Back to top
more

Zacks In The News

ZACKS LAUNCHES NEW SEMI ACTIVE YIELD HOG INDEX

Chicago,IL-September 21, 2006- For income oriented investors seeking high yield, a newly listed index deserves a strong look. Zacks Investment Research has created and launched The Zacks Yield Hog Index™. With a current yield distribution of 5.92%, the innovative Yield Hog Index is the highest yielding domestic index to date.  Additionally, it is the first yield-oriented index to combine equities, preferred stocks, REITs, master limited partnerships, ADRs, and closed-end funds. 

"By combining these different security types, Zacks is able to obtain a yield superior to pure equity strategies," says Christopher Huemmer, CFA, Vice President of Zacks Investment Research, Inc.   "The Yield Hog targets securities with sustainable dividend growth while diversifying across several different types of equity-based instruments to minimize risk."

The objective of The Zacks Yield Hog Index™, is to select a diversified group of securities with the potential to outperform, on a risk adjusted basis, the Dow Jones US Select Dividend Index and other benchmark indices.  Designed to identify companies with potentially high income and superior risk-return profiles, the index is adjusted quarterly or as required to assure timely stock selection. The index's constituent methodology utilizes multi-factor, proprietary selection rules to identify those securities that offer the greatest potential from a yield risk/return perspective, while maintaining global/industry diversification. The index is comprised of 125 to 150 of the highest ranking securities, chosen and weighted based on a rules based quantitative ranking methodology proprietary to Zacks. The Zacks Yield Hog Index™ is published by the American Stock Exchange under the ticker symbol ZAXYH. A complete constituent list is available at http://www.amex.com/?href=/othProd/prodInf/OpPiIndComp.jsp?Product_Symbol=ZAXYH

The Zacks Yield Hog Index's available performance history reflects a 1-year total return of 12.27%, a 3-year total return of 19.98% and a 5-year total return of 17.18%, annualized through August 31, 2006. This versus a 1-year total return of 10.42%, a 3-year total return of 16.14% and a 5-year total return of 12.31%, annualized for the passive Dow Jones US Select Dividend Index over the same time period.

A detailed Whitepaper on The Zacks Yield Hog Index™ wil be forthcoming.  Christopher Huemmer, CFA, Vice President of Zacks Investment Research, Inc. is available to comment on this new index.

About Zacks
Founded in 1978, Zacks Investment Research has more than 25 years of experience in providing institutional and individual investors with the analytical tools and financial information necessary to the success of their investment process. Zacks created the first earnings estimate revision model and originated the concept of the Earnings Surprise. Today, Zacks' models process over 25,000 earnings estimate revisions and changes in broker recommendations weekly from over 200 brokerage firms, produced by more than 3,500 analysts. As one of the top market data and proprietary investment model providers, Zacks clients include some of the most widely known institutions in the financial industry.