PowerShares has filed paperwork with the SEC for a “PowerShares S&P 500 High Dividend Portfolio.” The PowerShares S&P 500 High Dividend Portfolio (the “Fund”) seeks investment results that generally correspond (before fees and expenses) to the price and yield of the S&P 500 High Dividend Index.
Principal Investment Strategies
The Fund generally will invest at least 90% of its total assets in common stocks that comprise the Underlying Index. Standard & Poor’s® (“S&P” or the “Index Provider”) compiles, maintains and calculates the Underlying Index, which is composed of 75 securities that historically have provided high dividend yields. Strictly in accordance with its existing guidelines and mandated procedures, S&P identifies from the S&P 500® Index the  securities with the highest dividend yields over the past 12 months and, from those securities, selects the  securities with the relatively lowest realized 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 Index Provider weights each of the  stocks in the Underlying Index by its dividend yield, with the highest dividend-yielding stocks receiving the highest weights. The Fund generally invests in all of the securities comprising its Underlying Index in proportion to their weightings in the Underlying Index.
For the complete filing click: HERE