pumps 12 million barrels of oil a day, Alberta currently produces barely 1 million. This lower production level reflects the relatively high cost of extracting oil from the sands.
Crude oil is traditionally extracted from wells drilled into the ground. To extract oil from the Canadian sands the process is different: rich areas are mined to extract the oil-like bitumen, which is then refined. This process is so time-consuming and expensive that for years it was thought to be unfeasible. But technological advance combined with the rising price of crude has made oil sands production not just viable, but potentially immensely profitable.
A new ETF, the Claymore Oil Sands Sector ETF (TSX:CLO - News) will follow the Sustainable Oil Sands Sector Index, which is designed to track the future production of the oil sands. According to Claymore Investments Inc. president Som Seif, who is enthusiastic about the oil sand business, the index is tailor made for the oil sands business, designed to provide investors with "as much exposure to companies with greatest amount of oil sands business and output."
According to Seif, three key factors are involved in assembling companies to include in the index:
1. Current oil sands production in bpd
2. Projected oil sands production in the year 2015
3. Percentage of total production focused on oil sands production
In an early Claymore prospectus the top ten holdings of the proposed CLO are:
Holding Percentage
Suncor Energy Inc 11.4%
Imperial Oil LTD 9.2%
Canadian Oil Sands Trust 9.2%
Shell Canada Ltd. 7.5%
Opti Canada 7.0%
Western Oil Sands 6.6%
Synenco Energy 6.1%
UTS Energy 6.0%
Petrobank Energy and Resources 5.7%
Canadian Natural Resources 5.2%
(This allocation may have changed since recorded 7-31-06)
In comparison to a conventional oil services fund, the companies in CLO are smaller, with higher P/Es. The table below compares expected CLO holding characteristics with the conventional oil services benchmark Energy Select Sector SPDR (AMEX:XLE - News).
Price/Earnings Price/Book Average Market Cap Yield
CLO 15.33 4.17 20.2 billion 0.89
XLE 10.38 2.43 87.3 billion 1.15%
Some investors worry about the environmental degradation and relatively high cost that comes with mining oil sands. But with world-wide demand for oil growing and continued expansion of economies in India and China the price of oil will likely support the higher cost of this new production. In addition, the security of the location of the oil sands resource: far away from the hurricanes and geopolitical uncertainty that mark many other areas of conventional oil production will make the development of these oil sands facilities especially attractive.
According to Som Seif, CLO is scheduled for launch in "a couple of weeks" and should begin trading mid-October. The oil sand mining of Alberta is an emerging topic. CLO is a novel ETF that deserves a serious look from energy investors.
Jonathan Bernstein, PhD has specialized in short-term trading of equities and equity options since 1998. He is the author of a recent book on ETFs: "Sector Trading: A Year in Exchange Traded Funds"
U da' Man !!!!!!!!!!!!!!!!!
Kudos !!
My ETF portfolio in my retirement account reached a new all time high since starting it in Sept., 2002.
(CASH is in red, ETFs are in blue)
The whole report can be seen at http://www.aim-users.com/etfunds.htm
Best regards, Tom
Hi EZ, Did you see this post over on the regular AIM BB?
http://www.investorshub.com/boards/read_msg.asp?message_id=13419724
It's an interesting concept and certainly is a more "honest" approach to building an index than Cap Weight and probably more "thoughtful" than Equal Weight indexes.
Best regards, Tom
Tom,fuzzy, kavi et al.
Any thoughts about these new RAFI etf's ?
PowerShares Website
The PowerShares FTSE RAFI US 1000 Portfolio and FTSE RAFI US 1500 Small-Mid Portfolio are based on indexes designed to track the performance of large-cap and small to medium-sized U.S. companies, respectively. Companies are selected based on the following four fundamental measures of size: sales, income, book value and dividends. Each of the equities with a fundamental weight ranking of 1 to 1,000 (US 1000) and 1,001 to 2,500 (US 1500) is then selected and assigned a weight equal to its fundamental weight.
Sales—A company's 5 year average sales.
Cash Flow—A company's 5 year average cash flow.
Book Value—A company's book value.
Dividends—A company's 5 year average total dividend distribution.
Unlike indexes developed prior to the existence of an exchange-traded fund, the FTSE RAFI US 1000 & 1500 indexes were designed to serve as a basis for ETF investments seeking broad market representation. Similar to the approach used by industry professionals, companies are weighted, not simply by market-capitalization, but rather by the size of their fundamentals.
Old School Investment Approach
Traditional benchmark indexes, including S&P and Russell, typically utilize market-cap weighting structures that embody this traditional investment approach. The cap-weighted structure forces an investor to overweight overvalued companies and underweight undervalued companies, creating a significant growth bias and investment approach which may be contrary to sound investment principles.
