UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT
INVESTMENT COMPANIES
Investment Company Act file number 811-22739
IndexIQ Active ETF Trust
(Exact name of registrant as specified in charter)
51 Madison Avenue
New York, NY 10010
(Address of principal executive offices) (Zip code)
Kirk C. Lehneis
IndexIQ Advisors LLC
51 Madison Avenue
New York, NY 10010
(Name and address of agent for service)
Registrant's telephone number, including area code: 1-888-474-7725
Date of fiscal year end: April 30
Date of reporting period: April 30, 2023
Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget ("OMB") control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.
Item 1. Reports to Stockholders.
| (a) | Include a copy of the report transmitted to stockholders pursuant to Rule 30e-1 under the Act (17 CFR 270.30e-1). |
IndexIQ Active ETF Trust
Annual Report
April 30, 2023
| | IQ Ultra Short Duration ETF (ULTR) | | | | |
| | IQ MacKay ESG Core Plus Bond ETF (ESGB) | | |
| | IQ MacKay Multi-Sector Income ETF (MMSB) | | |
| | IQ MacKay ESG High Income ETF (IQHI) | | |
| | IQ MacKay Municipal Insured ETF (MMIN) | | |
| | IQ MacKay Municipal Intermediate ETF (MMIT) | | |
| | IQ MacKay California Municipal Intermediate ETF (MMCA) | | |
| | IQ Winslow Large Cap Growth ETF (IWLG) | | |
| | IQ Winslow Focused Large Cap Growth ETF (IWFG) | | | | |
Not FDIC Insured | May Lose Value | No Bank Guarantee
The investment return and value of each of the Funds’ 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. Consider the Funds’ investment objectives, risks, charges and expenses carefully before investing. The prospectus and the statement of additional information include this and other relevant information about the Funds and are available by visiting newyorklifeinvestments.com/etf or by calling 1-888-474-7725. Read the prospectus carefully before investing.
Each of the Funds’ performance that is current to the most recent month-end is available by visiting newyorklifeinvestments.com/etf or by calling 1-888-474-7725.
Availability of Proxy Voting Policies and Proxy Voting Records
You may obtain a description of the IndexIQ Active ETF Trust proxy voting policies, procedures and information regarding how each Fund voted proxies relating to portfolio securities during the 12-month period ending June 30 (available by August 31) without charge, upon request, by calling 1-888-474-7725, visiting neworklifeinvestments.com/etf, or by accessing the SEC’s website at www.sec.gov.
Availability of Quarterly Schedule of Investments
The Funds file their complete schedules of portfolio holdings with the Commission for the first and third quarters of each fiscal year on Form N-PORT. The Funds’ Forms N-PORT is available on the Commission’s web site at www.sec.gov. Additionally, the Funds’ make their portfolio holdings for the first and third quarters of each fiscal year available on the Funds’ website at newyorklifeinvestments.com\documents.
Availablity of Premium/Discount Information
Each Funds’ premium/discount information is available, free of charge, on the Funds’ website at newyorklifeinvestments.com/etf or by calling 1-888-474-7725.
Electronic Delivery
Receive email notifications when your most recent shareholder communications are available for review. Access prospectuses, annual reports and semi-annual reports online.
To enroll:
Visit https://www.fundreports.com
If you have questions about IndexIQ e-Delivery services, contact a representative at 1-888-474-7725.
IndexIQ® and IQ® are registered service marks of New York Life Insurance Company.
“New York Life Investments” is both a service mark, and the common trade name, of certain investment advisors affiliated with New York Life Insurance Company. IndexIQ® is the 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.
Shareholder Letter (unaudited)
Message from the President
Despite high levels of volatility and sharp, short-term shifts in value, broadly based stock and bond indices saw relatively modest overall changes during the 12-month reporting period ended April 30, 2023. A deeply challenging investment environment during the last eight months of 2022, driven by increasing inflationary pressures and aggressive monetary efforts to curb them, was followed by a more positive, but uneven, economic and monetary backdrop during the first four months of 2023.
