Invesco PowerShares announced new, lower expense ratios for its lineup of FTSE RAFI ETFs. The FTSE RAFI ETFs provide an alternative to market-cap weighted portfolios since they are constructed using four fundamental measures to rank a company’s size: book value, cash flow, sales and dividends.
The action over the weekend resulted in Lehman Brothers (LEH) going into bankruptcy and Merrill Lynch(MER) selling itself to Bank of America (BAC).
The government bailout over the weekend of Fannie Mae and Freddie Machas resulted in huge losses today for shareholders of the two firms. As of mid-day Eastern, the common stock of both Fannie (FNM) and Freddie (FRE) are down over 80% as a result of the takeover.