Guide To ETF Providers: IndexIQ
  1. Guide To ETF Providers: Introduction
  2. Guide To ETF Providers: Direxion
  3. Guide To ETF Providers: EG Shares
  4. Guide To ETF Providers: ETF Securities
  5. Guide To ETF Providers: Guggenheim
  6. Guide To ETF Providers: IndexIQ
  7. Guide To ETF Providers: Invesco PowerShares
  8. Guide To ETF Providers: iShares
  9. Guide To ETF Providers: ProShares
  10. Guide To ETF Providers: State Street Global Advisors
  11. Guide To ETF Providers: Van Eck
  12. Guide To ETF Providers: Vanguard
  13. Guide To ETF Providers: WisdomTree
  14. Guide To ETF Providers: Conclusion

Guide To ETF Providers: IndexIQ

IndexIQ is an asset management firm founded in 2006. It offers both mutual funds and ETFs. IndexIQ was the first to offer hedge fund replication ETFs that cover popular ledge fund investment styles. For example, the IQ Hedge Multi-Strategy Tracker ETF (ARCA:QAI) attempts to replicate the risk-adjusted return characteristics of hedge funds using a variety of hedge fund investment styles such as long/short equity, global macro, market neutral, event-driven, fixed-income arbitrage and emerging markets.

In addition to hedge fund replication, IndexIQ offers a variety of Index constructions including alternatively weighted indexes, tactical rotation indexes and intangible asset value index strategies.

IndexIQ defines itself and is guided by its Rules-Based Alpha philosophy, which integrates traditional index investing with the alpha potential sought by active managers. The philosophy is based on three principles:

  • Democratizing alternatives – providing investors access to alternative investment products that are typically reserved for institutional and ultra-high net worth individuals;

  • Alpha/Beta separation – offering investors access to alpha and beta sources typically reserved for institutional investors and

  • Third-generation indexing – the combination of rules-based construction, low cost and tax efficiency of traditional index investing with the alpha potential that active managers seek.
IndexIQ is headquartered in Rye Brook, NY, and currently has 11 U.S. listed ETFs. ETF expense ratios range between 0.48 and 0.75%, with an average expense ratio of 0.71%.

IndexIQ\'s top five largest funds by AUM.
Figure 5: IndexIQ\'s top five largest funds by AUM. Information current as of Feb. 8, 2013.


Guide To ETF Providers: Invesco PowerShares

  1. Guide To ETF Providers: Introduction
  2. Guide To ETF Providers: Direxion
  3. Guide To ETF Providers: EG Shares
  4. Guide To ETF Providers: ETF Securities
  5. Guide To ETF Providers: Guggenheim
  6. Guide To ETF Providers: IndexIQ
  7. Guide To ETF Providers: Invesco PowerShares
  8. Guide To ETF Providers: iShares
  9. Guide To ETF Providers: ProShares
  10. Guide To ETF Providers: State Street Global Advisors
  11. Guide To ETF Providers: Van Eck
  12. Guide To ETF Providers: Vanguard
  13. Guide To ETF Providers: WisdomTree
  14. Guide To ETF Providers: Conclusion
RELATED TERMS
  1. Alpha

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  2. Hedge Fund

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  3. Index ETF

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  4. Tainted Alpha

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RELATED FAQS
  1. Should I invest in ETFs or index funds?

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  2. What's the difference between an index fund and an ETF?

    Learn about the difference between an index fund and an exchange-traded fund and how index fund investing compares to value ... Read Answer >>
  3. Can hedge fund returns be replicated?

    Read about how you can replicate hedge fund returns. No method is perfect, but it is possible to get similar returns on your ... Read Answer >>
  4. Can you invest in hedge funds?

    Read about what it takes to invest in a hedge fund, and learn how some investors find ways to indirectly capture a hedge ... Read Answer >>
  5. What is the Weighted Alpha formula and how is it calculated?

    Find out how investors and analysts calculate the weighted alpha of a stock's price by emphasizing recent price movements ... Read Answer >>
  6. Is alpha the best risk measure?

    Read about some of the strengths and weaknesses of alpha, a popular risk-adjusted performance indicator based on modern portfolio ... Read Answer >>

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