New School Investment Approach
Unlike traditional benchmark indexes, fundamentally weighted indexes, like the FTSE RAFI Sectors, utilize weighting structures that embody fundamental measures of size including sales, income, book value and dividends. Fundamentally weighted indexes were created for use in the sophisticated investment approaches used by many investment professionals today. These new advanced portfolio management strategies demand refined investment products like PowerShares that provide the full use of robust financial technology in seeking to deliver the best portfolio performance and efficiency possible.
Incorporating Market Speculation
Market-cap weighted indexes allow the market to dictate the weight a stock receives in an index. This is problematic because market speculation can cause significant mispricing of stocks, which, in turn, results in improper weights in the index. A good example of this phenomenon occurred during the 1999-2000 "bubble" when internet companies initiated market-caps resulting in index weights far in excess of mainline, established companies.
Ignoring Market Speculation
Fundamental indexes do not allow the market to dictate the weight a stock receives in an index. Fundamental indexes do not participate in market bubbles to the same extent as Cap weighted indexes because revenues and dividends are not typically affected by irrational exuberance.
PowerShares Capital Management LLC
301 West Roosevelt Road
Wheaton, IL 60187
POWERSHARES info
Press Release Source: PowerShares Capital Management
PowerShares Capital Management Completes Merger With AMVESCAP
Monday September 18, 5:31 pm ET
CHICAGO, IL--(MARKET WIRE)--Sep 18, 2006 -- PowerShares Capital Management LLC announced that effective Monday, September 18, 2006, it has completed its merger with AMVESCAP, one of the largest independent global investment managers.
"AMVESCAP's global distribution network, long-standing relationships with advisors, and brand equity will greatly accelerate the availability of PowerShares ETFs to investors," said Bruce Bond, President and CEO of PowerShares Capital Management. "On behalf of PowerShares management and staff, we are excited about joining the AMVESCAP team headed by Marty Flanagan, and look forward to the many synergies and growth opportunities that can be achieved by the merger."
Considered one of the fastest-growing companies in today's financial marketplace, PowerShares Capital Management provides investors with a unique lineup of investment solutions to use in intelligent portfolio construction. In conjunction with the acquisition, PowerShares has launched an updated version of its website to provide additional information and tools for investors. A special advisor section has been added for access to product literature on portfolio allocation and risk tolerance assessment, as well as tools for efficiently constructing client ETF portfolios.
PowerShares Capital Management LLC
PowerShares Capital Management LLC is passionate about its goal of efficiently delivering the highest quality institutional investment management available. PowerShares is "Leading the Intelligent ETF Revolution," providing investment advisors with institutional caliber asset management through the replication of enhanced indexes in one of the more benefit rich investment vehicles available in the marketplace today, the exchange-traded fund. PowerShares Capital Management LLC is an asset management company committed to theoretically sound portfolio construction and empirically verifiable investment management approaches. Their asset management philosophy and investment discipline are deeply rooted in the application of intuitive factor analysis and model implementation to enhance investment decisions.
AMVESCAP
AMVESCAP PLC is a leading independent global investment manager, dedicated to helping people worldwide build their financial security. Operating under the AIM, INVESCO, INVESCO PERPETUAL, and Atlantic Trust brands, AMVESCAP strives to deliver outstanding products and services through a comprehensive array of retail and institutional products for clients around the world. The Company, which had approximately $429 billion in assets under management as of August 31, 2006, is listed on the London, New York and Toronto stock exchanges with the symbol (London:AVZ.L - News) (NYSE:AVZ - News) (TSX:AVZ.TO - News). Additional information is available at www.amvescap.com.
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.
A I M Distributors, Inc. is the distributor of the PowerShares Exchange-Traded Fund Trust.
An investor should consider the Fund's investment objectives, risks, charges and expenses carefully before investing. For this and more complete information about the Fund, call 800.983.0903 or visit the website www.powershares.com for a prospectus. Please read the prospectus carefully before investing.
Contact:
Media Contact:
CTA Public Relations
Bill Conboy
303-665-4200 x 106
Email Contact
--------------------------------------------------------------------------------
Source: PowerShares Capital Management
yes they are Tom ~~~ I wish we knew (for sure) what the impending 1/3/5 year window looked like......I read a lot
of economic/political/market data stuff......needless to say
there's NOT a lot of good news going forward ~~~~ but......
you ought to see a LOT of buying opportunitiEZ !!!! 8-)
article for some perspective only:
http://www.321gold.com/editorials/chan/chan091506.html
Hi Ez, Powershares is coming on with some interesting new products.
TV
PowerShares FTSE RAFI Sector portfolios info:
http://view.exacttarget.com/?ffcb10-fe8c1370766d027577-fdee16777d630c7e751d7171-ff2b1776766c
kavi ~~ IFN dividend !
Press Release Source: The India Fund, Inc.
