diff --git a/src/popover/docs/demo.html b/src/popover/docs/demo.html
index b0dd4243e6..b4fcc087f0 100644
--- a/src/popover/docs/demo.html
+++ b/src/popover/docs/demo.html
@@ -14,7 +14,7 @@ <h4>Dynamic</h4>
     </div>
     <button popover="{{dynamicPopover.content}}" popover-title="{{dynamicPopover.title}}" class="btn btn-default">Dynamic Popover</button>
 
-    <button popover-template="{{dynamicPopover.templateUrl}}" popover-title="{{dynamicPopover.title}}" class="btn btn-default">Popover With Template</button>
+    <button popover-template="dynamicPopover.templateUrl" popover-title="{{dynamicPopover.title}}" class="btn btn-default">Popover With Template</button>
 
     <script type="text/ng-template" id="myPopoverTemplate.html">
         <div>{{dynamicPopover.content}}</div>
diff --git a/src/popover/popover.js b/src/popover/popover.js
index a64737b68e..4252be877e 100644
--- a/src/popover/popover.js
+++ b/src/popover/popover.js
@@ -9,14 +9,16 @@ angular.module( 'ui.bootstrap.popover', [ 'ui.bootstrap.tooltip' ] )
   return {
     restrict: 'EA',
     replace: true,
-    scope: { title: '@', content: '@', placement: '@', animation: '&', isOpen: '&',
+    scope: { title: '@', contentExp: '&', placement: '@', animation: '&', isOpen: '&',
       originScope: '&' },
     templateUrl: 'template/popover/popover-template.html'
   };
 })
 
 .directive( 'popoverTemplate', [ '$tooltip', function ( $tooltip ) {
-  return $tooltip( 'popoverTemplate', 'popover', 'click' );
+  return $tooltip( 'popoverTemplate', 'popover', 'click', {
+    useContentExp: true
+  } );
 }])
 
 .directive( 'popoverPopup', function () {
diff --git a/src/popover/test/popover-template.spec.js b/src/popover/test/popover-template.spec.js
index cb504c28d9..1e74d31d5d 100644
--- a/src/popover/test/popover-template.spec.js
+++ b/src/popover/test/popover-template.spec.js
@@ -18,7 +18,7 @@ describe('popover template', function() {
 
   beforeEach(inject(function($rootScope, $compile) {
     elmBody = angular.element(
-      '<div><span popover-template="{{ templateUrl }}">Selector Text</span></div>'
+      '<div><span popover-template="templateUrl">Selector Text</span></div>'
     );
 
     scope = $rootScope;
@@ -62,5 +62,19 @@ describe('popover template', function() {
 
     expect( elmBody.children().eq(1).text().trim() ).toBe( 'new text' );
   }));
+
+  it('should hide popover when template becomes empty', inject(function ($timeout) {
+    elm.trigger( 'click' );
+    expect( tooltipScope.isOpen ).toBe( true );
+
+    scope.templateUrl = '';
+    scope.$digest();
+
+    expect( tooltipScope.isOpen ).toBe( false );
+
+    $timeout.flush();
+    expect( elmBody.children().length ).toBe( 1 );
+  }));
+
 });
 
diff --git a/src/tooltip/docs/demo.html b/src/tooltip/docs/demo.html
index 3072ec345c..4bb7f0adf9 100644
--- a/src/tooltip/docs/demo.html
+++ b/src/tooltip/docs/demo.html
@@ -20,7 +20,7 @@
       <a href="#" tooltip-animation="false" tooltip="I don't fade. :-(">fading</a>
       at elementum eu, facilisis sed odio morbi quis commodo odio. In cursus
       <a href="#" tooltip-popup-delay='1000' tooltip='appears with delay'>delayed</a> turpis massa tincidunt dui ut.
-      <a href="#" tooltip-template="myTooltipTemplate.html">Custom template</a>
+      <a href="#" tooltip-template="'myTooltipTemplate.html'">Custom template</a>
       nunc sed velit dignissim sodales ut eu sem integer vitae. Turpis egestas
     </p>
 
