The PowerShares DWA NASDAQ Momentum Portfolio (Fund) is based on the Dorsey Wright® NASDAQ Technical Leaders Index (DWA NASDAQ Technical Leaders Index). The Fund will normally invest at least 90% of its total assets in common stocks that comprise the Index. The Index is chosen from a universe of approximately 1,000 common stocks having the largest market capitalizations from the NASDAQ US Benchmark Index. All securities in the universe are ranked using a proprietary relative strength (momentum) measure. Each securitys score is based on intermediate and long-term price movements relative to a representative market benchmark and the other eligible securities. The top 100 securities are selected for the Index. The Fund and the Index are rebalanced and reconstituted quarterly.