The India Fund, Inc. Dividend Announcement
Friday September 8, 5:30 pm ET
NEW YORK--(BUSINESS WIRE)--Sept. 8, 2006--The India Fund, Inc. (NYSE: IFN; the "Fund") announced today a dividend of $0.59 per share payable on October 18, 2006 in cash or stock pursuant to the Fund's dividend reinvestment and cash purchase plan to the shareholders of record on October 4, 2006. The ex date of the dividend is October 2, 2006. The dividend represents the undistributed amount of the Fund's net investment income for the 2005 calendar year.
The Fund is a closed-end management investment company that seeks long-term capital appreciation by investing primarily in Indian equity securities. The Fund is traded on the New York Stock Exchange under the trading symbol "IFN."
Blackstone Asia Advisors L.L.C. serves as the Investment Manager to the Fund. The Investment Manager is an affiliate of The Blackstone Group.
Information on the Fund can be obtained on the Blackstone website (www.blackstone.com) or by calling the Fund's toll-free phone number at 1-866-800-8933.
This press release may contain statements regarding plans and expectations for the future that constitute forward-looking statements within the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact are forward-looking and can be identified by the use of words such as "may," "will," "expect," "anticipate," "estimate," "believe," "continue" or other similar words. Such forward-looking statements are based on the Fund's current plans and expectations, and are subject to risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. Additional information concerning such risks and uncertainties are contained in the Fund's filings with the Securities and Exchange Commission.
Contact:
Blackstone Asia Advisors L.L.C.
1-866-800-8933
--------------------------------------------------------------------------------
Source: The India Fund, Inc.
kavi ~~ IFN dividend !
Press Release Source: The India Fund, Inc.
The India Fund, Inc. Dividend Announcement
Friday September 8, 5:30 pm ET
NEW YORK--(BUSINESS WIRE)--Sept. 8, 2006--The India Fund, Inc. (NYSE: IFN; the "Fund") announced today a dividend of $0.59 per share payable on October 18, 2006 in cash or stock pursuant to the Fund's dividend reinvestment and cash purchase plan to the shareholders of record on October 4, 2006. The ex date of the dividend is October 2, 2006. The dividend represents the undistributed amount of the Fund's net investment income for the 2005 calendar year.
The Fund is a closed-end management investment company that seeks long-term capital appreciation by investing primarily in Indian equity securities. The Fund is traded on the New York Stock Exchange under the trading symbol "IFN."
Blackstone Asia Advisors L.L.C. serves as the Investment Manager to the Fund. The Investment Manager is an affiliate of The Blackstone Group.
Information on the Fund can be obtained on the Blackstone website (www.blackstone.com) or by calling the Fund's toll-free phone number at 1-866-800-8933.
This press release may contain statements regarding plans and expectations for the future that constitute forward-looking statements within the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact are forward-looking and can be identified by the use of words such as "may," "will," "expect," "anticipate," "estimate," "believe," "continue" or other similar words. Such forward-looking statements are based on the Fund's current plans and expectations, and are subject to risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. Additional information concerning such risks and uncertainties are contained in the Fund's filings with the Securities and Exchange Commission.
Contact:
Blackstone Asia Advisors L.L.C.
1-866-800-8933
--------------------------------------------------------------------------------
Source: The India Fund, Inc.
On Monday, September 11, 2006, The NASDAQ Stock Market® will observe a moment of silence from 10:29 to 10:30 a.m., ET, in remembrance of those who lost their lives on September 11, 2001.
We invite market participants to join NASDAQ® in this silent remembrance. Since trading will not be halted during this time, NASDAQ requests that market participants use their best judgment and sensitivity in regards to trading during the moment of silence.
Hi EZ², I've never seen a message like that one before! I was expecting it to end with a come-on like:
Please immediately email us with your account number and password so we may verify and reverse any trades that happened in your own account during that time frame."
Best regards, Tom
OT: Tom,fuzzy,kavi, et al.
anyone here ever seen a msg. like this before ?
if so, what is the background ie. cause ?
================================================================
Posted by: ezxccsc
In reply to: EZ2 who wrote msg# 1135 Date:8/31/2006 9:12:17 PM
Post #of 1154
anyone see this
NASDAQ Head Trader Alerts
August 31, 2006
Head Trader Alert #2006-123 - NASDAQ Will Break Trades in Northgate Minerals Corp. (NXG) Affected by Erroneous Trades
Please Route To: Head Traders; Technical Contacts; Compliance Officers
What you need to know:
NASDAQ® received notice this afternoon that a firm placed erroneous trades through NASDAQ systems in the security Northgate Minerals Corp. (NXG).
Pursuant to UPC Rule 11890, NASDAQ, on its own motion, has decided to break any and all trades in NXG, executed in NASDAQ and its facilities (i.e., NASDAQ Market Center®, Brut and INET), from 5:10:00 p.m. through 5:45:00 p.m., Eastern Time (ET), at a price below $3.64 or above $4.45.
