RevenueShares launched its first sector exchange-traded fund on Wednesday. Next week, it plans to come out with its first international portfolio. No specific date has been set for that release yet, according to the company.

Opening first is the RevenueShares Financials Sector Fund (NYSE: RWW). Along with the coming launch of an ETF focusing on leading revenue-producing foreign stocks—all of which are listed on U.S. exchanges as American depositary receipts—these new ETFs represent the fourth and fifth portfolios from the ETF provider.

RevenueShares focuses on index-based funds that select companies based on revenues as opposed to market-size capitalizations. For example, its existing RevenueShares Large Cap ETF (NYSE: RWL) competes against traditional market-cap-weighted funds such as the SPDR Trust (NYSE: SPY) and iShares S&P 500 Index (NYSE: IVV).

In terms of other ETFs taking alternative weighting approaches, the new RevenueShares will compete against the PowerShares FTSE RAFI Financials Sector Portfolio (NASDAQ: PRFF).

Another fund company known for its nontraditional style is WisdomTree. Until recently, its ETFs focused largely on dividend streams. But the indexing shop has come out with earnings-based funds as well.

The RevenueShares Financials Sector ETF will not only compete with PRFF, but takes aim at the Financial Select Sector SPDR (NYSE: XLF). It will track and rebalance the S&P 500 Financials Index, specifically. It also marks the first effort by the company to attract the attention of tactical investors.

Sean O'Hara, president of RevenueShares Investor Services, said RWW is to be the first of nine sector funds that the ETF company plans to introduce in the next few years.

Time To Reconsider Financials?

RWW was chosen as the debut sector investment because the company thinks it is an opportune time for investors to be considering the severely devalued Financials sector, according to O'Hara.

"There has been a massive repricing of the whole sector and from a long-term perspective, it is a good time to put money to work there," O'Hara said.

Energy and Technology ETFs are expected to be the next sectors covered by RevenueShares, with a revenue-themed energy clone to Energy Select Sector SPDR (NYSE: XLE) next on deck.

The ADR ETF will launch next week, and will be the third prong in the ETF sponsor's plan to build a complete ETF family: domestic equity, sector and international/global portfolios. O'Hara says the new introductions will allow the company to target strategic as well as tactical asset allocators.

What's more, O'Hara does not view revenue-based ETFs as necessarily a replacement for the market-cap approach, but as a complementary strategy to eke out incremental returns over time.

"We are trying to show people that if you take the two-pronged approach, the combination gives investors a higher return over time, with a slightly lower risk profile," O'Hara said.

In the past year-to-date and one-year periods, the three domestic RevenueShares indexes have trailed the market-cap benchmarks. The RevenueShares Large Cap Index was down 21.30% year-to-date, through Sept. 30, versus an S&P 500 return of -19.29%. It was down 24.65% in the past one year, through Sept. 30, versus -21.98 for the S&P. The same performance shortfall versus market-cap benchmarks is true for the company's mid-cap and small-cap indexes in the one-year and year-to-date periods, through Sept. 30.

In both the five- and 10-year periods through Sept. 30, the RevenueShares Large Cap Index had beaten the S&P 500 by 3 percentage points.

The prospectus for RWW, and all of the existing and planned RevenueShares ETFs, can be found here.