diff --git a/src/tooltip/test/tooltip-template.spec.js b/src/tooltip/test/tooltip-template.spec.js
index dab8d34863..190be308c7 100644
--- a/src/tooltip/test/tooltip-template.spec.js
+++ b/src/tooltip/test/tooltip-template.spec.js
@@ -17,7 +17,7 @@ describe('tooltip template', function() {
 
   beforeEach(inject(function($rootScope, $compile) {
     elmBody = angular.element(
-      '<div><span tooltip-template="{{ templateUrl }}">Selector Text</span></div>'
+      '<div><span tooltip-template="templateUrl">Selector Text</span></div>'
     );
 
     scope = $rootScope;
@@ -61,5 +61,19 @@ describe('tooltip template', function() {
 
     expect( elmBody.children().eq(1).text().trim() ).toBe( 'new text' );
   }));
+
+  it('should hide tooltip when template becomes empty', inject(function ($timeout) {
+    elm.trigger( 'mouseenter' );
+    expect( tooltipScope.isOpen ).toBe( true );
+
+    scope.templateUrl = '';
+    scope.$digest();
+
+    expect( tooltipScope.isOpen ).toBe( false );
+
+    $timeout.flush();
+    expect( elmBody.children().length ).toBe( 1 );
+  }));
+
 });
 
diff --git a/src/tooltip/test/tooltip.spec.js b/src/tooltip/test/tooltip.spec.js
index 23abe5d6ba..5245d032e0 100644
--- a/src/tooltip/test/tooltip.spec.js
+++ b/src/tooltip/test/tooltip.spec.js
@@ -528,6 +528,13 @@ describe( 'tooltipHtml', function() {
     expect( elmBody.find('.tooltip-inner').html() ).toBe( scope.html );
   }));
 
+  it( 'should not open if html is empty', function () {
+    scope.safeHtml = null;
+    scope.$digest();
+    elm.trigger( 'mouseenter' );
+    expect( tooltipScope.isOpen ).toBe( false );
+  });
+
   it( 'should show on mouseenter and hide on mouseleave', inject( function ($sce) {
     expect( tooltipScope.isOpen ).toBe( false );
 
diff --git a/src/tooltip/tooltip.js b/src/tooltip/tooltip.js
index 9189c70f4e..3f0522a8bd 100644
--- a/src/tooltip/tooltip.js
+++ b/src/tooltip/tooltip.js
@@ -14,7 +14,8 @@ angular.module( 'ui.bootstrap.tooltip', [ 'ui.bootstrap.position', 'ui.bootstrap
   var defaultOptions = {
     placement: 'top',
     animation: true,
-    popupDelay: 0
+    popupDelay: 0,
+    useContentExp: false
   };
 
   // Default hide triggers for each show trigger
@@ -65,8 +66,8 @@ angular.module( 'ui.bootstrap.tooltip', [ 'ui.bootstrap.position', 'ui.bootstrap
    * TODO support multiple triggers
    */
   this.$get = [ '$window', '$compile', '$timeout', '$document', '$position', '$interpolate', function ( $window, $compile, $timeout, $document, $position, $interpolate ) {
-    return function $tooltip ( type, prefix, defaultTriggerShow ) {
-      var options = angular.extend( {}, defaultOptions, globalOptions );
+    return function $tooltip ( type, prefix, defaultTriggerShow, options ) {
+      options = angular.extend( {}, defaultOptions, globalOptions, options );
 
       /**
        * Returns an object of show and hide triggers.
@@ -98,8 +99,9 @@ angular.module( 'ui.bootstrap.tooltip', [ 'ui.bootstrap.position', 'ui.bootstrap
       var template =
         '<div '+ directiveName +'-popup '+
           'title="'+startSym+'title'+endSym+'" '+
-          'content="'+startSym+'content'+endSym+'" '+
-          'content-exp="contentExp()" '+
+          (options.useContentExp ?
+            'content-exp="contentExp()" ' :
+            'content="'+startSym+'content'+endSym+'" ') +
           'placement="'+startSym+'placement'+endSym+'" '+
           'popup-class="'+startSym+'popupClass'+endSym+'" '+
           'animation="animation" '+
@@ -188,7 +190,7 @@ angular.module( 'ui.bootstrap.tooltip', [ 'ui.bootstrap.position', 'ui.bootstrap
               }
 
