PowerShares has filed with the SEC to launch its fourth actively managed ETF, according to a Benzinga.com report.

The filing indicated that the new ETF will be called the PowerShares Dividend Allocation Portfolio, but no expense ratio or ticker were indicated. Managers of this ETF will choose to invest in S&P 500 stocks that comprise the top 50 in dividend yields. Other investment options for this fund are CBOE VIX futures and cash.

The filing states that the fund will invest in equities yielding a high dividend during low-volatility periods, while assets will be put into VIX Index Related Instruments during high-volatility periods. 

Correction: A prior version of this story mischaracterized how far along the Dividend Allocation Portfolio is. PowerShares has filed for the new ETF but has not yet launched it.

Edited by: HFD


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