PJF Powershares Dynamic Large Cap Portfolio

Invesco PowerShares, a leading provider of exchange-traded funds (ETFs), announced the PowerShares Build America Bond Portfolio began trading today on the NYSE Arca under the ticker symbol BAB. The portfolio is the first ETF designed to provide investors access to the Build America Bond program developed as part of the federal stimulus plan enacted in February 2009.

"With more than $48 billion in Build America Bonds being issued thus far, we have seen a great deal of interest in the program; however, retail investors for the most part have had limited access to this important market," said Ben Fulton, executive vice president -- global product development of Invesco PowerShares. "We believe the PowerShares Build America Bond Portfolio provides a convenient, cost effective way to invest in taxable, investment grade municipal bonds, which tend to have yields commensurate with similarly rated corporate bonds. Furthermore, we believe the fund will bring much-needed liquidity to a market that will be pivotal in the rebuilding of America's infrastructure." Since 1997, 10-year AAA-rated taxable municipal bonds have, on average, yielded just five basis points less than 10-year AAA-rated corporate bonds.(1)

The PowerShares Build America Bond Portfolio is based on the BofA Merrill Lynch Build America Bond Index. The Fund will normally invest at least 80% of its total assets in the securities that comprise the index. The index is designed to track the performance of U.S. dollar-denominated investment grade taxable municipal debt publicly issued under the Build America Bond program in the U.S. domestic market.

Qualifying securities must have an investment grade rating, a fixed coupon schedule and a minimum amount outstanding of $1 million. In addition, qualifying securities must be "direct pay" (i.e., a direct federal subsidy is paid to the issuer). Securities included in the index are capitalization-weighted based on their current amount outstanding, and the index is rebalanced on a monthly basis.

The Build America Bond program was created under the American Recovery and Reinvestment Act of 2009, which provides for the issuance of taxable municipal securities on which the issuer receives federal support of the interest paid. Unlike most other municipal obligations, interest received on Build America Bonds is subject to federal income tax. Issuers of "direct pay" Build America Bonds (i.e., taxable municipal bonds issued to provide funds for qualified capital expenditures) are entitled to receive payments from the U.S. Treasury over the life of the bond equal to 35% (or 45% in the case of Recovery Zone Economic Development Bonds) of the interest paid. The federal interest subsidy continues for the life of the bonds.

Build America Bonds offer an alternative form of financing to state and local governments whose primary means for accessing the capital markets has been through issuance of tax-free municipal bonds. Issuance of Build America Bonds will cease on Dec. 31, 2010, unless the relevant provisions of the American Recovery and Reinvestment Act of 2009 are extended. In the event that the Build America Bond program is not extended, the portfolio anticipates changing its investment strategy to invest in an index composed of taxable municipal securities.

Invesco PowerShares Capital Management LLC is leading the intelligent ETF revolution® through its family of more than 110 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 of $41 billion as of Sept. 30, 2009, PowerShares ETFs trade on both U.S. stock exchanges. For more information, please visit us at www.invescopowershares.com.

Invesco PowerShares is a wholly owned subsidiary of Invesco Ltd., a leading independent global investment management firm dedicated to helping people worldwide build their financial security. 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 firm is listed on the New York Stock Exchange under the symbol "IVZ." Additional information is available at www.invesco.com.

(1) Source: BofA Merrill Lynch, Bloomberg, as of Oct. 19, 2009

There are risks involved with investing in ETFs including possible loss of money. The Fund is not actively managed. Ordinary brokerage commissions apply.

Invesco PowerShares does not offer tax advice. Please consult a tax advisor for advice regarding your specific situation.

The credit quality of the Fund's holdings represents the weighted average quality rating of the securities in the portfolio as assigned by Nationally Recognized Statistical Rating Organizations based on assessment of the credit worthiness of the underlying securities. The ratings range from AAA (highest) to D (lowest).

While it is not Invesco PowerShares' intention, there is no guarantee that the Funds will not distribute capital gains to their shareholders. Although we do not intend to distribute capital gains, investors selling shares in the market may incur capital gains. Investors should consult their tax advisors regarding their own tax situations.

