The VL Capital Market Neutral Strategy takes long and short positions in United Stated equities while seeking to achieve net equity exposure of zero percent. The Strategy makes security selections using a proprietary, rules-based model that draws on both financial and statistical theory. The Market Neutral Strategy is rebalanced on a discretionary basis.
- Seeks to hedge systematic risk by taking long/short positions
- Lower volatility compared to a traditional long-only equity products
- Consistent methodology with a repeatable security selection process
||IQ Hedge Market Neutral ETF|
|Inception Date||March 1, 2020|
|Account Structure||Separately Managed|
1. The IQ Hedge Market Neutral Tracker ETF seeks to track the investment results of the IQ Hedge Market Neutral Index (the “Index”), which measures the risk-adjusted return characteristics of the collective hedge funds using a market neutral hedge fund investment style. Market Neutral hedge funds typically invest in both long and short positions in asset classes while minimizing exposure to systematic risk. These strategies seek to have a zero “beta” (or “market”) exposure to one or more systematic risk factors including the overall market (as represented by the S&P 500 Index), economic sectors or industries, market cap, region and country. Market neutral strategies that effectively neutralize the market exposure are not impacted by directional moves in the market.