Invesco PowerShares Capital Management LLC, a leading provider of exchange-traded funds (ETFs) with more than $52 billion in franchise assets, today announced the five-year anniversary of the PowerShares FTSE RAFI US 1500 Small-Mid Portfolio (NASDAQ: PRFZ).

The PowerShares FTSE RAFI US 1500 Small-Mid Portfolio is part of the first retail suite of investment products to provide investors access to the passive Research Affiliates® Fundamental Index (RAFI®) methodology. This award-winning index methodology uses four fundamental measures of company size: book value, cash flow, sales and dividends, to select and weight index constituents. By using four fundamental factors rather than one, the RAFI methodology is thought to be a more robust means of capturing a company's true economic footprint.

Since inception, the PowerShares FTSE RAFI US 1500 Small-Mid Portfolio has outperformed its market-cap-weighted benchmarks, the Russell 2000 and S&P 600 Indexes. For the five-year period ending Sept. 30, 2011, PRFZ achieved a cumulative total return of 9.11% based on NAV, significantly outperforming the S&P 600 Index which had a total cumulative return of 1.34%. The Russell 2000 Index gained 4.98%, and the Russell 2000 Value Index had a cumulative total return of -14.47% over the same five-year period. (Source: Bloomberg)

"We are pleased to celebrate the five-year milestone for the PowerShares FTSE RAFI US 1500 Small-Mid Portfolio (PRFZ), which has delivered on its goal of providing investors improved risk-adjusted returns compared to cap-weighted benchmarks," said Ben Fulton, Invesco PowerShares managing director of global ETFs. "PRFZ along with its US large-cap complement, the PowerShares FTSE RAFI US 1000 Portfolio (PRF) have both established a five-year track record demonstrating the effectiveness the RAFI Fundamental Index methodology over varying market cycles."

"Invesco PowerShares currently offers 15 equity and two fixed-income ETFs based on the RAFI Fundamental Index methodology. We believe the PowerShares ETFs based on this methodology represent an attractive alternative to cap-weighted portfolios," added John Feyerer, head of product strategy & research at Invesco PowerShares.

"The Fundamental Index methodology works best in less efficient markets, such as small to mid-size stocks," said Rob Arnott, chairman and CEO of Research Affiliates, LLC. "Cap-weighted passive approaches can incur a return drag from overweighting overvalued stocks and underweighting undervalued securities. The RAFI approach provides a potential solution to this systemic problem."

PowerShares Fundamental Weighted ETFs with a Three-Year Track Record:

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As of 9.30.11                                                   Inception
Name                                                Ticker         Date
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PowerShares FTSE RAFI US 1000                        PRF          12/19/2005
Russell 1000 Index
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PowerShares FTSE RAFI 1500 Small-Mid                 PRFZ         09/20/2006
Russell 2000 Index
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PowerShares FTSE RAFI Emerging Markets               PXH          09/27/2007
MSCI Emerging Markets Index
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PowerShares FTSE RAFI Dev Mkts ex-US                 PXF          06/25/2007
MSCI EAFE Index
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PowerShares FTSE RAFI Dev Mrkts ex-US S/M            PDN          09/27/2007
MSCI EAFE Small Cap Index
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PowerShares FTSE RAFI Asia Pacific ex-Jp             PAF          06/25/2007
MSCI Pacific ex-Japan Index
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                                 Since
                               Inception
                               Annualized                    Since Inception
                              Performance  Since Inception      Risk Adj.
    Lipper Classification        at NAV     Lipper Rank(1)      Return(2)
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 Large-Cap Core Funds             1.42%           14%              0.08
                                  0.41%      (104 of 776)          0.03
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 Small-Cap Core Funds             1.58%           19%              0.07
                                 -1.24%       (99 of 529)         -0.04
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 Emerging Markets Funds          -5.23%           26%             -0.17
                                 -5.32%       (59 of 234)         -0.17
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 International Large-Cap
 Core                            -8.14%           43%             -0.31
                                 -8.30%      (116 of 272)         -0.36
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 International Small/Mid-Cap
 Core                            -2.47%           3%              -0.10
                                 -6.52%        (1 of 36)          -0.24
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 Pacific Ex Japan Funds           0.34%           28%              0.01
                                 -2.19%       (10 of 35)          -0.07
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Sources: Bloomberg and Lipper, as of September 30, 2011. Past performance does not guarantee future results. 1 Since Inception Lipper Rank begins the month-end date of the ETF's inception month. Lipper fund percentile rankings are based on total returns, excluding sales charges and including fees and expenses, and are versus all funds in the category tracked by Lipper. 2 Risk adjusted return calculated by dividing annualized return by the standard deviation of returns. An investor cannot invest directly in an index.