UTP participants have agreed to use the same terms for breaking trades that affected their markets.
This decision is not appealable.
Who you should contact:
Please refer questions to NASDAQ MarketWatch at 800.211.4953.
I'll have to take a look at those indexes and see what they look like. Thanks for bringing them up here on the forum. I don't usually follow a lot of "preferred" stocks. I used to look through the S&P "bond book" when the library still got it. It has preferred stocks, convertible bonds and other such things. I picked up some dandy convertible subordinated debentures from that source over the years. Still own a couple of them as the maturities are sometime after 2010.
Best regards, Tom
PowerShares info:
Press Release Source: PowerShares Capital Management
PowerShares Capital Management Awarded Exclusive ETF Licenses for Two Preferred Equity Indexes From Wachovia Securities
Wednesday August 30, 5:43 pm ET
CHICAGO, IL--(MARKET WIRE)--Aug 30, 2006 -- PowerShares Capital Management continues to "Lead the Intelligent ETF Revolution" and today announced that it has retained exclusive rights from Wachovia Securities as the sole licensee for two preferred equity indexes for Exchange Traded Funds (ETFs). The WHPS(SM) Financial Index tracks the performance of preferred equity issued by financial institutions. The WHPS(SM) REIT Index tracks the performance of preferred equity issued by Real Estate Investment Trusts (REITs). PowerShares has filed a registration statement with the SEC and anticipates listing ETFs based on the indexes later this year.
Preferred stocks are a class of equity security that has payment priority over common stock with respect to payment of dividends and the event of an issuer's liquidation. Both WHPS(SM) indices are market capitalization weighted and rule-based. The securities eligibility criteria in each WHPS(SM) index are determined by the proprietary selection methodology of Wachovia Securities.
The WHPS(SM) Financial Index is comprised exclusively of preferred stocks issued by financial institutions. The WHPS(SM) Financial Index is adjusted monthly and selects preferred stocks that are publicly issued in the U.S. domestic market, have a par amount of at least $25, maintain a minimum of ten million shares outstanding and have fixed dividends for the life of the security.
The WHPS(SM) REIT Index is comprised exclusively of preferred securities issued by listed REITs. The WHPS(SM) REIT Index is adjusted monthly and selects preferred stocks which are U.S. dollar-denominated and registered in the U.S. domestic market, have a par amount of at least $25, maintain a minimum outstanding size of $50 million and maintain fixed coupons for the life of the security.
"We are very pleased to be working with Wachovia Securities, a long established leader in the preferred equity market. Exchange-traded funds based on preferred equity will be an exciting new development that we believe will appeal to many investors," said Bruce Bond, President of PowerShares Capital Management. "The WHPS(SM) preferred indexes are a great fit for PowerShares' growing family of 'Intelligent ETFs,' and we believe they will offer both retail and institutional investors a convenient diversified means to access this market."
PowerShares Capital Management LLC is passionate about its goal of efficiently delivering the highest quality institutional investment management available. PowerShares is "Leading the Intelligent ETF Revolution," providing investment advisors with institutional caliber asset management through the replication of enhanced indexes in one of the more benefit rich investment vehicles available in the marketplace today, the exchange-traded fund. PowerShares Capital Management LLC is an asset management company committed to theoretically sound portfolio construction and empirically verifiable investment management approaches. Their asset management philosophy and investment discipline are deeply rooted in the application of intuitive factor analysis and model implementation to enhance investment decisions.
Wachovia Corporation (NYSE:WB - News) is one of the nation's largest diversified financial services companies, providing 13.4 million household and business relationships with a broad range of banking, asset management, wealth management and corporate and investment banking products and services. Wachovia has retail and commercial banking operations in 16 states with 3,109 offices from Connecticut to Florida and west to Texas and California. Two core businesses operate under the Wachovia Securities brand name: retail brokerage in 49 states and in Latin America, and corporate and investment banking in selected industries nationwide. Globally, Wachovia serves clients through more than 40 international offices. Online banking is available at wachovia.com; online brokerage products and services at wachoviasec.com, and investment products and services at evergreeninvestments.com. Wachovia had assets of $553.6 billion, market capitalization of $86.0 billion and stockholders' equity of $48.9 billion at June 30, 2006.
WHPS(SM) is a trademark of Wachovia Capital Markets, LLC, or its parent Corporation, Wachovia Corporation, and has been licensed for use by PowerShares Capital Management LLC. The product is not sponsored, endorsed, sold or promoted by Wachovia Capital Markets, LLC, and Wachovia Capital Markets, LLC, makes no representation regarding the advisability of investing in this product.
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.
ALPS Distributors, Inc. is the distributor of the PowerShares Exchange Traded Fund Trust.
An investor should consider the Fund's investment objectives, risks, charges and expenses carefully before investing. For this and more complete information about the Fund, call 800.THE.AMEX or visit the website www.powershares.com for a prospectus. Please read the prospectus carefully before investing.
