Claymore is set to begin trading the “Wilshire US REIT ETF” (WREI) tomorrow March 9th. The Fund seeks investment results that correspond generally to the performance, before the Fund’s fees and expenses of an equity index called the Wilshire US Real Estate Investment Trust Index(SM) (“Wilshire US REIT Index” or the “Index”). The Fund’s investment objective is not fundamental and may be changed by the Board of Trustees without shareholder approval.
PRIMARY INVESTMENT STRATEGIES
The Fund, using a low cost “passive” or “indexing” investment approach, will seek to replicate, before the Fund’s fees and expenses, the performance of the Wilshire US REIT Index. The Wilshire US REIT Index is a rules-based index comprised of, as of November 30, 2009, approximately 81 securities, which may include securities of companies of all categories of market capitalizations, (subject to the minimum requirements set forth below), as defined by Wilshire Associates Incorporated (“Wilshire” or the “Index Provider”). The Wilshire US REIT Index is comprised primarily of REITs and is derived from the broader Wilshire 5000 Total Market Index(SM). The Index is designed to serve as a proxy for direct real estate investment by institutions. The Wilshire US REIT Index is weighted by float-adjusted market capitalization. The Fund will normally invest at least 80% of its total assets in equity securities that comprise the Wilshire US REIT Index and investments that have economic characteristics that are substantially identical to the economic characteristics of the component securities that comprise the Wilshire US REIT Index. The Fund has adopted a policy that requires the Fund to provide shareholders with at least 60 days notice prior to any material change in this policy or the Wilshire US REIT Index. The Board of Trustees of the Trust may change the Fund’s investment strategy and other policies without shareholder approval, except as otherwise indicated.
The Fund generally will invest in all of the securities comprising the Index in proportion to their weightings in the Index. However, under various circumstances, it may not be possible or practicable to purchase all of the securities in the Index in those weightings. In those circumstances, the Fund may purchase a sample of the securities in the Index in proportions expected by the Investment Adviser to replicate generally the performance of the Index as a whole. There may also be instances in which the Investment Adviser may choose to overweight another security in the Index, purchase (or sell) securities not in the Index which the Investment Adviser believes are appropriate to substitute for one or more Index components, or utilize various combinations of other available investment techniques, in seeking to accurately track the Index. In addition, from time to time securities are added to or removed from the Index. The Fund may sell securities that are represented in the Index or purchase securities that are not yet represented in the Index in anticipation of their removal from or addition to the Index.
For the full prospectus click: HERE