NYLI Hedge Multi-Strategy Tracker ETF

QAI

Market cap $1B

NYLI Hedge Multi-Strategy Tracker ETF (QAI) aims to replicate hedge fund performance but falls short in both construction and returns. QAI's top holdings are heavily weighted toward floating-rate bonds and European equities, diverging from typical hedge fund strategy allocations. QAI's 5-year CAGR of 2.5% and Sharpe ratio of 0.40 underperform both the equal-weight S&P 500 and peer multi-strategy ETFs.

U.S. stocks continued their momentum with a solid +2.30% return, while world stocks pulled back -1.12% after their strong June performance. The commodity surge pushed this asset class to +4.73% year-to-date, representing a remarkable turnaround from the challenging April decline.

Alternatives have underperformed for over a decade, but the NYLI Hedge Multi-Strategy Tracker ETF offers hedge fund-like strategies with ETF transparency. QAI tracks the IQ Hedge Multi-Strategy Index, aiming to deliver hedge fund returns without manager-specific risks, using a systematic model across diverse asset classes. QAI's “fund of funds” approach and diversified holdings aim for steady profits and reduced risk, though it has underperformed compared to peers like DBMF.