Market Overview

IndexIQ Launches Short Duration Core Bond U.S. ETF

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IndexIQ expands its innovative fixed income suite with a new fund
that brings a momentum-driven approach to the short duration, U.S.
dollar denominated fixed income category

IndexIQ,
a New York Life Investments Company and a leading provider of innovative
investment solutions, today announced the launch of the IQ
Short Duration Enhanced Core Bond U.S. ETF
(NYSE:SDAG),
further expanding the firm's suite of factor-based fixed income ETFs.

SDAG seeks to outperform the short duration, U.S. dollar-denominated
taxable fixed income universe by using a momentum tilted factor
strategy. The Fund tracks, before fees and expenses, the performance and
yield of the IQ Short Duration Enhanced Core Bond U.S. Index.

SDAG joins a growing family of fixed income ETF offerings from IndexIQ
that already includes three first-of-their-kind factor-based fixed
income offerings: the IQ Enhanced Core Bond U.S. ETF (NYSE Arca: AGGE)
and IQ Enhanced Core Plus Bond U.S. ETF (NYSE Arca: AGGP),
which were launched
in May of 2016, and the IQ
S&P High Yield Low Volatility Bond ETF (HYLV)
, the first high
yield low volatility fixed income ETF, which launched in February of
2017.

Salvatore Bruno, Chief Investment Officer of IndexIQ said:
"We
are delighted to be expanding our fixed-income suite with our first ever
short-duration ETF, something we view as a natural extension of work
that began with the launch of our Enhanced Core suite of fixed income
funds in 2016. After several years of abnormally low rates, we once
again find ourselves in a rising rate environment, a situation where
investors often move to the shorter end of the yield curve. By combining
short duration exposure with a momentum-driven approach, investors now
have a powerful tool for gaining exposure to this key area of the fixed
income market while also adding the potential for outperformance."

Added Kelly Ye, Director of Research:
"At IndexIQ, we are
always looking for new ways to help investors meet their goals,
particularly when it comes to income. The short-duration bond market is
a logical next step in applying a factor-based approach to investing,
and we believe SDAG serves as an important complement in many different
types of yield-focused investors' portfolios."

About IndexIQ

IndexIQ, a New York Life Investments Company, is a global provider of
exchange-traded funds (ETFs), with a decade of offering highly
differentiated and innovative long-term solutions to retail and
institutional investors. Today, with assets under management of $4.1
billion, IndexIQ leverages the first-class asset management capabilities
of New York Life Investments' multi-boutique platform into its suite of
offerings which include: fixed income, equities, alternatives and
specialty asset classes.

For additional information on IndexIQ, visit IQetfs.com
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Before considering an investment in the Fund, you should understand that
you could lose money. The Fund's investment performance, because it is a
fund of funds, depends on the investment performance of the ETPs in
which it invests. The performance of the underlying Index and the Fund
may deviate from that of the markets the underlying Index seeks to track
due to changes that are reflected in the sector more quickly than the
quarterly rebalancing process can track. Funds that invest in bonds are
subject to interest rate risk and can lose principal value when interest
rates rise.

Bonds are also subject to credit risk, which is the possibility that the
bond issuer may fail to pay interest and principal in a timely
manner. High-yield securities have speculative characteristics and
present a greater risk of loss than higher-quality debt securities.
These securities can also be subject to greater price volatility.
Floating rate funds are generally considered to have speculative
characteristics that involve default risk of principal and interest,
collateral impairment, non-diversification, borrower industry
concentration, and limited liquidity. Investing in below investment
grade securities may carry a greater risk of nonpayment of interest or
principal than higher-rated bonds.

As a new fund, there can be no assurance that it will grow to or
maintain an economically viable size, in which case it may experience
greater tracking error to its underlying Index than it otherwise would
at higher asset levels, or it could ultimately liquidate.

The IQ Short-Duration Enhanced Core Bond U.S. Index seeks to outperform
the short-duration, U.S. dollar-denominated, taxable, fixed-income
universe by using a momentum investing strategy, which seeks to
capitalize on the persistence of ongoing trends in the market. Momentum
is measured by comparing a short-horizon (45-day) moving average of
returns to a longer-horizon (90-day) moving average of returns.

Consider the Fund's investment objectives, risks, charges and
expenses carefully before investing. The prospectus and the statement of
additional information, including this and other relevant information
about the Fund, are available by visiting nylinvestments.com/etfs or
calling 888-474-7725. Read the prospectus carefully before investing.

Fund shares are not individually redeemable and will be issued and
redeemed at their NAV only through certain authorized broker-dealers in
large, specified blocks of shares called "creation units," and
otherwise, can be bought and sold only through exchange trading.
Creation units are issued and redeemed principally in-kind.

New York Life Investments is a service mark and name under which New
York Life Investment Management LLC does business. New York Life
Investments, an indirect subsidiary of New York Life Insurance Company,
located at 51 Madison Avenue, New York, New York 10010, provides
investment advisory products and services. IndexIQ® is an
indirect, wholly-owned subsidiary of New York Life Investment Management
Holdings LLC and serves as the advisor to the IndexIQ ETFs. ALPS
Distributors, Inc. (ALPS) is the principal underwriter of the ETFs, and
NYLIFE Distributors LLC is a distributor of the ETFs. NYLIFE
Distributors LLC is located at 30 Hudson Street, Jersey City, NJ 07302.
ALPS Distributors, Inc. is not affiliated with NYLIFE Distributors LLC.
NYLIFE Distributors LLC is a Member FINRA/SIPC.

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