As of September 30, 2011

                      ------------------------------------------------------
                                           Annualized Return (%)
                              ----------------------------------------------
----------------------                   NAV              After Tax Held
PowerShares FTSE RAFI  Exp.   ----------------------------------------------
Portfolio              Ratio   1 Yr    5 Yr   Incept. 1 Yr    5 Yr   Incept.
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U.S. 1000              0.39%   -0.76% -0.31%   1.42%  -1.44% -0.92%   0.83%
U.S. 1500 Small-Mid    0.39%   -4.73%  1.76%   1.58%  -5.06%  1.45%   1.28%
Emerging Markets       0.85%  -17.00%         -5.23% -17.63%         -5.74%
Developed Markets ex-
U.S.                   0.75%  -13.39%         -8.14% -14.35%         -8.79%
Developed Markets ex-
U.S. S/M               0.75%   -3.35%         -2.47%  -4.25%         -3.16%
Asia Pacific ex-Japan  0.80%  -10.35%          0.34% -11.14%         -0.81%
----------------------------------------------------------------------------


----------------------------------------------
             Annualized Return (%)
----------------------------------------------
     After Tax Sold           Share Price
----------------------------------------------
 1 Yr    5 Yr   Incept. 1 Yr    5 Yr   Incept.
----------------------------------------------
  -0.44% -0.61%   0.87%  -0.66% -0.32%   1.48%
  -3.04%  1.32%   1.17%  -4.77%  1.76%   1.56%
 -10.97%         -4.66% -19.06%         -6.24%
  -8.59%         -7.08% -13.90%         -8.24%
  -2.11%         -2.47%  -5.04%         -3.24%
  -6.63%         -0.37% -12.30%         -0.05%
----------------------------------------------

Performance data quoted represents past performance. As stated in each Fund's prospectus, expense ratios are expressed as a unitary fee to cover expenses incurred in connection with managing the portfolios. *The PowerShares FTSE RAFI US 1000 and US 1500 Small-Mid Portfolios have gross expense ratios of 0.44% and 0.46%, respectively. However, the Adviser has contractually agreed to waive fees and/or pay certain Fund expenses which resulted in the total net operating expense of 0.39% for each fund. These waivers and reimbursement contracts extend through at least Aug. 31, 2012. Past performance is not a guarantee of future results; current performance may be higher or lower than performance quoted. Investment returns and principal value will fluctuate and Shares, when redeemed, may be worth more or less than their original cost. The Shares' performance reflects fee waivers, absent which performance would have been lower. See invescopowershares.com to find the most recent month-end performance numbers. After Tax Held represents total return after taxes on distributions and assumes Shares have not been sold. After Tax Sold represents total return after taxes on distributions and the sale of Fund Shares. After-tax returns reflect the highest federal income tax rate but exclude state and local taxes. Market returns are based on the midpoint of the bid/ask spread at 4 p.m. ET and do not represent the returns an investor would receive if shares were traded at other times.

The PowerShares FTSE RAFI US 1500 Small-Mid Portfolio is based on the FTSE RAFI US 1500 Small-Mid Index. The Fund will normally invest at least 90% of its total assets in common stocks that comprise the Index. The Index is designed to track the performance of small and medium-sized U.S. companies. Companies are selected based on the following four fundamental measures of size: book value, cash flow, sales and dividends. Each of the equities with a fundamental weight ranking of 1,001 to 2,500 is then selected and assigned a weight equal to its fundamental weight. The fundamentally weighted portfolio is rebalanced and reconstituted annually.

Research Affiliates, LLC, a global leader in innovative investing and asset allocation strategies, operates worldwide from its base in Newport Beach, California. Dedicated to solving complex investment issues, the firm creates innovative strategies that respond to the current needs of the market. Leveraging its strong research focus, Research Affiliates distributes investment products in partnership with some of the world's leading financial institutions. The firm, founded in 2002 by Robert D. Arnott, a renowned innovator in investment theory and practice, is majority employee-owned and employs a team of more than 50 employees. As of August 31, 2011, approximately $48 billion in assets are managed worldwide using investment strategies developed by Research Affiliates.

Research Affiliates won the Global Pensions Award for Investment Strategy Index Provider of the Year for the RAFI methodology in 2009 and 2010.

Invesco PowerShares Capital Management LLC is Leading the Intelligent ETF Revolution® through its family of more than 140 domestic and international exchange-traded funds, which seek to outperform traditional benchmark indexes while providing advisors and investors access to an innovative array of focused investment opportunities. With franchise assets over $52 billion as of September 30, 2011, PowerShares ETFs trade on both U.S. stock exchanges. For more information, please visit us at invescopowershares.com or follow us on Twitter @PowerShares.

Invesco is a leading independent global investment manager, dedicated to helping investors worldwide achieve their financial objectives. By delivering the combined power of our distinctive investment management capabilities, Invesco provides a wide range of investment strategies and vehicles to our retail, institutional and high net worth clients around the world. Operating in more than 20 countries, the company is 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 risks similar to those of stocks, including those regarding short selling and margin maintenance requirements. Ordinary brokerage commissions apply. The Fund's return may not match the return of the Underlying Index.