The information in this 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.
Contact:
Contact:
CTA Public Relations
Bill Conboy
303-665-4200 x 106
Email Contact
--------------------------------------------------------------------------------
Source: PowerShares Capital Management
EWW tripped a nice turn-around sale last week:
Best regards, Tom
Press Release Source: The India Fund, Inc.
The India Fund, Inc. Announces Commencement Date of Semi-Annual Repurchase Offer
Friday August 25, 8:00 am ET
NEW YORK--(BUSINESS WIRE)--Aug. 25, 2006--The India Fund, Inc. (NYSE: IFN; the "Fund") announced today that the Fund's semi-annual repurchase offer will commence today and terminate on September 15, 2006. In April 2003, stockholders of the Fund voted to adopt an interval fund structure, pursuant to which the Fund conducts semi-annual repurchase offers for between 5% and 25% of the Fund's outstanding common stock. Accordingly, the Fund's Board of Directors (the "Board") authorized the Fund's repurchase offer for the semi-annual period of up to 5% of its outstanding common stock, the details of which are as follows:
Purpose of the Repurchase Offer - The repurchase offer is intended to provide Fund stockholders who wish to have their shares repurchased based on net asset value ("NAV") with the opportunity to have at least a portion of such shares repurchased.
What to Expect - The repurchase offer will begin on August 25, 2006, and end on September 15, 2006. Materials will be sent to stockholders of record as of August 18, 2006 in conjunction with the start of the offering on August 25, 2006.
Price - The repurchase price of the shares will be their NAV per share at the close of regular trading on the New York Stock Exchange ("NYSE") on September 22, 2006. The shares tendered in the repurchase offer will be subject to a repurchase fee of 2% of NAV for expenses directly related to the repurchase offer.
Number of Shares - If more than 5% of the Fund's outstanding common stock is tendered, the Fund will either (1) repurchase all of the additional shares tendered, if the additional shares do not exceed 2% of the Fund's outstanding common stock, or (2) purchase 5% of the Fund's outstanding common stock on a pro rata basis.
Deadline - The deadline for participating in the repurchase offer is 5:00 p.m. New York City time on September 15, 2006. The NAV of the shares may fluctuate between the deadline and September 22, 2006, the pricing date of the repurchase offer. The payment date for the repurchase offer is on or before September 29, 2006.
During the repurchase offer, the NAV of the shares will be calculated as of the close of regular trading on the NYSE each Friday and each of the five business days (September 11, 2006, to September 15, 2006) preceding the repurchase request deadline on September 15, 2006.
The Fund's common stock has recently been trading at a premium to the Fund's NAV per share. It may not be in a stockholder's interest to tender shares in connection with this repurchase offer if the Fund's common stock continues to trade at a premium. The market price of the Fund's common stock can and does fluctuate. Accordingly, on September 22, 2006, the pricing date of the repurchase offer, the market price of the Fund's common stock may be above or below the Fund's NAV per share.
To obtain the weekly NAV or the NYSE closing price of the shares or for questions concerning the repurchase offer or for requests for the Fund's repurchase offer materials, stockholders should contact Georgeson Inc. ("Georgeson"), the Fund's Information Agent, toll free at 1-866-297-1264, or, for banks or brokers, at 1-212-440-9800.
Neither the Fund, its Investment Manager nor its Board is making any recommendation to any stockholder whether to tender shares in the repurchase offer. The Fund and the Board urge stockholders to read and evaluate the repurchase offer materials carefully before deciding whether to participate in the repurchase offer. This announcement is not an offer to purchase nor a solicitation of an offer to sell shares of the Fund. The repurchase offer is being made only through the Offer to Repurchase and the related Letter of Transmittal. Holders of Fund shares should read these documents when they are available because they contain important information. These and other filed documents will be available to investors for free both at the website of the Securities and Exchange Commission and from Georgeson. The repurchase offer is not being made to, nor will tenders be accepted from or on behalf of, holders of shares in any jurisdiction in which making or accepting the repurchase offer would violate that jurisdiction's laws.
The Fund is a closed-end management investment company that seeks long-term capital appreciation by investing primarily in Indian equity securities. The Fund conducts semi-annual repurchase offers and is traded on the NYSE under the trading symbol "IFN."
Blackstone Asia Advisors L.L.C. serves as the Investment Manager to the Fund. The Investment Manager is an affiliate of The Blackstone Group.
Information on the Fund can be obtained on the Blackstone website (www.blackstone.com) or by calling the Fund's toll-free phone number at 1-866-800-8933.
This press release may contain statements regarding plans and expectations for the future that constitute forward-looking statements within the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact are forward-looking and can be identified by the use of words such as "may," "will," "expect," "anticipate," "estimate," "believe," "continue" or other similar words. Such forward-looking statements are based on the Fund's current plans and expectations, and are subject to risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. Additional information concerning such risks and uncertainties are contained in the Fund's filings with the Securities and Exchange Commission.
