Tommy DWA TL Webinar Oct

1

Dorsey, Wright &Associates

DWATechnical Leaders Indexes Presentation

Call will Start at 12:30 pm EDT

The best way to hear this call isthrough your computer

To ask a Question,use the Chat or Q&A Function

A replay of this call along with a copyof the slides will be e-mailed to you

in a couple of days.

Tammy DeRosierExecutive Vice President

[email protected]

John LewisVice President,

Portfolio Manager

[email protected] 2

Tom DorseyPresident, Founder

[email protected]

Dorsey, Wright &Associates

DWATechnical Leaders Indexes Presentation

Then …. 2008

Now …. 2013

6Copyright © 1995-2013Dorsey, Wright & Associates, LLC.® For Financial Professional Use Only. Not For Use With The Public.

Current D.A.L.I. Process

Determine Allocation toeach Asset Class throughRelative Strength Analysis

DomesticEquity Intl. Equity Commodity Fixed Income Currency Cash

1990s

2000s

2010 - 2013

76%

4%

84%

16%

51%

10%

2%

33%

5%

2%

4%

0%

4%

6%

0%

0%

3%

0%

Copyright © 1995-2013 Dorsey, Wright & Associates, LLC.® ForFinancial Professional Use Only. Not For Use With The Public.

Domestic Equities: Back at the Top

Percent of Time Asset Class Was Ranked in the #1 Spot of D.A.L.I.

197919801981198219831984198519861987

Russell 2000 Index(RUT)

37.98%33.79%-1.51%20.67%26.29%-9.60%27.96%3.95%

-10.80%

S&P 500 Index(SPX)

12.31%25.77%-9.73%14.76%17.27%1.40%

26.33%14.62%2.03%

The performance numbers above are pure price returns, not inclusive of dividends,fees, or other expenses.Past performance not indicative of future results. Potential

for profits accompanied by possibly of loss.

Small Caps vs. Large CapsEarly 1980’s

Russell 2000 Index (RUT)Vs.

S&P 500 Index (SPX)

Russell 2000 (RUT) favored fromJanuary 1979 to December 1984

S&P 500 (SPX) favored fromDecember 1984 to July 1988

PowerShares DWA Small CapMomentum Portfolio (DWAS)

DWAS vs. SPX

Small Caps….Still Gaining Strength

201120122013

PowerShares DWASmall Cap

MomentumPortfolio (DWAS)

-1.03%12.77%39.37%

* Thru 9/30/13

S&P 500 Index(SPX)

0.00%13.41%17.91%

The performance numbers above are pure price returns, not inclusive ofdividends, fees, or other expenses.Past performance not indicative of future

results. Potential for profits accompanied by possibly of loss.


PowerShares DWA Small CapMomentum Portfolio (DWAS)

The performance numbers above are pure price returns, not inclusive of dividends, fees, or other expenses.Past performance not indicative of future results. Potentialfor profits accompanied by possibly of loss.


InceptionDate

7/19/12

Return Data thru 9/30/13

PowerShares DWA Small Cap Technical Leaders Index (DWAS)iShares Russell 2000 Index (IWM)

YTD2013

39.37%26.28%

3 Yr Roll

84.00%57.75%

5 Yr Roll

100.31%56.59%

AUM a/o 10/11/13: $435 million

SWYKR

SPX

7/21/11to9/17/13

44.34%61.23%

26.86%

DWA Relative Strength



Universe of Over 1500Names

Relative Strength ArmWrestling Match

The Technical Leaders Index


Ranked Strongest toWeakest

Top 10 Holdings (100 Total)

MomentumETFs

PDP DWAS

PIE PIZ


PowerShares – DWAFamily of Momentum ETFs

US Equity Exposure• PowerShares DWA

MomentumPortfolio (PDP)

• PowerShares DWASmall CapMomentumPortfolio (DWAS)

Int’l Equity Exposure• PowerShares DWA

Developed MarketsMomentum Portfolio(PIZ)

• PowerShares DWAEmerging MarketsMomentum Portfolio(PIE)

The Power of Relative Strength

InceptionDate

12/28/07

Return Data thru 9/30/13PowerShares DWA Emerging Markets Technical Leaders Index (PIE)Vanguard MSCI Emerging Markets ETF (VWO)

