PowerShares launches ETF of closed-end funds

The PowerShares CEF Income Composite Portfolio will issue monthly distributions, and is expected to go ex-dividend on 15 March. The fund is based on the S-Network Composite Closed-End Fund index and will normally invest at least 80% of its total assets in securities of CEFs constituting the benchmark. The index is rules-based and is designed to track the overall performance of US listed CEFs. It consists of 71 CEFs, 27 of which invest largely in taxable investment grade fixed income securities. The benchmark also includes 15 CEFs investing primarily in high-yield fixed income secur...