PowerShares S&P 500 Buy/Write
ALTAR
Score™
5.4% info Recommen-
dation
UNDERWEIGHT
2017E    2018E
P/E
ratio
19.4x P/Sales
ratio
2.3x
P/BV
ratio
3.3x Div.
yield
2.0%


  • Description
  • Performance
  • Comps
  • premium Fundamentals
  • premium Valuation
  • premium Rating
The Powershares S&P 500 BuyWrite Portfolio is an exchange traded Fund ('ETF') that purchases the S&P 500 stock portfolio and sells near term S&P 500 calls monthly. It is a passive investment that tracks the BXM .

FUND BASICS
Category Style & Fundamental Indices
Fund Sponsor Invesco PowerShares
Website www.powershares.com
Inception date Dec 20, 2007
Assets (mns) $330
Currency USD
Expense ratio 75 bp
Distributions Quarterly

FUND STRUCTURE
Regulation Open-End Investment Co
Custodian Bank of New York Mellon
Weighting Fixed
Index replication Full
Uses derivatives Yes
Options available Yes

SECTOR BREAKDOWN

 


CONSTITUENT BREAKDOWN
No. of constituents 505
Wgt avg mkt cap (mns) $186,546
Large cap (>$10bn) 96.7%
Mid cap ($2-10bn) 3.3%
Small cap (<$2bn) 0.0%
Developed mkts 100.0%
Emerging mkts 0.0%

TOP TEN HOLDINGS
APPLE INC 3.9 %
MICROSOFT CORP 2.8 %
FACEBOOK 1.9 %
AMAZON.COM INC 1.9 %
JOHNSON & JOHNSON 1.8 %
BERKSHIRE HATHAWAY INC-CL B 1.7 %
EXXON MOBIL CORP 1.6 %
JPMORGAN CHASE & CO 1.6 %
ALPHABET INC. CLASS A 1.5 %
ALPHABET INC. CLASS C 1.4 %
Total 20.1 %

TOP COUNTRY EXPOSURE
UNITED STATES 100.4 %
IRELAND 1.3 %
BRITAIN 0.4 %
SWITZERLAND 0.2 %
BERMUDA 0.1 %
FRANCE 0.1 %





HISTORICAL PERFORMANCE info

  Custom date range Compare to  
  thru


Standardized Annual Returns (thru September 30)
Year-to-date 1 year 5 years 10 years Since Incep.
9.2% 12.0% 6.8% -- 4.5%

Market Correlations
versus... Beta R-squared
S&P500 0.49 61%
MSCI EAFE 0.34 43%
MSCI Emg. Mkts. 0.19 22%

Technical Indicators
Recent close $22.32
30d moving avg. $22.32
Annualized volatility 6.4%
Short interest (ETF) 0.4%
Short interest (Underlying) 2.4%
Relative strength (RSI) 40

Liquidity measures
Avg. volume (thou.) 64
Turnover 0.4%
Bid/Ask (% of price) 0.27%
ADV underlying (mns) $129,073

Distributions


FINDING ALTERNATIVE FUNDS

Below is a list of 20 potential alternatives to the PowerShares S&P 500 Buy/Write ETF based on the alternatives' overlap in portfolio holdings with PBP. Consider funds with lower expense ratios and/or higher ALTAR Score™ ratings as possible alternatives.

Benchmark ticker: PBP Expense: 75 bp ALTAR Score™: 5.4%


ALTERNATIVE ETFs BASED ON OVERLAP WITH PBP
Ticker Fund
Name
Overlap1
vs PBP
(%)
Expense
ratio
(bp)
Savings
vs PBP
(bp)
ALTAR
Score™
(%)
ALTAR
vs PBP
(%)
VOO Vanguard S&P 500 ETF 99.7 5 70 5.8 +0.5
SPY S&P 500 SPDR 99.6 9 66 5.7 +0.4
IVV iShares Core S&P 500 99.5 4 71 5.8 +0.4
HSPX Horizons S&P 500 Covered Call 99.3 65 10 5.3 -0.0
SPYX SPDR S&P 500 Fossil Fuel Reserves Free 96.7 20 55 5.8 +0.5
VV Vanguard Large-Cap ETF 96.1 9 66 5.8 +0.4
SPXE ProShares S&P 500 Ex-Energy 95.9 27 48 6.1 +0.7
SCHX Schwab U.S. Large-Cap 91.2 4 71 5.9 +0.5
VONE Vanguard Russell 1000 89.3 12 63 5.9 +0.5
SPLG SPDR Portfolio Large Cap 89.2 3 72 6.0 +0.6
CATH Global X S&P 500 Catholic Values 89.1 29 46 5.8 +0.4
IWB iShares Russell 1000 88.9 15 60 5.7 +0.3
MGC Vanguard Mega Cap 300 ETF 87.9 9 66 5.6 +0.3
SPXV ProShares S&P 500 Ex-Health Care 87.4 27 48 5.7 +0.4
IYY iShares DJ US Total Market 86.6 20 55 5.7 +0.3
SPXN ProShares S&P 500 Ex-Financials 84.3 27 48 5.7 +0.3
VTI Vanguard Total Market 83.7 5 70 5.7 +0.3
SPTM SPDR Portfolio Total Stock Market 83.0 3 72 5.9 +0.5
DHVW Diamond Hill Valuation-Weighted 500 82.6 10 65 6.2 +0.8
VTHR Vanguard Russell 3000 82.4 15 60 5.7 +0.4

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%.

Content on this tab for subscribers only**

RESULTS & ESTIMATES

  2012 2013 2014 2015 2016 2017E 2018E
Sales per share ** ** ** ** ** ** **
Earnings per share ** ** ** ** ** ** **
Dividends per share info ** ** ** ** ** ** **
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

Content on this tab for subscribers only

VALUATION METRICS
  2016 2017E 2018E
Price-to-sales ** ** **
Price-to-earnings ** ** **
Price-to-cash flow ** ** **
Price-to-growth ** ** **
Price-to-book value ** ** **
Yield ** ** **

Historical valuation trends

Forward
multiple:
PowerShares S&P 500 Buy/Write
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 above 3.0% but below 6.0%. 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 18.4 %
Divided by: Fwd. P/BV 3.0 x
Less: Expense ratio 75 bp
Equals: ALTAR Score 5.4 %
info More information on ALTAR Score™

MODERN PORTFOLIO THEORY info

CONSENSUS RECOMMENDATIONS: FUND CONSTITUENTS
COMPOSITE
RATING
1.51 CATEGORY
AVERAGE
1.59
 
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.
 

 

See RATING tab for calculation of ALTAR Score™
Risk & reward. Uses std. dev. as proxy for risk, ALTAR Score™ for return forecast.
Dividends paid by constituents to the fund. May differ from actual distributions to shareholders due to constituent changes, timing issues or other factors.
Monthly returns based on changes in price plus dividends. May differ from daily returns reported by funds. See below for standardized returns.