YTD2013-2.64%-9.68%

3 Yr Roll

3.37%-11.53%

5 Yr Roll

32.41%16.04%

InceptionDate

12/28/07


PowerShares DWA Developed Markets Technical Leaders (PIZ)iShares MSCI EAFE Index (EFA)

YTD2013

24.38%12.24%

3 Yr Roll

24.69%16.21%

5 Yr Roll

53.63%13.36%


InceptionDate

7/19/12


PowerShares DWA Small Cap Technical Leaders Index (DWAS)iShares Russell 2000 Index (IWM)

YTD2013

39.37%26.28%

3 Yr Roll

84.00%57.75%

5 Yr Roll

100.31%56.59%



The performance numbers above are pure price returns, not inclusive of dividends, fees, or other expenses.Past performance not indicative of future results. Potentialfor profits accompanied by possibly of loss. 14


Return Data thru 9/30/13PowerShares DWA Technical Leaders (PDP)S&P 500 Index (SPX)iShares Russell 1000 Index (IWB)

YTD 201321.10%17.91%18.95%

1 Yr Roll22.72%16.72%18.46%

3 Yr Roll60.97%47.35%49.09%

5 Yr Roll74.10%44.17%48.13%



As of 10/4/13

As of 10/4/13

Q3 2013 Changes to the PDP

Apple (AAPL):Added Back to PDP in September 2013 Re-balance

AAPL Monthly Momentum

Apple Computer (AAPL)

Returns from 12/31/12 to9/30/13

Apple Computer (AAPL)

PowerShares DWA MomentumPortfolio (PDP)

-10.41%

21.10%

The performance numbers above are pure price returns, notinclusive of dividends, fees, or other expenses.Past performance not

indicative of future results. Potential for profits accompanied bypossibly of loss.

Copyright © 1995-2013 Dorsey, Wright &Associates, LLC.® For Financial Professional

Use Only. Not For Use With The Public.

17

Apple S-Curve:Technically “Back in the Game”



PDP Sector Breakdown


Trend Charts

PowerShares DWA US MomentumPortfolio (PDP)

SPDR S&P 500 ETF Trust(SPY)

Spot the Differences Game

PDP vs. SPX Sector WeightingsSource: www.alletf.com



PIE:Increasing China Exposure This Quarter

iShares FTSE Xinhua China Index(FXI)

vs.iShares Emerging Mkts ETF (EEM)

November 23, 2009

Copyright © 1995-2013 Dorsey, Wright &Associates, LLC.® For Financial Professional

Use Only. Not For Use With The Public.

France 2013 Q3 PIZ Weighting: 5.5%

iShares MSCI France (EWQ) v.iShares MSCI EAFE (EFA) RS Chart

France 2013 Q4 PIZ Weighting: 8.14%

PowerShares DWA DevelopedMarkets Momentum Portfolio (PIZ)

The performance numbers above are pure price returns, not inclusive of dividends, fees, orother expenses. Pastperformance not indicative of future results. Potential for profits

accompanied by possibly of loss.


Sept. 30th 2008 - Sept. 30th 2013ETF

iShares MSCI EAFE Index (EFA)

PowerShares DWA Developed MarketsTechnical Leaders (PIZ)

Return

13.36%

53.63%



Strategy:Combine Beta With Tactical

Scalability & Tactical Within the PIZ

iShares MSCI EAFE Index(EFA) 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0%

PowerShares DWADeveloped Markets Tech

Leaders (PIZ)0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Portfolio Return 13.36% 17.39% 21.41% 25.44% 29.47% 33.50% 37.52% 41.55% 45.58% 49.60% 53.63%

Anything above MoneyMarket will be purchased

in the portfolio

#1 Slot will receive 50% of theallocation, the remaining 50% will

be allocated equally to all the fundsranked Higher Than Money Market.


Strategy:Tactical Sleeve Exposure

Put PDP, PIE,PIZ, DWAS &Money Market Into a

Matrix

The performance numbers above are pure price returns, not inclusive of dividends, fees, or other expenses.Past performance not indicative of future results. PotentialSee the finalfor profits accompanied by possibly of loss. Prior to Model’s inception date, April 11th 2013, the returns shown are hypothetical back tested returns.

slide for important disclosures regarding hypothetical returns.


