The performance data quoted above represents past performance. Past performance is not a guarantee of future results. Investment return and value of the Fund shares will fluctuate so that an investor's shares, when sold, may be worth more or less than their original cost. Performance may be lower or higher than performance data quoted. Fund returns reflect dividends and capital gains distributions. Index performance is for illustrative purposes only and does not represent actual Fund performance. One cannot invest directly in an index. Performance data for the Index assumes reinvestment of dividends and is net of the management fees for the Index's components, as applicable, but it does not reflect management fees, transaction costs or other expenses that you would pay if you invested in the Fund directly.

The IQ Hedge Multi-Strategy Index is comprised solely of ETFs. The Index does not include hedge funds as components. Returns presented are net of underlying ETF fees, but do not reflect the deduction of management fees, taxes and other expenses. The Credit Suisse/Tremont Blue Chip Index is compiled by Credit Suisse Tremont Index LLC, is comprised solely of hedge funds, and is designed to be representative of the overall composition of the hedge fund universe. Returns presented are net of underlying manager fees and calculation fees, but do not reflect the deduction of management fees, taxes and other expenses. The HFRX Global Hedge Fund Index is compiled by Hedge Fund Research, Inc., is comprised solely of hedge funds, and is designed to be representative of the overall composition of the hedge fund universe. Returns presented are net of underlying manager fees, but do not reflect the deduction of management fees, taxes and other expenses. The S&P 500 Index is a broad-based unmanaged index of 500 stocks, which is designed to represent the equity market in general (performance data assumes reinvestment of dividends, but it does not reflect management fees, transaction costs or other expenses).

Returns for all periods are cumulative except for 3-year and 5-year periods, which are annualized.

* Fund Inception Date: March 25, 2009. The Index and Fund performance since inception in the table above is based on the Fund inception date. The Index inception date is September 15, 2008.

** Credit Suisse/Tremont hedge fund indexes publish monthly returns on the 15th of each month. Since Inception performance is not available due to non-daily index reporting of the Credit Suisse/Tremont Blue Chip Index.

¹ As stated in the Fund's prospectus, the expense ratio of 0.75% is expressed as a unitary fee to cover expenses incurred in connection with managing the portfolio. In addition to this expense ratio, the Fund will indirectly bear its proportionate share of the fees and expenses of the underlying ETFs in which it invests. As of August 26, 2009 the Fund estimated that these fees, known as "Acquired Fund Fees and Expenses," would be 0.33% annualized for the fiscal year ending April 30, 2010. However, this amount will vary over time due to changes in the underlying ETF fees and expenses and the constitution of the Index.

² IOPV, or Indicative Optimized Portfolio Value, is a calculation disseminated by the stock exchange that approximates the Fund's NAV every 15 seconds throughout the trading day.


The IQ Hedge Multi-Strategy Index is the exclusive property of IndexIQ which has contracted with Standard & Poor's ("S&P") to maintain and calculate the Index. S&P shall have no liability for any errors or omissions in calculating the Index.

IndexIQ shares are bought and sold at market price (not NAV) and are not individually redeemed from the Fund. Total Returns are calculated using the daily 4:00 pm net asset value (NAV). Market price returns reflect the share price as of the close of trading on the exchange where Fund shares are listed. Market price returns do not represent the returns you would receive if you traded shares at other times.

The performance data quoted above represents past performance. Past performance is not a guarantee of future results. Investment return and value of the Fund shares will fluctuate so that an investor's shares, when sold, may be worth more or less than their original cost. Performance may be lower or higher than performance data quoted. Fund returns reflect dividends and capital gains distributions. Index performance is for illustrative purposes only and does not represent actual Fund performance. One cannot invest directly in an index. Performance data for the Index assumes reinvestment of dividends and is net of the management fees for the Index's components, as applicable, but it does not reflect management fees, transaction costs or other expenses that you would pay if you invested in the Fund directly.

The IQ Hedge Multi-Strategy Index is comprised solely of ETFs. The Index does not include hedge funds as components. Returns presented are net of underlying ETF fees, but do not reflect the deduction of management fees, taxes and other expenses. The Credit Suisse/Tremont Blue Chip Index is compiled by Credit Suisse Tremont Index LLC, is comprised solely of hedge funds, and is designed to be representative of the overall composition of the hedge fund universe. Returns presented are net of underlying manager fees and calculation fees, but do not reflect the deduction of management fees, taxes and other expenses. The HFRX Global Hedge Fund Index is compiled by Hedge Fund Research, Inc., is comprised solely of hedge funds, and is designed to be representative of the overall composition of the hedge fund universe. Returns presented are net of underlying manager fees, but do not reflect the deduction of management fees, taxes and other expenses. The S&P 500 Index is a broad-based unmanaged index of 500 stocks, which is designed to represent the equity market in general (performance data assumes reinvestment of dividends, but it does not reflect management fees, transaction costs or other expenses).

Returns for all periods are cumulative except for 3-year and 5-year periods, which are annualized.

* Fund Inception Date: March 25, 2009. The Index and Fund performance since inception in the table above is based on the Fund inception date. The Index inception date is September 15, 2008.

** Credit Suisse/Tremont hedge fund indexes publish monthly returns on the 15th of each month. Since Inception performance is not available due to non-daily index reporting of the Credit Suisse/Tremont Blue Chip Index.

¹ As stated in the Fund's prospectus, the expense ratio of 0.75% is expressed as a unitary fee to cover expenses incurred in connection with managing the portfolio. In addition to this expense ratio, the Fund will indirectly bear its proportionate share of the fees and expenses of the underlying ETFs in which it invests. As of August 26, 2009 the Fund estimated that these fees, known as "Acquired Fund Fees and Expenses," would be 0.33% annualized for the fiscal year ending April 30, 2010. However, this amount will vary over time due to changes in the underlying ETF fees and expenses and the constitution of the Index.

² IOPV, or Indicative Optimized Portfolio Value, is a calculation disseminated by the stock exchange that approximates the Fund's NAV every 15 seconds throughout the trading day.


The IQ Hedge Multi-Strategy Index is the exclusive property of IndexIQ which has contracted with Standard & Poor's ("S&P") to maintain and calculate the Index. S&P shall have no liability for any errors or omissions in calculating the Index.

IndexIQ shares are bought and sold at market price (not NAV) and are not individually redeemed from the Fund. Total Returns are calculated using the daily 4:00 pm net asset value (NAV). Market price returns reflect the share price as of the close of trading on the exchange where Fund shares are listed. Market price returns do not represent the returns you would receive if you traded shares at other times.