The Evolution of ETFs Through Factor-Based Indexing

RWL’s underlying index implements a rules-based, disciplined smart beta indexing methodology targets known indices like the S&P 500 and tries to improve their performance return through weighting each security in the index by revenue. Components are then rebalanced every quarter to keep the revenue-weighted indices in line with the companies’ most recently reported revenue levels.

Financial advisors who are interested in learning more about smart beta or factor-based index ETFs can register for the Thursday, June 8 webcast here.

Alternative weighting approaches (i.e., using revenues as a weighting measure), while designed to enhance potential returns, may not produce the desired results. Because the Fund is rebalanced quarterly, portfolio turnover may exceed 100%. The greater the portfolio turnover, the greater the transaction costs, which could have an adverse effect on the fund’s performance.

Carefully consider fund investment objectives, risks, charges, and expenses. Visit oppenheimerfunds.com or call your advisor for a prospectus with this and other fund information. Read it carefully before investing.

OppenheimerFunds is not affiliated with ETF Trends.