In April 2022, before the start of the reporting period, U.S. inflation stood at an annualized rate of 8.3%, up from 4.2% a year earlier. The U.S. Federal Reserve (the “Fed”), had begun to take steps to curb inflation, raising the federal funds rate from near zero in March 2022. Eight separate rate hikes during the reporting period brought the benchmark rate up to 4.75-5.00% in March 2023. Inflation seemed to respond, easing steadily from a peak of 9.1% in June 2022 to 4.9% in April 2023. Although further interest rate increases are expected in 2023, by the end of the reporting period, it appeared that the Fed might be nearing the end of the current rate-hike cycle. Economic growth, although slower, remained positive, supported by historically high levels of employment and robust consumer spending. International economies experienced similar trends, with more modest central bank interest-rate hikes curbing inflation to a degree.
Equity market behavior during the reporting period reflected the arc of monetary policy and economic developments. From May through early October 2022, as inflation raged and interest-rate increases accelerated, investors shied away from perceived risk, favoring relatively defensive and value-oriented sectors over growth-oriented sectors. The S&P 500® Index, a widely regarded benchmark of U.S. market performance, declined by more than 13% during this time, while international stocks suffered even sharper losses. These trends reversed from mid-October 2022 through the end of the reporting period, as inflationary pressures eased and markets began to anticipate an end to rising interest rates. Between mid-October 2022 and April 30, 2023, the S&P 500® Index regained all the ground it lost earlier, ending in modestly positive territory. International developed-markets stocks bounced back even stronger, prompted by surprisingly robust economic resilience in Europe and further bolstered by China’s reopening after the government rescinded its “zero-COVID-19” policy and eased regulatory restrictions on key industries. The declining value of the U.S. dollar relative to other currencies also enhanced international market equity performance. Emerging markets generally lagged their developed-markets counterparts while outperforming U.S. markets.
Fixed-income markets followed a similar pattern of retreat and recovery. Bond prices trended sharply downward early in the reporting period, as yields rose along with interest rates. Short-term yields rose faster than long-term yields, producing a yield curve inversion – with long-term rates lower than short-term rates – that persisted from July through the end of the reporting period. However, market sentiment improved in the second half of the reporting period as inflationary pressures eased. As the Fed decreased the magnitude of rate increases, focus turned toward the possibility of eventual rate reductions and a potential ‘soft landing’ for the economy. On the negative side, a small number of high-profile, regional U.S. bank failures in March and April 2023 raised fears of possible wider banking industry contagion and future credit constraints.
While many market observers believe the Fed has neared the end of the current cycle of rate increases, the central bank’s rhetoric remains sharply focused on its target inflation rate of 2%. Only time will tell if the market’s favorable expectations prove well founded.
However the economic story unfolds in the months and years to come, at New York Life Investments we remain dedicated to providing the unique investment solutions required to build smarter portfolios during challenging times. Thank you for continuing to place your trust in our team.
Sincerely,
Kirk C. Lehneis
President
The opinions expressed are as of the date of this report and are subject to change. There is no guarantee that any forecast made will come to pass. This material does not constitute investment advice and is not intended as an endorsement of any specific investment. Past performance is no guarantee of future results.
Management’s Discussion of Fund Performance (unaudited)
IQ Ultra Short Duration ETF
How did IQ Ultra Short Duration ETF perform during the 12 months ended April 30, 2023?
For the 12 months ended April 30, 2023 (the “reporting period”), IQ Ultra Short Duration ETF returned 2.53% at NAV (net asset value) and 2.63% at market price.1 To compare, the ETF’s Benchmark Index, the Bloomberg Short Treasury 3-6 Month Index,2 returned 2.76% for the same period.
What factors affected the ETF’s relative performance during the reporting period?