Global Technical Leaders Portfolio

50.00%

16.66%

16.66%

16.66%

DWAS

PDP

PIE

PIZ

Year2001

2002

2003

2004

2005

2006

2007

TechnicalLeaders

Portfolio3.33%

-3.50%

46.17%

12.93%

24.18%

37.21%

35.80%

S&P500-13.05%

-23.37%

26.38%

8.99%

3.00%

13.62%

3.53%

#ofPortfolioChanges

0

2

3

1

1

0

0

2008

2009

2010

2011

-19.84%37.38%

34.29%

-13.84%

-38.49%23.45%

12.78%

0.00%

8

4

104

4

22012 9.59%

thru 09/30/13 25.06%Cumulative

564.35%Return

13.41%

17.91%

27.34%

Seasonally Weak PeriodMay 1st – October 31st Portfolio

PDP 30%

70%

SPLV 70%

30%

Seasonally Strong PeriodNovember 1st – April 30th Portfolio

PDP 70%

30%

SPLV 30%

70%

Seasonality Switching withMomentum & Low Volatility

PowerShares DWA Technical Leaders (PDP) andPowerShares S&P Low Volatility (SPLV)

Seasonally Adjusted (PDPSPLVSEAS)


5 Year Rolling Returns(10/14/08 – 10/14/08)

SPX:PDPSPLV: (50/50)

PDPSPLVSEAS:

+ 71.36 %+ 88.73 %+ 101.87 %

27

SPX

PDP

SPLV

PDPSPLV

PDPSPLVSEAS

Seasonally StongNov '12 - Apr '13

13.13%

15.83%

14.48%

15.24%

15.43%

PowerShares DWA Technical Leaders (PDP) andPowerShares S&P Low Volatility (SPLV)

Seasonally Adjusted (PDPSPLVSEAS)

Seasonally WeakMay '13 -

Oct. 14th '13

7.05%

6.39%

-1.55%

2.38%

0.83%

YTD thru 10/14/13:

PDPSPLVSEAS: + 15.41 %PDPSPLV: + 17.72 %

SPX: + 19.19 %PDP: + 20.99 %SPLV: + 14.45 %

The performance numbers above are pure price returns, notinclusive of dividends, fees, or other expenses.Past

performance not indicative of future results. Potential forprofits accompanied by possibly of loss.

Copyright © 1995-2013 Dorsey, Wright &

Associates, LLC.® For Financial Professional UseOnly. Not For Use With The Public.

5 Year Rolling Returns(10/14/08 – 10/14/13)

28

SeasonallyStrong

Nov '12 - Apr '13


Oct. 14th '13

VWO

PIE

EELV

PIEEELV

PIEEELVSEAS

-3.06%

-10.22%

-3.01%

-6.79%

-5.17%

5.45%

20.30%

9.20%

14.76%

16.97%

VWO:PIEEELV:

(50/50)

PIEEELVSEAS:

YTDVWO: - 4.74 %

+ 45.92 %+ 76.62 %+ 84.84 %

PIEEELVSEAS: 4.26 %

PIEEELVSEAS Trend Chart

The performance numbers above are pure price returns, not inclusive ofdividends, fees, or other expenses.Past performance not indicative offuture results. Potential for profits accompanied by possibly of loss.


Taking it International:Momentum & Low Volatility

PowerShares DWA Emerging Mkts Technical Leaders (PIE) &PowerShares S&P Emerging Markets Low Volatility (EELV)

Symbol on DWA: PIEEELVSEAS

Monthly Momentum

29

SeasonallyStrong Nov '12 -

Apr '13


Oct. 14th '13

EFA

PIZ

IDLV

PIZIDLV

PIZIDLVSEAS

15.61%

12.95%

14.20%

13.60%

13.32%

4.39%

12.47%

-3.08%

4.55%

1.58%

5 Year Rolling Returns(10/14/08 – 10/14/13

)

EFA:PIZIDLV:

(50/50)

PIZIDLVSEAS:

YTDEFA: 13.72%

+ 34.48 %+ 60.93 %+ 63.45 %

PIZIDLVSEAS: 12.04%

PowerShares DWA Developed Mkts Technical Leaders (PIZ) &PowerShares S&P Developed Markets Low Volatility (IDLV)

Symbol on DWA: PIZIDLVSEAS

World Positive Trend Chart (PTWORLD)

The performance numbers above are pure price returns, not inclusive of dividends,fees, or other expenses.Past performance not indicative of future results. Potential

for profits accompanied by possibly of loss.

Copyright © 1995-2013 Dorsey, Wright & Associates, LLC.® For Financial

Professional Use Only. Not For Use With The Public.