Contact:
Blackstone Asia Advisors L.L.C.
1-866-800-8933
--------------------------------------------------------------------------------
Source: The India Fund, Inc.
question coming via P/M
Hi EZ
I was wondering when someone would respond to that post. Glad you liked it. Besides Wisdomtree there are a few other ETF providers that have "fundemental" or non market cap weighted funds, but none of them have the breath of Wisdomtree. Particularly Powershares has at least one.
Toofuzzy
very informative......THX. Toofuzzy !!
kavi ~~ RE: IFN offer
Press Release Source: The India Fund, Inc.
The India Fund, Inc. Announces Final Results of Rights Offering
Wednesday August 23, 8:00 am ET
NEW YORK--(BUSINESS WIRE)--Aug. 23, 2006--The India Fund, Inc. (NYSE: IFN; the "Fund") announced today the successful completion of its non-transferable rights offering (the "Offer"). The Offer, which commenced on July 3, 2006 and expired on August 4, 2006, entitled stockholders of record as of July 3, 2006 to subscribe for additional shares of the Fund's common stock. The Offer was over-subscribed. The aggregate total number of new shares issued was the maximum of 13,206,525, which included the 10,565,220, or maximum number of, shares issued pursuant to the primary offering as well as the additional 2,641,305, or maximum number of, shares issued pursuant to the over-subscription privilege. In accordance with the terms of the Offer, the subscription price of $34.00 represents 95% of the net asset value per share as of the close of business on the expiration date of the Offer. Net proceeds to the assets of the Fund from the Offer totaled approximately $448,377,615.
The shares of the Fund's common stock available after completion of the primary subscription have been allocated among those holders who oversubscribed based on the number of rights originally available to them, which varies by individual holder. Shares issued pursuant to the Offer have been distributed. Investors who hold through brokers, banks or other nominees received their shares in accordance with the procedures of those nominees.
The Fund is a closed-end management investment company that seeks long-term capital appreciation by investing primarily in Indian equity securities. The Fund is traded on the New York Stock Exchange under the trading symbol "IFN".
Blackstone Asia Advisors L.L.C. serves as the Investment Manager to the Fund. The Investment Manager is an affiliate of The Blackstone Group.
This press release may contain statements regarding plans and expectations for the future that constitute forward-looking statements within the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact are forward-looking and can be identified by the use of words such as "may," "will," "expect," "anticipate," "estimate," "believe," "continue" or other similar words. Such forward-looking statements are based on the Fund's current plans and expectations, and are subject to risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. Additional information concerning such risks and uncertainties are contained in the Fund's filings with the Securities and Exchange Commission.
Contact:
Blackstone Asia Advisors L.L.C.
1-866-800-8933
--------------------------------------------------------------------------------
Source: The India Fund, Inc.
Hi Don, Thanks for the link.
TV
Another new ETF site:
http://etfinvestmentoutlook.com/
ETF Investment Outlook features breadth charts and rankings for over 100 ETFs to help you find the next move up or turn down. Track our key indicators including McClellan Oscillator, McClellan Summation Index, McClellan Volume Oscillator, Net New Highs and more.
Tom, Fuzzy, et al.
Any thoughts/insights on: FXE ?
EURO CURRENCY TRUST (NYSE:FXE) Delayed quote data
Last Trade: 128.46
Trade Time: Aug 18
Change: 0.00 (0.00%)
Prev Close: 128.46
Open: N/A
Bid: N/A
Ask: N/A
NAV¹: N/A
Day's Range: N/A - N/A
52wk Range: 117.96 - 130.00
Volume: 0
Avg Vol (3m): 117,078
YTD Return (Mkt)²: N/A
Net Assets²: N/A
P/E (ttm)²: N/A
Yield (ttm)²: NaN%
New ETF Provider
Wisdomtree.com is a new provider of ETFs that are based on a fundemental index. Stocks are then USUALLY weighted by dividends.
That means you can have a VERY large company that pays no dividend and it will NOT be in the funds. Two companies with the same share count and the same dividend / share will have the same weighting even if one has double or triple the market cap.
Orriginally when I switched to ETFs I was choosing between diversifying by STYLE (large, small, growth, value, forien) or INDUSTRY. It was thought industry diversification would give more swings which AIM likes and that they wouldn't move all together. I don't know that it worked out exactly like that.
The funds I used were: (all from I-shares)
ibb,iyc, iye, icf,iyg, iyh, iyj, iym, iyw, efa
This proved to be a little too much diversification for the size of my account (trades relatively small)
I then thought about what I would use with style funds and have reccomended these to a few other people.