The ETF held overweight positions relative to the Bloomberg Short Treasury 3-6 Month Index in corporates, asset-backed securities (“ABS”) and commercial mortgage-backed securities (“CMBS”) throughout the reporting period. To facilitate these overweight positions, the ETF maintained an underweight position in the U.S. Treasury sector. The corporate sector was the ETF’s best-performing sector during the reporting period. The overweight position in ABS, particularly AAA3 floating-rate securities, also added to relative performance during the reporting period. The overweight position in CMBS, particularly AAA non-agency securities, detracted from performance. The underweight position in U.S. Treasury securities also detracted from relative performance.
During the reporting period, how was the ETF’s performance materially affected by investments in derivatives?
During the reporting period, the use of derivatives was limited to interest rate derivatives used to keep the duration4 of the ETF in line with portfolio management’s target duration. Generally, interest rate derivatives had a positive impact on performance.
What was the ETF’s duration strategy during the reporting period?
During the first half of the reporting period, the ETF maintained a duration that was shorter than that of the Bloomberg Short Treasury 3-6 Month Index. This duration positioning was accretive to performance as interest rates moved higher. During the second half of the reporting period, the ETF generally maintained a duration that was longer than that of the Index in the front end of the yield curve5 (0-2 years) and a duration shorter than the Index in the 7-to-10-year part of the curve. This curve positioning detracted from performance. As of April 30, 2023, the effective duration of the ETF was 0.38 years, compared to a duration of 0.36 years for the Index.
During the reporting period, which sectors were the strongest positive contributors to the ETF’s relative performance and which sectors were particularly weak?
During the reporting period, the ETF maintained overweight exposure compared to the Bloomberg Short Treasury 3-6 Index in the industrials, financial and utility sectors, all of which were accretive the ETF’s relative performance. Among industrials, performance in the communications, energy and technology subsectors were particularly strong, with bonds issued by Verizon Communications Inc, PG&E Corporation and General Motors among the ETF’s best performers. Among financials, overweight exposure to the banking and finance company subsectors had the most positive impact on relative performance, particularly holdings in Bank of America, The Goldman Sachs Group and AerCap Ireland Capital. Within securitized products, ABS was the best performing sector. Within the ABS sector, AAA collateralized loan obligations (CLOs) were accretive to the ETF’s performance. Within the CMBS sector, the ETF’s overweight positions relative to the Index in the AAA
1
The price used to calculate the market price returns is the mean between the day’s last bid and ask prices and does not represent returns an investor would receive if shares were traded at other times.
2
See page 7 for more information on index returns.
3
An obligation rated ‘AAA’ has the highest rating assigned by Standard & Poor’s (“S&P”), and in the opinion of S&P, the obligor’s capacity to meet its financial commitment on the obligation is extremely strong. When applied to ETF holdings, ratings are based solely on the creditworthiness of the bonds in the portfolio and are not meant to represent the security or safety of the ETF.
4
Duration is a measure of the price sensitivity of a fixed-income investment to changes in interest rates. Duration is expressed as a number of years and is considered a more accurate sensitivity gauge than average maturity.
5
The yield curve is a line that plots the yields of various securities of similar quality — typically U.S. Treasury issues — across a range of maturities. The U.S. Treasury yield curve serves as a benchmark for other debt and is used in economic forecasting.
Management’s Discussion of Fund Performance (unaudited) (continued)
non-agency sub-component detracted from performance. The ETF’s underweight position in the Treasury sector relative to the Index also detracted from performance during the reporting period.
What were some of the ETF’s largest purchases and sales during the reporting period?
The ETF’s largest purchases during the reporting period included bonds issued by Morgan Stanley, JPMorgan Chase & Co., Pacific Gas and Electric, The Huntington National Bank and Capital One Financial. The ETF’s largest sales during the same period were holdings in Skyworks Solutions, Hyundai Capital America, Avery Dennison, Bayer US Finance II and OGE Energy.
How did the ETF’s sector weightings change during the reporting period?
