New ETF from ALPS Looks to Capture High Yield in Emerging Markets Stocks
March 28 2014 - 9:30AM
Business Wire
“ALPS Emerging Sector Dividend Dogs” Built
to Provide Diversification and Dividend Potential
ALPS, a DST Company focused on asset servicing and asset
gathering, today announced the launch of the ALPS Emerging Sector
Dividend Dogs ETF (NYSE: EDOG), a new exchange-traded fund designed
to track the overall performance of the S-Network Emerging Sector
Dividend Dogs Index (EDOGX).
The Fund is the newest addition to the ALPS Sector Dividend Dogs
Series, a lineup of ETFs that utilize the 'Dogs of the Dow Theory'
on a sector-by-sector basis.
The Series currently includes the ALPS Sector Dividend Dog ETF
(NYSE: SDOG), which launched in June 2012 using the S&P 500® as
its starting universe of eligible securities, and the ALPS
International Sector Dividend Dog ETF (NYSE: IDOG), which launched
in June 2013 using the S-Net Developed Markets (ex-Americas) Index
as its starting universe of eligible securities. The two funds have
combined to attract more than $600 million in assets since
inception.
“With the launch of an emerging markets equity-income ETF, ALPS
Portfolio Solutions is now able to provide dividend ETFs across all
major large-cap markets,” said Mike Akins, Portfolio Manager and
Senior Vice President of ALPS. “All three funds utilize a
straightforward, transparent process that expands on the Dogs of
the Dow strategy, resulting in funds that seek to provide a high
yield relative to broad-based benchmarks as well as diversification
at both the security and sector level.”
In practice, the S-Network Emerging Sector Dividend Dogs Index,
a portfolio of stocks derived from a universe of mainly large
capitalization stocks domiciled in emerging markets, selects the
five stocks offering the highest dividend yields in each of the ten
sectors comprising its benchmark, subject to a country cap of five
securities. This strategy provides the ALPS Emerging Sector
Dividend Dogs ETF with several potential benefits, including:
• Dividend Yield
• Sector, Stock and Country Diversification
• Value Strategy
Additional information on the ALPS Emerging Sector Dividend Dogs
ETF can be found at www.alpssectordividenddogs.com.
Risks
There are risks involved with investing in exchange-traded
funds (ETFs), including the loss of money. Additional information
regarding the risks of this investment is available in the
prospectus.
The ALPS Sector Dividend Dogs Series Shares are not
individually redeemable. Investors buy and sell shares of the ALPS
Sector Dividend Dogs Series on a secondary market. Only market
makers or “authorized participants” may trade directly with the
Fund, typically in blocks of 50,000 shares.
The ALPS Emerging Sector Dividend Dogs ETF is a new product with
a limited operating history.
Diversification does not eliminate the risk of experiencing
investment losses.
You cannot invest directly in an index.
The Fund is subject to the additional risks associated with
concentrating its investments in companies in the market
sector.
Foreign Investment Risk. The Fund’s investments in non-U.S.
issuers may involve unique risks compared to investing in
securities of U.S. issuers, including, among others, greater market
volatility than U.S. securities and less complete financial
information than for U.S. issuers. In addition, adverse political,
economic or social developments could undermine the value of the
Fund’s investments or prevent the Fund from realizing the full
value of its investments. Financial reporting standards for
companies based in foreign markets differ from those in the United
States. Finally, the value of the currency of the country in which
the Fund has invested could decline relative to the value of the
U.S. dollar, which may affect the value of the investment to U.S.
investors. Investments in emerging markets may emphasize these
risks.
An investor should consider the investment objectives, risks,
charges, and expenses carefully before investing. To obtain a
prospectus that contains this and other information call
866.675.2639. Read it carefully before investing.
S&P 500: a stock market index based on the market
capitalizations of 500 leading companies publicly traded in the
U.S. stock market, as determined by Standard & Poor's.
ALPS Portfolio Solutions Distributor, Inc. is the Distributor
for the ALPS Emerging Sector Dividend Dogs ETF, the ALPS Sector
Dividend Dogs ETF, and the ALPS International Sector Dividend Dogs
ETF.
About ALPS
ALPS provides customized asset servicing and asset gathering
solutions to the financial services community through an
entrepreneurial culture based on the commitment to “Do Things
Right.” Founded in 1985, ALPS continues to actively promote all of
its various business segments, from asset servicing through ALPS
Fund Services, Inc. to asset gathering through ALPS Portfolio
Solutions Distributor, Inc., ALPS Distributors, Inc. and ALPS
Advisors, Inc. Headquartered in Denver, with offices in Boston, New
York, Seattle, and Toronto, ALPS, a wholly-owned subsidiary of DST
Systems, Inc., today represents more than 400 employees, over 200
clients, and an executive team that has been in place for more than
18 years. For more information about ALPS and its services, visit
www.alpsinc.com. Information about ALPS products is available at
www.alpsfunds.com.
Contact:
Patricia Lobato
ALPS Advisors, Inc.
720-917-0644
www.alpsinc.com
Laura M. Parsons
DST Public Relations
816-843-9087
mediarelations@dstsystems.com
Jennifer Levesque*
ALPS Client Relations
303-623-2577
jennifer.levesque@alpsinc.com
*Jennifer Levesque is a Registered Representatives of ALPS
Portfolio Solutions Distributor, Inc.
ALPS Sector Dividend DogsTom Carter, 303-623-2577
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