The PowerShares S&P International Developed High Quality Portfolio (Fund) is based on the S&P International Developed High Quality Rankings Index ND (Index). The Fund generally will invest at least 90% of its total assets in companies that are identified by the Index as high quality stocks based on historical records of earnings and dividends. The Index is computed using the net return, which withholds applicable taxes for non-resident investors. The Fund and the Index are rebalanced and reconstituted bi-annually, in January and July.