Fund Description: Invesco Fundamental High Yield® Corporate Bond ETF, formerly PowerShares Fundamental High Yield Corporate Bond Portfolio, formerly known as, PowerShares High Yield Corporate Bond Portfolio, is an exchange-traded index fund or Index ETF which is a separate investment portfolio of the Invesco Exchange-Traded Fund Trust II, formerly PowerShares Exchange-Traded Fund Trust II, an open-end investment management company. INVESTMENT OBJECTIVE: The Invesco Fundamental High Yield® Corporate Bond ETF seeks investment results that correspond, before fees and expenses, generally to the price and yield of the RAFI High Yield Bond Index. INDEX DESCRIPTION: The RAFI High Yield Bond Index measures potential returns of a theoretical portfolio of high yield corporate Moody’s or Standard & Poor’s, but not below B3/B- by either Moody’s or S&P. The Index is comprised of U.S. dollar-denominated bonds registered for sale in the United States whose issuers are public companies listed on major U.S. stock exchanges. Only securities with greater than one year to maturity qualify for inclusion in the Index. The Index is rebalanced at the end of every month and weighted according to a composite RAFI weight that is calculated for each eligible company. Composite RAFI weights are comprised of individual RAFI weights calculated for each company for each of the following four factors: book value of assets, gross sales, gross dividends and cash flow. Each company thereby receives a composite RAFI weight equal to the ratio of its sales (or cash flow, dividends or book value) to the aggregate sales (or cash flow, dividends or book value) across all companies in the sample. If a company does not pay any dividends, the composite calculation does not give it a zero weight on that metric, but rather computes its weight as an equally weighted average of the remaining three metrics. Companies that receive a negative composite weight are removed. The Index is divided into two distinct maturity cells: 1-5 years and 5-10 years. The largest issue per maturity cell per issuer is selected. If there is more than one issue with the same amount outstanding, then the most recent issue is selected. As a result, this Index will have up to two bonds per issuer selected. FUND STRATEGY: The Fund will normally invest at least 80% of its total assets in the securities that comprise the Index. The Fund, using an indexing investment approach, attempts to replicate, before fees and expenses, the performance of the Index. The Fund generally invests in all of the securities comprising the Index in proportion to their weightings in the Index. However, under various circumstances, it may not be possible or practicable to purchase all of those securities in those weightings. In those circumstances, the Fund may purchase a sample of securities in the Index. Sampling involves the use of quantitative analysis to select securities from the Index to obtain a representative sample of municipal securities that have in the aggregate investment characteristics similar to the Index based on such factors as duration, maturity, credit quality, yield and coupon. Generally it is expected that the Fund will hold less than the total number of securities in the Index but reserves the right to hold as many securities as it believes necessary to achieve the Fund's investment objective. FUND MANAGEMENT: Invesco Capital Management LLC serves as the investment adviser to the Fund.