DEFINITION of 'PowerShares'
A family of numerous domestic and international exchange-traded funds managed by the investment management company Invesco Ltd.
Founded in 2003, PowerShares trade like stocks on both U.S. and international stock exchanges, including the NASDAQ and NYSE Arca, and are intended to offer investors tax efficiency, transparency, flexibility and broad exposure.
BREAKING DOWN 'PowerShares'
Most ETFs are designed to track a market index. PowerShares, however, are designed to outperform market indexes. For this reason, the company refers to its ETFs as "next generation," "intelligent" or "value added" ETFs. The company's broad categories of ETFs offer investors choices such as actively managed ETFs, ETFs focused on earnings from dividend-paying stocks, green ETFs and fixed-income ETFs.