IVE large value
IWN small value
EFA forien
ICF REITS
SHY or CHY for bonds
Invest 20% in each and rebalance once / year at most
Using some closed end funds that have a payout even if they DON'T have earnings (they may payout capital)mixed with ETFs I came up with:
RSP equal weighted large cap ETF
GAB closed end mid cap
RMT closed end micro-cap
EFA forien ETF
ICF REIT ETF
CHY, EAD, MSD, HYB closed end bond funds
I would invest 15% in the first four and 20% in the last two (5% in each of the bond funds) and rebalance at most once/ year.
And then Wisdomtree came along with funds based on a fundemental index that meets some quality values. From this index they pick the companies that meet the funds STYLE, either large, small, forien, Europe, Japan, etc
They have 20 funds and from those I have come up with a portfolio of 7 (10% each)plus a REIT ETF (20%)and a bond fund(10%). The weighting could be modified slightly to give more of a US market tilt.
DHS High Yield Equity ( market cap >200 million)
DES Small Cap Dividend ( smallest 25% of index)
DEW High Yield Europe (market cap > 200 million)
DFE Small Cap Europe (smallest 25%)
DNL High Yield Japan (market cap > 200 million)
DFJ Small Cap Japan (does not include largest 300 companies)
DNH High Yield Pacific x Japan (market cap > 200 million)
All the above funds are dividend weighted as I explained above. In addition the High Yield funds only include the 30% of stocks that have the highest DIVIDEND YIELDS from the base index.
Inaddition I would include:
ICF REIT ETF
CHY closed end bond fund
Again I would rebalance this portfolio at most once / year.
The above portfolios COULD be AIMed and then maybe be rebalanced VERY infrenquently (less that once every 5 years)
I mainly wanted to talk about Wisdomtree funds above and their fundemental indexing which they and a few other index fund providers have been starting to provide.I also wanted to include my thought process in building a portfolio.
It is thought that a capitalization weighted index fund has you buying more of the stocks that are already overpriced, whether they are in a style fund like the S+P 500 or and industry fund.
Toofuzzy
Hi Lisa, Re: CHI vs CHY...................
I think that the "since inception" differential is really only the difference in when the two funds came to the market. These securities both hold convertible bonds that move both up and down with the market in general (not on a daily basis). So, the CHI fund was quite depressed in 2002 and then rebounded nicely in '03. CHY by comparison didn't have that "advantage" at its beginning.
For now, with comparable yields, I'd say that you'd be spending a lot less in the form of "premium" above the Net Asset Value in CHY than in CHI. So it would appear that the CHY has less "down side risk" since there's less premium in it for the same effective yield.
When CHY first came out, CHI was trading quite a bit more in the way of daily shares. So the "known" fund out traded the "unknown" for a while. This shows up in a difference in the price range of the two during the first year of them both being available. However as time has progressed, they now trade much more closely to each other than back in the beginning. This can be seen in a comparison graph such as:
http://stockcharts.com/webcgi/perf.html?CHI,chy
Set the X-axis to 252 days and then drag it along the whole time frame. CHI did better initially because of it being more popular but in recent times they move more in step.
Hope this helps,
Best regards, Tom
Tom, What's your impression of CHI vs CHY in the current environment and forward?
Note the advantage in "since inception" gains for CHI:
http://www.etfconnect.com/select/fundPages/other.asp?MFID=92937
Hi Don, Looks like we're near the cusp of a melt-down if I understand the example. I guess that's why CASH is one of the nice four letter words!!
I guess we could consider this gauge an "overbought/oversold" kind of thing or possibly similar to the Fosback Hi/Lo Logic index. At the extremes it's bullish but in the middle it shows divergent thinking which is bearish.
Best regards, Tom
For those of you that pay attention to ETF Sectors, you might find this interesting---as of 8/4/06:
Based on TASC 8/06 Issue by AJ Jani
and backtested from 12/98 to 4/06:
Whenever 5 of 15 Rydex Sector funds are
below their Sma25 the average SP500
Ann Return for the next 30 days is -13.7%
Whenever all 15 funds are below their Sma
the SP500 Ann for next 30 days is 34.6%
Funds Below Sma25 Average SP500 Ann Return
in next 30 Mkt Days
0 6.49%
1 3.75
2 0.28
3 -2.75
4 -5.11
5 -13.74
6 -10.46
7 0.49
8 -2.49
9 0.15
10 1.54
11 3.06
12 6.85
13 13.43
14 20.14
15 34.61
08/04/06 08/03/06 08/02/06 08/01/06 07/31/06 07/28/06
-------- -------- -------- -------- -------- --------
Funds Below Sma25 7.00 4.00 7.00 8.00 7.00 7.00
Total Number Funds 15.00 15.00 15.00 15.00 15.00 15.00
\ft\Below.fnu created
PctAbvMA
--------
RYPMX Rydex INV:Precious Metals/216 2.89
RYKAX Rydex ADV:Banking/342 2.35
RYFIX Rydex INV:Financial Services/2 1.94
RYHIX Rydex INV:Health Care/233 1.80
RYEIX Rydex INV:Energy/231 0.85
RYCAX Rydex ADV:Consumer Products/33 0.43
RYOAX Rydex ADV:Biotechnology/343 0.13
RYTIX Rydex INV:Technology/234 0.07
RYRIX Rydex INV:Retailing/238 -0.00
RYBIX Rydex INV:Basic Materials/235 -0.37
RYSIX Rydex INV:Electronics/244 -0.44
RYMAX Rydex ADV:Telecommunication/33 -0.59
RYVIX Rydex INV:Energy Services/241 -1.51
RYLIX Rydex INV:Leisure/237 -2.42
RYPIX Rydex INV:Transportation/240 -6.17
Tom Veale
I thought I saw that nickname before. That other board is normaly quiet but should pick up after vacation season.
