Elsewhere in the business, Invesco PowerShares manages several ETFs tied to fundamentally weighted indices designed by Research Affiliates chairman and founder Robert Arnott. [ETFs Embrace Fundamental and Alternative Indices]
WisdomTree Investments also oversees ETFs that weight companies by fundamental factors such as earnings and dividends, rather than by market cap.
The six ETFs that Schwab has filed to launch will track fundamental benchmarks that carry the Russell name. [Schwab Files Six ETFs Based on Fundamental Russell Indices]
However, investors “wouldn’t necessarily know from the ‘Russell Fundamental’ brand name that the indexes are created by Rob Arnott’s Research Affiliates,” IndexUniverse reports. “The Russell indexes use RAFI fundamental screens and are based on an agreement between Russell and Arnott’s Research Affiliates.”
Story updated to correct Schwab executive name and timing of filing of preliminary prospectus. Also corrects index information.