PowerShares Dynamic Consumer Discretionary Sector Portfolio (the Fund) seeks investment results that correspond to the equity index called the Dynamic Consumer Discretionary Sector Intellidex Index (the Index). The Fund will invest at least 90% of its total assets in common stocks that comprise the Index. The Index comprises stocks of 60 United States consumer companies. These are companies that are engaged in the businesses of providing consumer goods and services that are cyclical in nature, including retail, automotive, leisure and recreation, media and real estate. Stocks are selected principally on the basis of their capital appreciation potential as identified by New York Stock Exchange (NYSE) Arca (the Intellidex Provider). The Fund’s investment advisor is PowerShares Capital Management LLC.