Invesco PowerShares to launch four FTSE RAFI funds

Invesco PowerShares will launch four ETFs based on fundamentally weighted indices on February 1, 2010.

The range will be based on developed world equity markets, and will consist of the PowerShares FTSE RAFI Emerging Markets fund, the Asia Pacific Ex-Japan fund, the Hong Kong/China fund and the All-World 3000 fund.

The ETFs will sit in the firm's existing fundamental range, comprising five funds focussed on the US, UK, and Europe.

Invesco PowerShares has three types of ETF, including the "intelligent exposure" segment, which consists of all the FTSE RAFI ETFs.

The "intelligent access" range contains ETFs with exposure to equity indices relating to investment themes such as private equity and agriculture, while the "intelligent index" range is based on an alpha seeking, quantitative, multi-factor strategy.

Invesco Perpetual head of listed fund sales Tim Mitchell says: "We believe that the Research Affiliates Fundamental Index (RAFI) is a unique and intuitive passive investment strategy for investors looking for more intelligent market beta exposure."

He says the firm is therefore widening the geographical scope of the range to offer such fundamentally weighted funds investing in developed and emerging markets.

Susquehanna will serve as the market maker for the four ETFs.