               // Don't show empty tooltips.
-              if ( ! ttScope.content ) {
+              if ( !(options.useContentExp ? ttScope.contentExp() : ttScope.content) ) {
                 return angular.noop;
               }
 
@@ -247,6 +249,14 @@ angular.module( 'ui.bootstrap.tooltip', [ 'ui.bootstrap.position', 'ui.bootstrap
               tooltipLinkedScope.$watch(function () {
                 $timeout(positionTooltip, 0, false);
               });
+
+              if (options.useContentExp) {
+                tooltipLinkedScope.$watch('contentExp()', function (val) {
+                  if (!val && ttScope.isOpen ) {
+                    hide();
+                  }
+                });
+              }
             }
 
             function removeTooltip() {
@@ -274,13 +284,15 @@ angular.module( 'ui.bootstrap.tooltip', [ 'ui.bootstrap.position', 'ui.bootstrap
             /**
              * Observe the relevant attributes.
              */
-            attrs.$observe( type, function ( val ) {
-              ttScope.content = val;
+            if (!options.useContentExp) {
+              attrs.$observe( type, function ( val ) {
+                ttScope.content = val;
 
-              if (!val && ttScope.isOpen ) {
-                hide();
-              }
-            });
+                if (!val && ttScope.isOpen ) {
+                  hide();
+                }
+              });
+            }
 
             attrs.$observe( 'disabled', function ( val ) {
               if (val && ttScope.isOpen ) {
@@ -466,14 +478,16 @@ function ($animate ,  $sce ,  $compile ,  $templateRequest) {
   return {
     restrict: 'EA',
     replace: true,
-    scope: { title: '@', content: '@', placement: '@', animation: '&', isOpen: '&',
+    scope: { title: '@', contentExp: '&', placement: '@', animation: '&', isOpen: '&',
       originScope: '&' },
     templateUrl: 'template/tooltip/tooltip-template-popup.html'
   };
 })
 
 .directive( 'tooltipTemplate', [ '$tooltip', function ( $tooltip ) {
-  return $tooltip( 'tooltipTemplate', 'tooltip', 'mouseenter' );
+  return $tooltip('tooltipTemplate', 'tooltip', 'mouseenter', {
+    useContentExp: true
+  });
 }])
 
 .directive( 'tooltipHtmlPopup', function () {
@@ -486,7 +500,9 @@ function ($animate ,  $sce ,  $compile ,  $templateRequest) {
 })
 
 .directive( 'tooltipHtml', [ '$tooltip', function ( $tooltip ) {
-  return $tooltip( 'tooltipHtml', 'tooltip', 'mouseenter' );
+  return $tooltip('tooltipHtml', 'tooltip', 'mouseenter', {
+    useContentExp: true
+  });
 }])
 
 /*
diff --git a/template/popover/popover-template.html b/template/popover/popover-template.html
index 2d133729ed..91c12e143d 100644
--- a/template/popover/popover-template.html
+++ b/template/popover/popover-template.html
@@ -7,7 +7,7 @@
   <div class="popover-inner">
       <h3 class="popover-title" ng-bind="title" ng-if="title"></h3>
       <div class="popover-content"
-        tooltip-template-transclude="content"
+        tooltip-template-transclude="contentExp()"
         tooltip-template-transclude-scope="originScope()"></div>
   </div>
 </div>
diff --git a/template/tooltip/tooltip-template-popup.html b/template/tooltip/tooltip-template-popup.html
index 04f4a7a759..ba4a9407e3 100644
--- a/template/tooltip/tooltip-template-popup.html
+++ b/template/tooltip/tooltip-template-popup.html
@@ -4,6 +4,6 @@
   ng-class="{ in: isOpen() }">
   <div class="tooltip-arrow"></div>
   <div class="tooltip-inner"
-    tooltip-template-transclude="content"
+    tooltip-template-transclude="contentExp()"
     tooltip-template-transclude-scope="originScope()"></div>
 </div>