PowerShares Dividend Achievers Portfolio ETF (PFM)

The PowerShares Dividend Achievers Portfolio ETF (PFM) started trading in September 2005. It tracks the Broad Dividend Achievers Index, minus expenses and fees. The ETF's approach to tracking the index is full replication. It attempts to own all the stocks in the index.

The Broad Dividend Achievers Index's fact sheet says it tracks the performance of the 50 highest yielding stocks that have raised dividends in each of the last 10 years. As of July 2008, however, the index tracks 318 stocks that have raised their dividends for 10 consecutive years. The index is rebalanced quarterly, while components are dropped and selected annually. As of July 2008, the index was spread over the following sectors:

Basic Materials 3.16%
Consumer Cyclical 6.54%
Consumer Staples 21.53%
Energy 10.45
Financials 19.23%
Health Care 13.78%
Industrials 13.22%
Information Technology 4.99%
Telecommunication Services 4.59%
Utilities 2.5%


The ETF is passively managed, with an expense ratio of 0.6%. The fund's most recent annual turnover rate was 9%. PFM rebalances quarterly.

Although this is subject to change, the ETF pays dividends on a quarterly basis, in March, June, September, and December. The dividend is irregular, and past distributions have ranged from $0.05 a share to $0.114 a share.

As of July 2008, the PowerShares Dividend Achievers Portfolio ETF held 317 stocks.

The ETF's holdings are listed below.