During the reporting period, the ETF held overweight exposure relative to the Bloomberg Short Treasury 3-6 Index to the industrial, financial and utility subsectors within the corporate sector. The ETF increased its exposure to corporate credit during the fourth quarter of 2022 as all-in yield levels within investment-grade corporate bonds passed the earnings yield of the S&P 500® Index, which we identified as a potential positive catalyst for the sector. Investment-grade corporate yields reached levels not seen since 2009, a dynamic which subsequently resulted in increased demand within the asset class. Within the ABS sector, we increased the ETF’s allocation to the auto subsector to enhance portfolio yield. During the second half of the reporting period, we reduced the ETF’s allocation to CMBS to limit exposure within the sector as the fundamental backdrop remained uncertain.
How was the ETF positioned at the end of the reporting period?
As of April 30, 2023, the ETF held its most significant overweight exposure relative to the Bloomberg Short Treasury 3-6 Month Index in corporate securities. Within the corporate sector, the ETF held overweight positions in financials, industrials and utilities. The ETF’s second-largest overweight was concentrated in the ABS sector, particularly in the CLO subcomponent. The ETF also held overweight positions in the CMBS sector. As of the same date, the ETF held an underweight position in the U.S. Treasury sector.
The opinions expressed are those of the portfolio managers as of the date of this report and are subject to change. There is no guarantee that any forecasts will come to pass. This material does not constitute investment advice and is not intended as an endorsement of any specific investment.
Management’s Discussion of Fund Performance (unaudited) (continued)
Hypothetical Growth of a $10,000 Investment
(Since Inception through 4/30/23)
Fund Performance History
IQ Ultra Short Duration ETF
(as of April 30, 2023)
| | | | 1 Year | | | 3 Year | | | Since Inception1 | |
| | | | Avg Annual | | | Avg Annual | | | Avg Annual | | | Cumulative | |
IQ Ultra Short Duration ETF Market Price2 | | | | | 2.63% | | | | | | 1.45% | | | | | | 1.02% | | | | | | 3.88% | | |
| IQ Ultra Short Duration ETF NAV | | | | | 2.53% | | | | | | 1.52% | | | | | | 1.03% | | | | | | 3.93% | | |
Bloomberg Short Treasury 3-6 Month Index3 | | | | | 2.76% | | | | | | 0.96% | | | | | | 1.22% | | | | | | 4.65% | | |
1
Fund Inception Date: 7/30/2019
2
The price used to calculate the market price returns is the mean between the day’s last bid and ask prices. The market price returns do not represent returns an investor would receive if shares were traded at other times.
3
The Bloomberg Short Treasury 3-6 Month Index is the primary benchmark index for the ETF. The Bloomberg Short Treasury 3-6 Month Index is a component of the Barclays Short Treasury Index, which includes aged U.S. Treasury bills, notes and bonds with a remaining maturity from 1 up to (but not including) 12 months and excludes zero coupon strips.
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. Performance figures may reflect certain fee waivers and/or expense limitations, without which total returns may have been lower.
Management’s Discussion of Fund Performance (unaudited) (continued)
IQ MacKay ESG Core Plus Bond ETF
How did IQ MacKay ESG Core Plus Bond ETF perform during the 12 months ended April 30, 2023?
For the 12 months ended April 30, 2023 (the “reporting period”), IQ MacKay ESG Core Plus Bond ETF returned −1.31% at NAV (net asset value) and −1.59% at market price.1 To compare, the ETF’s Benchmark, the Bloomberg U.S. Aggregate Bond Index2 returned −0.43% for the same period.
What factors affected the ETF’s performance during the reporting period?
The ETF underperformed its benchmark, primarily due to the ETF’s slightly longer duration3 than that of the benchmark a position negatively impacted by the significant move in interest rates that occurred during the reporting period.
During the reporting period, how was the ETF’s performance materially affected by investments in derivatives?
During the reporting period, the ETF used U.S. Treasury futures to hedge its duration, a position that detracted slightly from returns.
What was the ETF’s duration strategy during the reporting period?
As mentioned above, the ETF maintained a slightly longer duration than that of the benchmark during the reporting period. As of April 30, 2023, the ETF’s duration was 6.5 years, versus a duration of 6.2 years for the benchmark.
