Invesco PowerShares also manages PowerShares DWA Developed Markets Technical Leaders Portfolio (NYSEArca: PIZ), PowerShares DWA Emerging Markets Technical Leaders Portfolio (NYSEArca: PIE) and PowerShares DWA Technical Leaders Portfolio (NYSEArca: PDP). [Some Enhanced ETFs Beating Their Benchmarks]

PDP, which invests in U.S. large and mid-cap stocks, tries to exploit the momentum effect, explains Morningstar analyst Alex Bryan.

“Momentum is based on the premise that securities that have recently outperformed will continue to do so in the short run, and those that have underperformed will continue to lag. Similar to value stocks, stocks with positive momentum have historically outperformed in nearly every market studied over long time horizons,” he wrote in a report on the ETF.

“Nearly all momentum strategies have high turnover, and this fund is no exception. This can result in high trading costs and poor tax efficiency. PDP has kept transaction costs low by rebalancing only once a quarter, which reduces noise trading,” Bryan said, adding that PDP has been remarkably tax-efficient for a strategy with high turnover.

BlackRock also sponsors a momentum-based ETF, iShares MSCI USA Momentum Factor ETF (NYSEArca: MTUM). [iShares Launches ‘Quality Factor’ ETF]