ETF Research Center

The Invesco DWA Financial Momentum Portfolio tracks an index of U.S. financial firms selected and weighted by price momentum.

FUND BASICS
Category	US Equities
Fund Sponsor	Invesco PowerShares
Website	www.powershares.com
Inception date	Oct 12, 2006
Assets (mns)	$58
Currency	USD
Expense ratio	60 bp
Distributions	Quarterly

FUND STRUCTURE
Regulation	Open-Ended Fund
Custodian	BNY Mellon
Weighting	Momentum
Index replication
Uses derivatives	No
Options available	Yes

SECTOR BREAKDOWN

CONSTITUENT BREAKDOWN
No. of constituents	41
Wgt avg mkt cap (mns)	$59,704
Large cap (>$10bn)	65.7%
Mid cap ($2-10bn)	22.4%
Small cap (<$2bn)	11.9%
Developed mkts	100.0%
Emerging mkts	0.0%

TOP TEN HOLDINGS
Total	38.6 %
AMERICAN TOWER CORP-CL A	7.1 %
CROWN CASTLE INTL CORP	7.0 %
EXTRA SPACE STORAGE INC	3.3 %
JPMORGAN CHASE & CO	3.2 %
MASTERCARD INC-CLASS A	3.2 %
DISCOVER FINANCIAL SERVICES	3.0 %
MOODY'S CORP	3.0 %
S&P GLOBAL, INC.	2.9 %
MSCI INC-A	2.9 %
VISA INC-CLASS A SHARES	2.9 %

TOP COUNTRY EXPOSURE
	UNITED STATES	98.3 %
	PUERTO RICO	1.6 %

HISTORICAL PERFORMANCE info

	Custom date range	Compare to
	thru

Standardized Annual Returns (thru October 31)
Year-to-date	1 year	5 years	10 years	Since Incep.
33.2%	20.2%	6.1%	10.3%	4.6%

Market Correlations
versus...	Beta	R-squared
S&P500	0.88	62%
MSCI EAFE	0.70	34%
MSCI Emg. Mkts.	0.46	24%

Technical Indicators
Recent close	$37.27
30d moving avg.	$37.30
Annualized volatility	13.4%
Short interest (ETF)	0.5%
Short interest (Underlying)	3.2%
Relative strength (RSI)	49

Liquidity measures
Avg. volume (thou.)	57
Turnover	3.7%
Bid/Ask (% of price)	0.34%
ADV underlying (mns)	$9,318

Distributions

FINDING ALTERNATIVE FUNDS

Below is a list of 20 potential alternatives to the Invesco Dynamic Financial Sector ETF based on the alternatives' overlap in portfolio holdings with PFI. Consider funds with lower expense ratios and/or higher ALTAR Score™ ratings as possible alternatives.

Benchmark ticker:

PFI

Expense:

60 bp

ALTAR Score™:

4.7%

ALTERNATIVE ETFs BASED ON OVERLAP WITH PFI
Ticker	Fund Name	Overlap¹ vs PFI (%)	Expense ratio (bp)	Savings vs PFI (bp)	ALTAR Score™ (%)	ALTAR vs PFI (%)
IYF	iShares DJ US Financials	21.3	42	18	6.2	+1.5
XLRE	Real Estate Select Sector SPDR	21.0	13	47	5.4	+0.7
JHMF	John Hancock Multifactor Financials	20.3	40	20	6.7	+2.0
RYF	Invesco S&P Equal Weight Financials	19.3	40	20	7.5	+2.8
IYG	iShares DJ US Financial Services	18.8	42	18	6.5	+1.8
FREL	Fidelity MSCI Real Estate	18.7	8	52	6.2	+1.4
IYR	iShares U.S. Real Estate	18.6	42	18	5.9	+1.1
PSR	Invesco Active US Real Estate	18.2	35	25	5.5	+0.8
KCE	SPDR KBW Capital Markets	17.8	35	25	8.2	+3.5
VNQ	Vanguard REIT ETF	17.0	12	48	6.1	+1.4
EWRE	Invesco S&P 500 Equal Weight Real Estate	16.3	40	20	5.6	+0.9
KIE	SPDR S&P Insurance	16.1	35	25	7.3	+2.5
SRVR	Pacer Benchmark Data & Infrastructure Real Estate	16.0	60	0	5.8	+1.0
DDIV	First Trust Dorsey Wright Momentum & Dividend	15.9	60	0	6.7	+1.9
DVLU	First Trust Dorsey Wright Momentum & Value	14.2	60	0	8.4	+3.7
GLIF	AGFiQ Global Infrastructure	13.8	45	15	5.3	+0.6
XLF	Financials Select Sector SPDR	13.7	13	47	7.1	+2.4
ICF	iShares Cohen & Steers Realty Majors	13.7	34	26	5.3	+0.6
FNCL	Fidelity MSCI Financials	12.9	8	52	7.4	+2.7
VFH	Vanguard Financials	12.9	10	50	7.4	+2.7

¹Overlap is the percentage of holdings by weight that are identical. For example, if Fund A has a 2% position in Apple, Inc. (AAPL) and Fund B has a 5% position, their overlapping position in AAPL is 2%.

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RESULTS & ESTIMATES

	2014	2015	2016	2017	2018	2019E	2020E
Sales per share	**	**	**	**	**	**	**
Earnings per share	**	**	**	**	**	**	**
Dividends per share	**	**	**	**	**	**	**
Book value per share	**	**	**	**	**	**	**

Sales per share growth		**%	**%	**%	**%	**%	**%
EPS growth		**%	**%	**%	**%	**%	**%

Sales per share growth		**%	**%	**%	**%	**%	**%
EPS growth		**%	**%	**%	**%	**%	**%

OTHER FUNDAMENTAL METRICS

Long term EPS growth est.	**%		Debt-to-equity	**x
Asset turnover	**%		Assets-to-equity	**x

Return on equity

Revision activity*

*Six months ago = 100

Net margins

Compound annual growth rates

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VALUATION METRICS

	2018	2019E	2020E
Price-to-sales	**	**	**
Price-to-earnings	**	**	**
Price-to-cash flow	**	**	**
Price-to-growth	**	**	**
Price-to-book value	**	**	**
Yield	**	**	**

Historical valuation trends

Forward multiple:	Invesco Dynamic Financial Sector
Relative to:	S&P500	MSCI EAFE	MSCI Emg. Mkts.	Other ETF:

UNDERWEIGHT

Below average appreciation potential. A rating of UNDERWEIGHT is assigned to ETFs with ALTAR Scores in the 2nd quintile (ranking higher than only 20%-40%) of their category. Typically, funds in this category consist of stocks trading at relatively expensive valuations and/or having below-average fundamentals.

ALTAR Score™

Calculation of ALTAR Score™
Avg. Return on Equity	16.8	%
Divided by: Fwd. P/BV	3.2	x
Less: Expense ratio	60	bp
Equals: ALTAR Score	4.7	%

More information on ALTAR Score™

MODERN PORTFOLIO THEORY info

CONSENSUS RECOMMENDATIONS: FUND CONSTITUENTS

COMPOSITE RATING	1.58	CATEGORY AVERAGE	1.55

The composite rating is a weighted average of analysts' consensus recommendations for individual ETF constituents, based on the following scale: BUY = 1; OVERWEIGHT = 1.5, HOLD = 2; UNDERWEIGHT = 2.5; and SELL = 3. Readers are cautioned that because analyst ratings tend to be inflated, the composite score may be more useful as a relative measure of sentiment between funds rather than as a stand-alone recommendation.