The MSCI Emerging Markets Index(SM) is an unmanaged index considered representative of stocks of developing countries.

The MSCI EAFE® Index is an unmanaged index considered representative of stocks of Europe, Australasia and the Far East.

The MSCI Small Cap Index is an unmanaged index considered representative of small-cap stocks.

The MSCI Pacific Ex-Japan Index is an unmanaged index considered representative of stocks of Australia, Hong Kong, New Zealand, and Singapore.

Sector/Industry Disclosure Investments focused in a particular industry and sectors are subject to greater risk, and are more greatly impacted by market volatility, than more diversified investments.

PRF and PRFZ Investing in securities of small and medium-sized companies may involve greater risk than is customarily associated with investing in large companies.

PXH The Fund may contain securities in the energy, financial services and basic materials sectors. Companies engaged in these sectors are subject to greater risks, and are more greatly impacted by market volatility, than more diversified investments.

Foreign securities have additional risks, including exchange-rate changes, decreased market liquidity, potential instability and taxation by foreign governments.

Investment in securities in emerging market countries involves risks not associated with investments in securities in developed countries.

The Fund's use of a representative sampling approach will result in its holding a smaller number of securities than are in the underlying Index, and may be subject to greater volatility.

Investing in securities of medium capitalization companies may involve greater risk than is customarily associated with investing in large companies.

Returns on investments in securities of large U.S. companies could trail the returns on investments in stocks of smaller companies.

The Fund is considered non-diversified and may be subject to greater risks than a diversified fund.

PXF Investing in securities of medium capitalization companies may involve greater risk than is customarily associated with investing in large companies.

The Fund may contain securities in the financial services sector. Companies engaged in these sectors are subject to greater risks, and are more greatly impacted by market volatility, than more diversified investments. Returns on investments in securities of large U.S. companies could trail the returns on investments in stocks of smaller companies.

Foreign securities have additional risks, including exchange-rate changes, decreased market liquidity, potential instability and taxation by foreign governments.

PDN The Fund may contain securities in the industrials, financial services and consumer discretionary sectors. Companies engaged in these sectors are subject to greater risks, and are more greatly impacted by market volatility, than more diversified investments.

The Fund's use of a representative sampling approach will result in its holding a smaller number of securities than are in the underlying Index, and may be subject to greater volatility.

Investing in securities of small and medium-sized companies may involve greater risk than is customarily associated with investing in large companies.

The Fund is considered non-diversified and may be subject to greater risks than a diversified fund.

Foreign securities have additional risks, including exchange-rate changes, decreased market liquidity, potential instability and taxation by foreign governments.

PAF Investment in securities in emerging market countries involves risks not associated with investments in securities in developed countries.

Foreign securities have additional risks, including exchange-rate changes, decreased market liquidity, potential instability and taxation by foreign governments.

The economies of the countries in the Asia Pacific region are largely intertwined, if an economic recession is experienced by any of these countries, it will likely adversely impact the economic performance of other countries in the region.

Investing in securities of medium capitalization companies may involve greater risk than is customarily associated with investing in large companies.

Returns on investments in securities of large U.S. companies could trail the returns on investments in stocks of smaller companies. The Fund may contain securities in the financial services sector. Companies engaged in these sectors are subject to greater risks, and are more greatly impacted by market volatility, than more diversified investments.

The Fund is considered non-diversified and may be subject to greater risks than a diversified fund.

Not FDIC Insured | May Lose Value | No Bank Guarantee

PowerShares® is a registered trademark of Invesco PowerShares Capital Management LLC (Invesco PowerShares). Invesco PowerShares Capital Management LLC and Invesco Distributors, Inc. are indirect, wholly owned subsidiaries of Invesco Ltd.

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 50,000 Shares.

Invesco Distributors, Inc. is the distributor of the PowerShares Exchange-Traded Fund Trust and the PowerShares Exchange-Traded Fund Trust II.

The trade names Fundamental Index®, RAFI®, the RAFI logo, and the Research Affiliates corporate name and logo are registered trademarks and are the exclusive property of Research Affiliates, LLC. Fundamental Index® concept, the non-capitalization method for creating and weighting of an index of securities, is the patented and patent-pending proprietary intellectual property of Research Affiliates, LLC.

The S&P SmallCap 600 Index is a market-value weighted index that consists of 600 small-cap U.S. stocks chosen for market size, liquidity and industry group representation. The Russell 2000® Index is an unmanaged index considered representative of small-cap stocks. The Russell 2000 Index is a trademark/service mark of the Frank Russell Co. Russell® is a trademark of the Frank Russell Co.

An investor should consider the Funds' investment objectives, risks, charges and expenses. For this and more complete information about the Funds, call 800 983 0903 or visit invescopowershares.com for a prospectus. Please read the prospectus carefully before investing.

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Media Contacts: Kristin Sadlon Porter Novelli 212-601-8192 Email Contact Bill Conboy 303-415-2290 Email Contact

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