Ahhhhhhhhhhhhhhhhhhhhhhhh....I can help !!!
http://www.investorshub.com/boards/read_msg.asp?message_id=12436406
Hi Ez², I sure hope so!
The cash is burning a big hole in my pocket.
I'd hate to have to buy a new race car or
something if it doesn't get invested soon!!!
Best regards, Tom
I got a feeling in a month or TWO.....you'll have a good amount of BUY signals !!
8-)
Hi EZ, So far there's not been much downside. I guess that helps me sleep! However, it seemed to me that the portfolio needed a bit of a tonic for complacency. So I sold the IYH and IYC and replaced those with PIV to spice things up a bit.
Overall Cash Reserves are a bit full right now. It will take at least my risk indicator to less than average risk before I rebalance the Equity/Cash. I'd prefer to do it when we're showing Low Risk, but that only happens 10% of the time and I might not be able to wait that long!!
Best regards, Tom
The advent of Exchange Traded Funds (ETFs) has brought a new way to use AIM on various Market Sectors. They offer an easy way to own and trade entire sector indexes without the expense and inconvenience of the typical open end mutual fund. Closed End ETFs (CEFs) offer yet another interesting alternative and some extra BETA because of their Premium/Discount range.
With AIM, we like to make our trades when the price/per share meets our requirements. With traditional mutual funds we never know exactly what the end of the day will bring - but that's what the basis of our our trade price will be. Using ETFs we can use "Good 'til Cancelled" Limit Orders to trade when our price is met, or trade any time during the day at the current bid/ask prices.
Diversified mutual funds usually don't have the ingredients that AIM likes - Frequency and Amplitude of price change. This is because their money is spread over many different business sectors of the economy all moving in their own directions. Individual sector funds look as though they will give us many more opportunities to capture volatility than do traditional diversified mutual funds. As this graphic shows, individual sectors perform well at different times in the economic and market cycles.
ETFs can be selected from a wide variety of industrial sectors, individual country funds and also from "value" or "growth" by size of capitalization. This offers us the chance to build a portfolio of our own that is easily as diversified as any mutual fund. If we use ETFs we preserve much of the frequency and amplitude of each sector that AIM uses for creating trading profits. Each sector seeks its own level while AIM adjusts properly for the changes. Overall the portfolio benefits from extensive diversification while also improving AIM trade related returns.
An interesting article on building the "ultimate buy-and-hold" portfolio can be read at:
http://www.fundadvice.com/articles/buy-hold/the-ultimate-buy-and-hold-strategy.html
Constructing an ETF portfolio using the component ideas mentioned in the article would give an individual a very well diversified portfolio. Here is my account compared to similar indexes over a year's time:
[chart]www.aim-users.com/UBH_vs_Index.gif[/chart]
GENERAL INFORMATION ON ETFs
http://quotes.nasdaq.com/asp/ETFsHome.asp
LOOK UP SPECIFIC INDUSTRIAL SECTORS AS ETFs
http://quotes.nasdaq.com/asp/ETFsSector.asp
POWERSHARES ETF SITE
http://www.powershares.com/
INFORMATION ON ETFs
http://www.etfguide.com/etftickerguide.php
MOST POPULARLY TRADED
http://money.cnn.com/funds/etf/mostpop/
HEATMAP OF ETFs
http://screening.nasdaq.com/Heatmaps/Heatmap_ETF.asp
SPECIFIC INFORMATION ON CLOSED END ETFs (CEFs)
http://www.etfconnect.com/
TOM'S RETIREMENT ACCOUNT BUILT WITH ETFs
http://www.aim-users.com/etfunds.htm
EXAMPLE OF NON-U.S. ETF PORTFOLIO
http://www.aim-users.com/exusetf.htm
MORE ON A.I.M. (Automatic Investment Management)
IHub - http://www.investorshub.com/boards/board.asp?board_id=949
Web Site - http://www.aim-users.com/
Best regards, Tom
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