Products September 27, 2007

FTSE Looks to PowerShares for Four ETFs

FTSE has licensed PowerShares to create four new international exchange-traded funds (ETFs).

Reported by

The ETFs will track the FTSE RAFI Emerging Index, the FTSE RAFI Developed Markets ex-U.S. Mid-Small 1500 Index, the FTSE RAFI Developed Asia Pacific ex-Japan Mid-Small Index, and the FTSE RAFI Developed Europe Mid-Small Index.

The FTSE RAFI indexes weight constituents by sales, cash flow, book value and dividends rather than market capitalization.

The new Developed ex-U.S., Asia Pacific ex-Japan and Europe Small-Mid funds complements three PowerShares ETFs launched on June 25, 2007 which track the large-cap versions of these FTSE RAFI indexes.

The PowerShares ETFs are:

• PowerShares FTSE RAFI Emerging Markets Portfolio (PXH)
• PowerShares FTSE RAFI Developed Markets ex-U.S. Small-Mid Portfolio (PDN)
• PowerShares FTSE RAFI Asia Pacific ex-Japan Small-Mid Portfolio (PDQ)
• PowerShares FTSE RAFI Europe Small-Mid Portfolio (PWD)