PowerShares has announced that they will begin trading two of their funds under new names and tickers at the opening of business on Thursday, June 16, 2011. The seven funds affected are the PowerShares Dynamic Large Cap Portfolio (NYSE:PJF), PowerShares Dynamic Mid Cap Portfolio (NYSE:PJG), PowerShares Dynamic Small Cap Portfolio (NYSE:PJM), PowerShares Dynamic Mid Cap Growth Portfolio (NYSE:PWJ), PowerShares Dynamic Mid Cap Value Portfolio (NYSE:PWP), PowerShares Dynamic Small Cap Growth Portfolio (NYSE:PWT), and the PowerShares Dynamic Small Cap Value Portfolio (NYSE:PWY).
Effective the same day, the Adviser has agreed to reduce each of these Fund’s management fees to 0.29% and has agreed to cap the Fund’s operating expenses (excluding certain expenses) at 0.39% until at least August 31, 2012.
The new fund information is as follows:
|Current Fund Symbol||Current Fund Name||New Fund Symbol||New Fund Name||Current Index Symbol||Current Index Name||New Index Name||New Index Ticker|
|PJF||PowerShares Dynamic Large Cap Portfolio||PXLC||PowerShares Fundamental Pure Large Core Portfolio||IEB||Dynamic Large Cap Intellidex Index||RAFI Fundamental Large Core Index||RAFILC|
|PJG||PowerShares Dynamic Mid Cap Portfolio||PXMC||PowerShares Fundamental Pure Mid Core Portfolio||IEK||Dynamic Mid Cap Intellidex Index||RAFI Fundamental Mid Core Index||RAFIMC|
|PJM||PowerShares Dynamic Small Cap Portfolio||PXSC||PowerShares Fundamental Pure Small Core Portfolio||IEY||Dynamic Small Cap Intellidex Index||RAFI Fundamental Small Core Index||RAFISC|
|PWP||PowerShares Dynamic Mid Cap Value Portfolio||PXMV||PowerShares Fundamental Pure Mid Value Portfolio||ILP||Dynamic Mid Cap Value Intellidex Index||RAFI Fundamental Mid Value Index||RAFIMV|
|PWJ||PowerShares Dynamic Mid Cap Growth Portfolio||PXMG||PowerShares Fundamental Pure Mid Growth Portfolio||ILJ [NOT ILG]||Dynamic Mid Cap Growth Intellidex Index||RAFI Fundamental Mid Growth Index||RAFIMG|
|PWT||PowerShares Dynamic Small Cap Growth Portfolio||PXSG||PowerShares Fundamental Pure Small Growth Portfolio||ILK||Dynamic Small Cap Growth Intellidex Index||RAFI Fundamental Small Growth Index||RAFISG|
|PWY||PowerShares Dynamic Small Cap Value Portfolio||PXSV||PowerShares Fundamental Pure Small Value Portfolio||ILZ||Dynamic Small Cap Value Intellidex Index||RAFI Fundamental Small Value Index||RAFISV|
The RAFI Index Series is constructed from the 2,500 largest U.S. listed companies, based on the following four fundamental measures of firm size: latest available book value, cash flow averaged over the prior five years, sales averaged over the prior five years and total dividend distributions averaged over the prior five years. A composite fundamental weight is calculated for each firm by equally weighting the four fundamental measures. For companies that have never paid dividends, that measure will be excluded from the average. Each company is then classified as “large,” “mid” or “small” and “growth,” “core” or “value” in the following manner:
1) Stocks are segregated into three size groups: “large,” “mid” and “small.” Companies are divided amongst these groups based on their fundamental weight. Securities which have a substantially different fundamental weight relative to their market cap weight are excluded.
2) Once classified into the three size groups, RAFI uses a methodology using fundamental measures of growth and value to give each company a style score. Based on this style score companies are classified as “growth,” “core” or “value.”
3) Stocks within each sub-index are weighted by their composite fundamental weight.
Each index in the RAFI Index Series is reconstituted and rebalanced annually on the third Friday of March.