3030

Portfolio(PDP)3/1/07

TechnicalLeaders

ETFs

EmergingMarkets

MomentumPortfolio(PIE)

12/28/07

DevelopedMarkets

MomentumPortfolio(PIZ)

12/28/07

Small CapMomentum

Portfolio(DWAS)7/19/12

Question & Answer

PowerSharesDWA

Momentum


800.983.0903

Dorsey, Wright & Associates:

www.dorseywright.com804 .320.8511

Invesco PowerShares:

www.invescopowershares.com

The hypothetical returns of strategies discussed use the returns of other indices. The hypothetical returns have been developed and tested by Dorsey, Wright & Associates ("DWA"), but havenot been verified by any third party and are unaudited. The performance of the strategy was achieved by means of retroactive application of a model designed with hindsight. For thehypothetical strategy, returns do not present actual trading or reflect the impact that material economic and market factors might have had on the advisor's decision-making under actualcircumstances. The volatility of the strategy may be different than the volatility of the S&P 500 index. DWA does not endorse the selections or percentages for the model testing which is atthe sole discretion of the advisor.

Actual performance of an account following this strategy may differ from the performance of the hypothetical portfolio for the following reasons: the Account may not be fully invested at alltimes; not all stocks / ETFs / mutual funds in the Account may be weighted equally at all times due to appreciation or depreciation in value; or in managing the Accounts, and the advisormay make modifications to the Strategy that is outlined in the testing criteria.

The returns of the strategies do not include dividends for stocks or ETFs but do account for distributions in mutual funds. Returns of the strategies do not include any fees or transaction costs.Past performance, hypothetical or actual, does not guarantee future results. In all securities trading there is a potential for loss as well as profit. It should not be assumed that recommendationsmade in the future will be profitable or will equal the performance as shown. Investors should have long-term financial objectives.

The information contained herein has been prepared without regard to any particular investor’s investment objectives, financial situation, and needs. Accordingly, investors should not act on anyrecommendation (express or implied) or information in this material without obtaining specific advice from their financial advisors and should not rely on information herein as the primary basisfor their investment decisions. Information contained herein is based on data obtained from recognized statistical services, issuer reports or communications, or other sources believed to bereliable (“information providers”). However, such information has not been verified by Dorsey, Wright & Associates, LLC (DWA) or the information provider and DWA and the informationproviders make no representations or warranties or take any responsibility as to the accuracy or completeness of any recommendation or information contained herein. DWA and the informationprovider accept no liability to the recipient whatsoever whether in contract, in tort, for negligence, or otherwise for any direct, indirect, consequential, or special loss of any kind arising out of theuse of this document or its contents or of the recipient relying on any such recommendation or information (except insofar as any statutory liability cannot be excluded). Any statementsnonfactual in nature constitute only current opinions, which are subject to change without notice. Neither the information nor any opinion expressed shall constitute an offer to sell or asolicitation or an offer to buy any securities, commodities or exchange traded products. This document does not purport to be complete description of the securities or commodities, markets ordevelopments to which reference is made.

Past performance is not indicative of future results. Potential for profits is accompanied by possibility of loss. You should consider this strategy’s investment objectives, risks, charges andexpenses before investing. The examples and information presented do not take into consideration commissions, tax implications, or other transaction costs.

Each investor should carefully consider the investment objectives, risks and expenses of any Exchange-Traded Fund ("ETF") prior to investing. Before investing in an ETF investors should obtainand carefully read the relevant prospectus and documents the issuer has filed with the SEC. ETF's may result in the layering of fees as ETF's impose their own advisory and other fees. To obtainmore complete information about the product the documents are publicly available for free via EDGAR on the SEC website (http://www.sec.gov).

The Dorsey Wright SmallCap Technical Leaders Index is calculated by Dow Jones, the marketing name and a licensed trademark of CME Group Index Services LLC (“CME Indexes”). “DowJones Indexes” is a service mark of Dow Jones Trademark Holdings LLC (“Dow Jones”).

Products based on the Dorsey Wright SmallCap Technical Leaders IndexSM, are not sponsored, endorsed, sold or promoted by CME Indexes, Dow Jones and their respective affiliates make norepresentation regarding the advisability of investing in such product(s).

31Copyright © 1995-2013 Dorsey, Wright & Associates, LLC.® For Financial Professional Use Only. Not For Use With The Public.

Disclosures

Tommy DWA TL Webinar Oct

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