While the 0.8% annual expense ratio charged by PIZ is higher than what is found on cap-weighted EAFE ETFs, the higher fees are rendered moot because PIZ’s index has outperformed the comparable EAFE benchmark by nearly 1,000 basis points over the past year, according to PowerShares data.
PIZ also offers investors an avenue to play seasonal strength in consumer discretionary stocks because that is by far the ETF’s largest sector weight at 31%. Industrials, another strong seasonal play at this time of year, are next at 19%. [Time to Warm to Discretionary ETFs]
PIZ has $527.5 million in assets under management, $362.6 million of which has come into the fund this year, making it the sixth-best PowerShares ETF in terms of 2013 inflows.
PowerShares DWA Developed Markets Momentum Portfolio