During the reporting period, which sectors made the strongest contributions to the ETF’s performance and which sectors made the weakest contributions?
The ETF’s positioning in securitized products, along with selection and overweight exposure to both investment-grade and high-yield credit, made positive contributions to returns. (Contributions take weightings and total returns into account.) The largest detractors included underweight exposure to U.S. Treasury securities and select positions within preferred securities, specifically in the banking industry.
What were some of the ETF’s largest purchases and sales during the reporting period?
Within the investment-grade credit component of the ETF, we went “up in quality.” While the ETF maintained an overweight position in banks and utilities, we pared back exposure to regional banks late in the reporting period as concerns mounted regarding the viability of certain banks following the collapse of Silicon Valley Bank, Signature Bank and First Republic Bank. As valuations within the agency mortgage sector improved (spreads widened), we increased the ETF’s weight there as well. Both additions were funded by decreasing the ETF’s exposure to Treasury securities.
How did the ETF’s sector weightings change during the reporting period?
During the reporting period, the ETF increased its exposure to agency mortgages, commercial mortgages and residential mortgages. The ETF reduced its exposure to U.S. Treasury securities and high-yield corporate bonds.
How was the ETF positioned at the end of the reporting period?
As of April 30, 2023, the ETF held overweight exposure to investment-grade and high-yield corporate bonds, commercial mortgages and asset-backed securities. As of the same date, the ETF held underweight exposure to U.S. Treasury securities and agency mortgages.
The opinions expressed are those of the portfolio managers as of the date of this report and are subject to change. There is no guarantee that any forecasts will come to pass. This material does not constitute investment advice and is not intended as an endorsement of any specific investment.
1
The price used to calculate the market price returns is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times.
2
See page 9 for more information on index returns.
3
Duration is a measure of the price sensitivity of a fixed-income investment to changes in interest rates. Duration is expressed as a number of years and is considered a more accurate sensitivity gauge than average maturity.
Management’s Discussion of Fund Performance (unaudited) (continued)
Hypothetical Growth of a $10,000 Investment
(Since Inception through 4/30/23)
Fund Performance History
IQ MacKay ESG Core Plus Bond ETF
(as of April 30, 2023)
| | | | 1 Year | | | Since Inception1 | |
| | | | Avg Annual | | | Avg Annual | | | Cumulative | |
IQ MacKay ESG Core Plus Bond ETF Market Price2 | | | | | -1.59% | | | | | | -5.94% | | | | | | -10.65% | | |
| IQ MacKay ESG Core Plus Bond ETF NAV | | | | | -1.31% | | | | | | -5.86% | | | | | | -10.50% | | |
Bloomberg US Aggregate Bond Index3 | | | | | -0.43% | | | | | | -5.40% | | | | | | -9.71% | | |
1
Fund Inception Date: 6/29/2021
2
The price used to calculate the market price returns is the mean between the day’s last bid and ask prices. The market price returns do not represent returns an investor would receive if shares were traded at other times.
3
The Bloomberg US Aggregate Bond Index is the primary benchmark index for the ETF. The Bloomberg U.S. Aggregate Bond Index is a broad-based benchmark that measures the investment-grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, mortgage-backed securities (agency fixed-rate and hybrid adjustable-rate mortgage pass-throughs), asset-backed securities, and commercial mortgage-backed securities.
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. Performance figures may reflect certain fee waivers and/or expense limitations, without which total returns may have been lower.
Management’s Discussion of Fund Performance (unaudited) (continued)
IQ MacKay Multi-Sector Income ETF
How did IQ MacKay Multi-Sector Income ETF perform during the period since its inception on July 26, 2022, through April 30, 2023 (the “reporting period”)?
For the reporting period, IQ MacKay Multi-Sector Income ETF returned 0.42% at NAV (net asset value) and 0.45% at market price.1 To compare, the ETF’s Benchmark Index, the Bloomberg U.S. Universal Index,2 returned −0.35% for the reporting period.
