IndexIQ Announces Zero Capital Gain Distributions Estimate for All ETFs for 2013

Business Wire

RYE BROOK, N.Y.--(BUSINESS WIRE)--

IndexIQ, a leading developer of liquid alternative investment solutions, announced an estimate of zero capital gains distributions for all of its Exchange-Traded Funds (ETFs) for 2013. In addition, both QAI and MCRO have had zero capital gain distributions for all five calendar years of their existence.

IndexIQ ETFs include the following (all tickers NYSEArca):

Ticker

   

Fund Name

QAI IQ Hedge Multi-Strategy Tracker ETF
QMN IQ Hedge Market Neutral Tracker ETF
MCRO IQ Hedge Macro Tracker ETF
CPI IQ Real Return ETF
GRES IQ Global Resources ETF
MNA IQ Merger Arbitrage ETF
CNDA IQ Canada Small Cap ETF
KROO IQ Australia Small Cap ETF
CROP IQ Global Agribusiness Small Cap ETF
IOIL IQ Global Oil Small Cap ETF
ROOF IQ U.S. Real Estate Small Cap ETF
 

IndexIQ believes that the tax advantages of ETFs are especially pronounced in its hedge fund replication products.

“One of the unique advantages of the ETF structure over a typical hedge fund is that it helps minimize the tax burden on investors through the ETF creation and redemption process,” said Adam Patti, chief executive officer of IndexIQ. “Hedge funds can be highly tax inefficient, and they often employ strategies that generate significant short-term capital gains. This tax burden can dramatically reduce real returns, something investors should keep in mind as they determine the most efficient way to build portfolios and allocate assets.”

NOTE: Shareholders should consult with their tax advisors regarding any tax consequences related to these dividends and distributions.

IRS Circular 230 disclosure: IndexIQ does not provide legal, tax or accounting advice. Any statement contained in this communication concerning U.S. tax matters is not intended or written to be used, and cannot be used, for the purpose of avoiding penalties imposed on the relevant taxpayer. Shareholders or potential shareholders of the IndexIQ ETFs should obtain tax advice based on their particular circumstances.

If you have any questions concerning this information or IndexIQ ETFs in general, please call 1-888-934-0777 between 9:00 a.m. and 5:30 p.m. EST, Monday through Friday.

There are risks involved with investing including the possible loss of principal. Consider the Funds’ investment objectives, risks, charges and expenses carefully before investing. A prospectus with this and other information about the Funds may be obtained by visiting www.indexiq.com or by calling (888) 934-0777. Read the prospectus carefully before investing.

The Funds do not invest in hedge funds and the underlying Indexes do not include hedge funds as components. IndexIQ ETF shares are bought and sold at market price (not NAV) and are not individually redeemed from the Fund.

IndexIQ Funds are distributed by ALPS Distributors, Inc. IDX001370.121214

Contact:
MacMillan Communications
Mike MacMillan/Chris Sullivan
212-473-4442
chris@macmillancom.com

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