Municipal securities are subject to the risk that litigation, legislation or other political events, local business or economic conditions or the bankruptcy of the issuer could have a significant effect on an issuer's ability to make payments of principal and/or interest. Municipal securities can be significantly affected by political changes as well as uncertainties in the municipal market related to taxation, legislative changes or the rights of municipal security holders. Because many securities are issued to finance similar projects, especially those relating to education, health care, transportation and utilities, conditions in those sectors can affect the overall municipal market. In addition, changes in the financial condition of an individual municipal insurer can affect the overall municipal market.

There is no guarantee that municipalities will continue to take advantage of the Build America Bond (BAB) program in the future and there can be no assurance that BABs will be actively traded. Furthermore, under the American Recovery and Reinvestment Act of 2009, the ability of municipalities to issue BABs expires on Dec. 31, 2010. If the BAB program is not extended, the number of BABs available in the market will be limited. In addition, illiquidity of the BABs may negatively affect the value of the BABs.

Fixed-income securities are subject to interest rate risk and credit risk. Generally, the prices of fixed-income securities tend to fall as interest rates rise. To the extent the Fund invests a substantial portion of its assets in fixed-income securities with longer term maturities, rising interest rates may cause the value of the Fund's investments to decline significantly. If interest rates fall, it is possible that issuers of callable securities with high interest coupons will "call" (or prepay) their bonds before their maturity date. Credit risk refers to the possibility that the issuer of a security will be unable and/or unwilling to make timely interest payments and/or repay the principal on its debt, which may adversely affect the value of the security.

The Shares are subject to market fluctuations caused by such factors as economic, political, regulatory or market developments, changes in interest rates and perceived trends in securities prices.

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. As a result, an adverse development respecting an issuer of securities held by the Fund could result in a greater decline in NAV than would be the case if the Fund held all of the securities in the Underlying Index. To the extent the assets in the Fund are smaller, these risks will be greater.

The Fund is non-diversified and can invest a greater portion of its assets in securities of individual issuers than a diversified fund.

"BofA Merrill Lynch" and "The BofA Merrill Lynch Build America Bond Index(SM)" are reprinted with permission. © Copyright 2009 Merrill Lynch, Pierce, Fenner & Smith Incorporated ("BofA Merrill Lynch"). All rights reserved. "BofA Merrill Lynch" and "The BofA Merrill Lynch Build America Bond Index(SM)" are service marks of BofA Merrill Lynch and/or its affiliates and have been licensed for use for certain purposes by PowerShares on behalf of the PowerShares Build America Bond Portfolio that is based on the BofA Merrill Lynch Build America Bond Index(SM), and is not issued, sponsored, endorsed or promoted by BofA Merrill Lynch and/or BofA Merrill Lynch's affiliates nor is BofA Merrill Lynch and/or BofA Merrill Lynch's affiliates an adviser to the PowerShares Build America Bond Portfolio. BofA Merrill Lynch and BofA Merrill Lynch's affiliates make no representation, express or implied, regarding the advisability of investing in the PowerShares Build America Bond Portfolio or The BofA Merrill Lynch Build America Bond Index(SM) and do not guarantee the quality, accuracy or completeness of The BofA Merrill Lynch Build America Bond Index(SM), index values or any index related data included herein, provided herewith or derived therefrom and assume no liability in connection with their use. As the index provider, BofA Merrill Lynch is licensing certain trademarks, The BofA Merrill Lynch Build America Bond Index(SM) and trade names which are composed by BofA Merrill Lynch without regard to PowerShares, the PowerShares Build America Bond Portfolio or any investor. BofA Merrill Lynch and BofA Merrill Lynch's affiliates do not provide investment advice to PowerShares or the PowerShares Build America Bond Portfolio and are not responsible for the performance of the PowerShares Build America Bond Portfolio.

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

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.

Shares are not individually redeemable and owners of the Shares may acquire those Shares from the Fund and tender those Shares for redemption to the Fund in Creation Unit aggregations only, typically consisting of 50,000 Shares.

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

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