What factors affected the ETF’s performance during the reporting period?
Interest rate volatility continued throughout the reporting period, but by April 30, 2023, the ETF’s longer duration3 posture had a positive impact on returns, as rates along the yield curve4 fell during the reporting period. A rebound in credit, both investment grade and high yield, also had a positive impact on the ETF’s performance.
During the reporting period, were there any market events that materially impacted the ETF’s performance or liquidity?
The defining occurrence of the reporting period began in 2022 with the rapid repricing of expectations for global monetary policy, especially in the United States. An exceptionally strong labor market, concerns that long-term inflation expectations may become unanchored and few signs of a let-up in underlying inflation pressures led U.S. Federal Reserve officials to significantly adjust their outlook for monetary policy, and markets followed suit.
During the reporting period, how was the ETF’s performance materially affected by investments in derivatives?
The ETF used U.S. Treasury futures to hedge duration. These positions made a slightly positive contribution to returns. (Contributions take weightings and total returns into account.)
What was the ETF’s duration strategy during the reporting period?
The ETF maintained a longer duration than that of the Index during the reporting period. This duration position added slightly to the ETF’s relative performance. The duration of the ETF at the end of reporting was 6.6 years, compared with the Index duration of 6.0 years.
During the reporting period, which sectors were the strongest positive contributors to the ETF’s performance and which sectors were particularly weak?
The ETF’s positions in securitized assets made the strongest contributions to performance during the reporting period. Overweight exposure to both investment-grade and high-yield corporate bonds also contributed positively to returns. Underweight exposure to Treasury securities and select positions within preferred securities, specifically within the banking industry, detracted.
What were some of the ETF’s largest purchases and sales during the reporting period?
There were no material changes to the ETF’s positions during the reporting period. That said, to move the ETF up in quality, we slightly trimmed high-yield and investment-grade credit exposure, while increasing exposure to U.S. Treasury securities and mortgages.
How did the ETF’s sector weightings change during the reporting period?
We increased the ETF’s positions in U.S. Treasury securities and in agency and residential mortgages, while reducing positions in high-yield corporate bonds and commercial mortgages.
1
The price used to calculate the market price returns is the mean between the day’s last bid and ask prices and does not represent returns an investor would receive if shares were traded at other times.
2
See page 12 for more information on index returns.
3
Duration is a measure of the price sensitivity of a fixed-income investment to changes in interest rates. Duration is expressed as a number of years and is considered a more accurate sensitivity gauge than average maturity.
4
The yield curve is a line that plots the yields of various securities of similar quality — typically U.S. Treasury issues — across a range of maturities. The U.S. Treasury yield curve serves as a benchmark for other debt and is used in economic forecasting.
Management’s Discussion of Fund Performance (unaudited) (continued)
How was the ETF positioned at the end of the reporting period?
As of April 30, 2023, relative to the Index, the ETF held overweight exposure to investment-grade and high-yield corporate bonds, commercial mortgages and asset-backed securities. As of the same date, the ETF held underweight exposure to U.S. Treasury securities and agency mortgages.
The opinions expressed are those of the portfolio managers as of the date of this report and are subject to change. There is no guarantee that any forecasts will come to pass. This material does not constitute investment advice and is not intended as an endorsement of any specific investment.
Management’s Discussion of Fund Performance (unaudited) (continued)
Hypothetical Growth of a $10,000 Investment
(Since Inception through 4/30/23)
Fund Performance History
IQ MacKay Multi-Sector Income ETF
(as of April 30, 2023)
| | | | Since Inception1 | |
| | | | Cumulative | |
IQ MacKay Multi-Sector Income ETF Market Price2 | | | | | 0.45% | | |
| IQ MacKay Multi-Sector Income ETF NAV | | | | | 0.42% | | |
Bloomberg U.S. Universal Index3 | | | | | -0.35% | | |
1
Fund Inception Date: 7/26/2022
2
The price used to calculate the market price returns is the mean between the day’s last bid and ask prices. The market price returns do not represent returns an investor would receive if shares were traded at other times.
