-- PQBW - PowerShares NASDAQ-100 BuyWrite Portfolio
-- PNQI - PowerShares Nasdaq Internet Portfolio
"The PowerShares NASDAQ-100 BuyWrite Portfolio provides a convenient, lower
cost way for investors to access a covered call strategy on the 100 largest
non-financial companies listed on the NASDAQ," said Bruce Bond, president
and CEO of Invesco PowerShares. "Investors may use this product to
complement the PowerShares QQQ™ in their portfolios.
"Additionally, the PowerShares Nasdaq Internet Portfolio represents one of
the broadest ETF internet funds available to investors, and delivers the
added benefits inherent to the ETF structure."
The PowerShares NASDAQ-100 BuyWrite Portfolio (PQBW) is based on the CBOE
NASDAQ-100 BuyWrite Index™. The Index measures the total rate of return
of an NASDAQ-100® covered call strategy, which consists of holding a
portfolio indexed to the NASDAQ-100, and selling a succession of one-month
at-the-money NASDAQ-100® call options. The CBOE NASDAQ-100 BuyWrite
Index™ assumes that call options are written on the third Friday of each
month, held until their expiration, and exercised options are settled in
cash.
The PowerShares Nasdaq Internet Portfolio (PNQI) is based on the NASDAQ
Internet Index. The Index is designed to track the performance of the
largest and most liquid U.S.-listed companies engaged in internet-related
businesses. The modified market capitalization index is rebalanced
quarterly, and includes internet software and services companies that are
involved in internet-related services, internet software, website services
and e-commerce.
Invesco PowerShares is leading the intelligent ETF revolution through its
family of more than 100 domestic, international and active exchange-traded
funds. With assets under management as of April 30, 2008 of $13.86 billion,
PowerShares ETFs trade on all of the major U.S. stock exchanges that trade
ETFs. For more information, please visit us at www.invescopowershares.com.
Invesco PowerShares is a part of Invesco Ltd., a leading independent global
investment management company dedicated to helping people worldwide build
their financial security. By delivering the combined power of its
distinctive worldwide investment management capabilities, including AIM,
Atlantic Trust, Invesco, Perpetual, PowerShares, Trimark, and WL Ross,
Invesco provides a comprehensive array of enduring investment solutions for
retail, institutional and high-net-worth clients around the world.
Operating in 20 countries, the company is currently listed on the New York
Stock Exchange under the symbol IVZ. Additional information is available at
www.invesco.com.
There are risks involved with investing in ETFs including possible loss of
money. Shares are not actively managed and are subject to risk similar to
stocks and covered call options, as well as those risks related to short
selling and margin maintenance.
Options strategies used by the fund may not be suitable for all investors.
Shares are not FDIC insured, may lose value and have no bank guarantee.
PowerShares NASDAQ-100 BuyWrite Portfolio Risk Information
There are additional risks involved in writing (selling) covered call
options on the stocks of the S&P 500 Index (Index). The Fund, by writing
covered call options on this Index, will give up the opportunity to benefit
from potential increases in the value of the index stocks above the
exercise prices of the options, but will continue to bear the risk of
declines in the value of the Index. The premiums received from the options
may not be sufficient to offset any losses sustained from the volatility of
the Index over time.
In addition, exchanges may suspend trading of options in volatile markets.
If trading is suspended, the Fund may be unable to write (sell) options at
times that may be desirable or advantageous for the Fund to do so. Trading
suspensions may limit the Fund's ability to achieve its investment
objectives. The Fund may be required to sell investments from its portfolio
to make cash settlement on (or transfer ownership of an Index stock to
physically settle) any options that are exercised. Such sales (or
transfers) may occur at inopportune times, and the Fund may incur
transaction costs that increase its expenses.
PowerShares NASDAQ Internet Portfolio Risk Information
The Fund is considered to be concentrated in the internet software and
services sector. This involves risks not associated with a more diversified
investment. These risks include, but are not limited to, the internet
software and services sector can be significantly affected by competitive
pressures, such as technological developments, fixed-rate pricing and the
ability to attract and retain skilled employees, and the success of
companies in the industry is subject to the continued demand for internet
services. For example, as product cycles shorten and manufacturing capacity
increases, these companies could become increasingly subject to aggressive
pricing, which hampers profitability. Profitability can also be affected by
changing domestic and international demand, research and development costs,
availability and price of components and product obsolescence.
Investing in securities of small and medium capitalization companies
involves greater risk than is customarily associated with investing in
larger, more established companies. These companies' securities may be more
volatile and less liquid than those of more established companies. These
securities may have returns that vary, sometimes significantly, from the
overall securities market. Often small and medium capitalization companies
and the industries in which they are focused are still evolving and this
may make them more sensitive to changing market conditions.
The Chicago Board Options Exchange is the index provider for the
PowerShares NASDAQ-100 BuyWrite Portfolio. CBOE is not affiliated with the
Trust, the Adviser or the Distributor. The Adviser has entered into a
license agreement with the Index Provider to use the Underlying Index. The
PowerShares NASDAQ-100 BuyWrite Portfolio is entitled to use its respective
Underlying Index pursuant to a sublicensing arrangement with the Adviser.
PowerShares® is a registered trademark of Invesco PowerShares Capital
Management LLC. Invesco PowerShares Capital Management LLC. And Invesco Aim
Distributors, Inc. are indirect, wholly owned subsidiaries of Invesco Ltd.
Invesco Aim Distributors, Inc. is the distributor of the PowerShares
Exchange-Traded Fund Trust.
The information in the prospectus is not complete and may be changed. The
portfolio may not sell its shares until the registration statement filed
with the Securities and Exchange Commission is effective. The prospectus is
not an offer to sell the portfolio shares, nor is the portfolio soliciting
an offer to buy its shares in any jurisdiction where the offer or sale is
not permitted.
An investor should consider the Fund's investment objectives, risks,
charges and expenses carefully before investing. For a copy of the
prospectus which contains this and other information about the Fund call
800.983.0903. Please read the prospectus carefully before investing.
Shares are not individually redeemable and owners of the shares may acquire
those shares from the Funds and tender those shares for redemption to the
Funds in Creation Unit aggregations only, typically consisting of 100,000
shares.
Contact Information: Media Contacts: Kristin Sadlon Porter Novelli 212-601-8192 Bill Conboy BC Capital Partners 303-415-2290