IndexIQ launched the IQ Alternative Allocation Model, the first liquid alt model on its platform, in collaboration with Nasdaq Dorsey Wright.

The IQ Alternative Allocation Model provides an absolute return strategy built around IndexIQ’s suite of liquid alt ETFs.

IndexIQ will leverage its expertise in liquid alt ETFs with Nasdaq Dorsey Wright’s methodology in constructing these liquid alternative models.

Further, the collaboration will “offer lower-cost, innovative hedge fund strategies in a unique investment model,” said Jon Zimmerman, COO, IndexIQ.

Moreover. the IQ Alternative Allocation Model will be available to financial advisors and registered investment advisors who subscribe to Nasdaq Dorsey Wright’s platform. It will not attract an overlay fee.

Liquid alt ETFs are valuable strategies in today’s market conditions

“IndexIQ’s suite of liquid alternatives ETFs offers advisors access to non-traditional and differentiated strategies,’ said Jay Gragnani of Nasdaq Dorsey Wright. “Our work with IndexIQ gives investors access to a uniquely designed model as they look to build diversified investment portfolios.”

Gragnani is Head of Research and Client Engagement with Nasdaq Dorsey Wright.

A tie-up between two industry leaders

IndexIQ, a New York Life Investments Company, is a global provider of exchange-traded funds (ETFs). It had assets under management of $4 billion as of June 30, 2019.

Nasdaq Dorsey Wright is a registered investment advisory firm based in Richmond, Virginia. It offers comprehensive investment research and analysis through its Global Technical Research Platform and provides research, modeling and indexes.