NEW YORK--(BUSINESS WIRE)--IndexIQ, a New York Life Investments Company and a leading provider of innovative investment solutions, proudly announces that the IQ Merger Arbitrage ETF (MNA) has surpassed $1 billion in assets under management (AUM).
“When we launched MNA nearly a decade ago, we knew we were breaking new ground for ETF investors. To that point, there were no low cost, liquid, transparent means through which to add merger arbitrage exposure to a portfolio. That meant investors were missing the opportunity to add the risk mitigation and volatility dampening aspects that merger arb can provide,” said Sal Bruno, chief investment officer of IndexIQ.
“Merger arbitrage strategies have historically generated relatively stable returns, and global M&A activity remains robust. With global growth, Brexit and trade driving volatility into the markets, and in an uncertain interest rate environment, investors are looking for solutions to help them maintain market exposure while still managing downside participation.”
MNA joins IQ Hedge Multi-Strategy ETF (QAI), another IndexIQ ETF, as only the second liquid alternative ETF in the industry to have passed the $1 billion threshold.
“IndexIQ was founded with the belief that investment management needed to be democratized, allowing investors and advisors of all types to access institutional-quality strategies,” added Jon Zimmerman, chief operating officer of IndexIQ. “It was a radical idea at the time, but we’re proud of the response that our family of ETFs has generated over the past 10 years, and we’re just as excited to continue to bring innovative new approaches to the marketplace.”
MNA has recently been awarded the 2019 Mutual Fund and ETF Industry Award for the “Best Alternative ETF of the Year.”
MNA seeks to track, before fees and expenses, the performance of the IQ Merger Arbitrage Index. The Index seeks to achieve capital appreciation by investing in global companies for which there has been a public announcement of a takeover by an acquirer. This differentiated approach is based on a passive strategy of owning certain announced takeover targets, with the goal of generating returns that are representative of global merger arbitrage activity. The Index also includes short exposure to global equities as a partial equity market hedge.
IndexIQ, a New York Life Investments company, is a global provider of exchange-traded funds (ETFs), with a decade of offering highly differentiated and innovative long-term solutions to retail and institutional investors. Today, with assets under management of $4.1 billion, IndexIQ leverages the first-class asset management capabilities of New York Life Investments’ multi-boutique platform into its suite of offerings which include: fixed income, equities, alternatives and specialty asset classes.
* Fund Intelligence Mutual Fund and ETF Industry Award Methodology: Fund Intelligence’s mix of independent judges, including a range of investors such as ETF strategists, based their decisions on performance, product innovation and sales success through the year. Learn more at mutualfundindustryawards.com.
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New York Life Investments is a service mark and name under which New York Life Investment Management LLC does business. New York Life Investments, an indirect subsidiary of New York Life Insurance Company, located at 51 Madison Avenue, New York, New York 10010, provides investment advisory products and services. IndexIQ® is an indirect wholly owned subsidiary of New York Life Investment Management Holdings LLC and serves as the advisor to the IndexIQ ETFs. ALPS Distributors, Inc. (ALPS) is the principal underwriter of the ETFs. NYLIFE Distributors LLC is a distributor of the ETFs. NYLIFE Distributors LLC is located at 30 Hudson Street, Jersey City, NJ 07302. ALPS Distributors, Inc. is not affiliated with NYLIFE Distributors LLC. NYLIFE Distributors LLC is a Member FINRA/SIPC.