Correcting Indexes Affects ETFs | ETF Trends

The PowerShares Cleantech (PZD) ETF (exchange traded fund) now gives investors an easy and low-cost means to invest in the entire cleantech sector with substantially less risk. Some indexes are changed from time to time and here is an example.  Rafael Coven of Cleantech Indices, explains a recent realignment in the index was to better reflect the economic growth from the rising global demand and use of clean technology products and services. The company will accommodate the growth of derivative financial products that it underlies, such as ETFs. According to the press release, the realignment took place on March 30, during the Indexes quarterly rebalancing.

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