Daily ETF Watch: New Smart Beta Fund Debuts

Arrow Investment Advisors added a third fund to its ETF lineup with today’s rollout of a self-indexed smart-beta fund.

The Arrow QVM Equity Factor ETF (QVM) is based on an in-house equal-weighted index that selects its components based on the exposure they provide to the quality, value and momentum factors. According to Arrow, the quality factor adds a defensive twist to the fund, while the momentum and value factors allow QVM to capture upside performance.

The 50-stock index was co-developed with Ford Equity Research and relies on six different metrics—including profitability, earnings, dividend yield, share buybacks, valuation and long-term price performance—to capture the three factors it targets.

QVM is listed on the NYSE Arca exchange and comes with an expense ratio of 0.65 percent.

Deutsche Takes Over PowerShares DB ETN Family

Deutsche Bank and PowerShares have a lot of ties to sort out as their co-branding agreement comes to an end. Yesterday, we reported on the closures of six ETNs marketed under the PowerShares DB label and a creations freeze for 11 PowerShares DB ETFs while they were transferred over to PowerShares. However, those aren't the only changes.

Another 26 ETNs marketed by PowerShares under the PowerShares DB name will continue to trade, but they are no longer marketed by PowerShares and have dropped the "PowerShares" brand, keeping only the "DB." For example, the PowerShares DB Gold Double Long ETN has been renamed the DB Gold Double Long ETN (DGP). The funds have also kept their original tickers.

The 26 affected ETNs are predominantly commodity funds, but others cover U.S. Treasury bonds and foreign bonds. All but six offer some sort of leveraged or inverse exposure to their underlying indexes.

DGP is by far the largest of the ETNs, with nearly $150 million in assets under management. Most of the ETNs on the list have $50 million or less in assets.

The list of renamed funds and their tickers is below.