PowerShares Emerging Markets Sovereign Debt Portfolio (the Fund) seeks investment results that correspond generally to the price and yield of an index called the DB Emerging Market USD Liquid Balanced Index (the Index). The Index is a benchmark index that measures potential returns of a theoretical portfolio of liquid emerging markets United States dollar-denominated government bonds. Deutsche Bank Securities Inc. (the Index Provider) selects securities from approximately 17 emerging market countries that is denominated in United States dollars, is a sovereign bond, has more than three years to maturity and has an outstanding float of at least $500 million. The countries of the Index are selected annually and the membership list is rebalanced quarterly. The Fund’s investment advisor is Invesco PowerShares Capital Management LLC.