3
The Bloomberg U.S. Universal Index is the primary benchmark index for the ETF. The Bloomberg U.S. Universal Index represents the union of the US Aggregate Index, US Corporate High Yield Index, Investment Grade 144A Index, Eurodollar Index, US Emerging Markets Index, and the non-ERISA eligible portion of the CMBS Index. The index covers USD-denominated, taxable bonds that are rated either investment grade or high-yield.
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. Performance figures may reflect certain fee waivers and/or expense limitations, whithout which total returns may have been lower.
Management’s Discussion of Fund Performance (unaudited) (continued)
IQ MacKay ESG High Income ETF
How did IQ MacKay ESG High Income ETF perform during the period since its inception on October 25, 2022, through April 30, 2023 (the “reporting period”)?
For the reporting period, IQ MacKay ESG High Income ETF returned 7.12% at NAV (net asset value) and 7.29% at market price.1 To compare, the ETF’s Benchmark Index, the Bloomberg Very Liquid High Yield Index,2 returned 8.14% for the same period.
What factors affected the ETF’s relative performance during the reporting period?
Despite the banking crisis that erupted in mid-March 2023, the reporting period ended with good gains for credit investors. While the current environment continues to indicate that we are in the late stages of the economic cycle and a time when caution is warranted, as supported by the events within the banking sector in March, it is interesting to note that high-yield spreads are near the median percentile versus historical levels.
Looking at performance by quality, all segments delivered positive results, with lower-quality bonds outpacing their higher-quality counterparts, benefiting from a healthy appetite for risk, particularly in January 2023. Bonds rated CCC3 and below were the top performers. Similarly, there were gains within all high-yield sectors. Leisure delivered the strongest results, benefiting from the continued economic reopening. Banking was the worst performer, driven by the idiosyncratic failures within the sector and concerns about possible contagion.
What was the ETF’s duration4 strategy during the reporting period?
The duration of the ETF at the end of the reporting period was 3.75 years, slightly longer than the duration of the Index at 3.6 years.
During the reporting period, which sectors were the strongest positive contributors to the ETF’s relative performance and which sectors were particularly weak?
During the reporting period, communications, technology and energy were top-performing sectors, while consumer cyclical and non-cyclicals were the most significant detractors.
What were some of the ETF’s largest purchases and sales during the reporting period?
During the reporting period, the ETF initiated positions in Community Health Systems (medical facilities), Altice USA (telecommunications) and Dana (auto parts). During the same period, the ETF exited positions in Clear Channel Outdoors (advertising), Brookfield Residential Properties and Nationstar Mortgage.
How did the ETF’s sector weightings change during the reporting period?
There were no material changes to the ETF’s positioning during the reporting period. We continue to maintain our late cycle view, which is reflected in the ETF’s up-in-quality portfolio positioning.
How was the ETF positioned at the end of the reporting period?
As of April 30, 2023, the ETF held overweight exposure to energy, technology and basic industry, and underweight exposure to consumer cyclical and communications.
The opinions expressed are those of the portfolio managers as of the date of this report and are subject to change. There is no guarantee that any forecasts will come to pass. This material does not constitute investment advice and is not intended as an endorsement of any specific investment.
1
The price used to calculate the market price returns is the mean between the day’s last bid and ask prices and does not represent returns an investor would receive if shares were traded at other times.
2
See page 14 for more information on index returns.
3
An obligation rated ‘CCC’ by S&P is deemed by S&P to be currently vulnerable to nonpayment and is dependent upon favorable business, financial and economic conditions for the obligor to meet its financial commitment on the obligation. It is the opinion of S&P that in the event of adverse business, financial or economic conditions, the obligor is not likely to have the capacity to meet its financial commitment on the obligation. When applied to Fund holdings, ratings are based solely on the creditworthiness of the bonds in the portfolio and are not meant to represent the security or safety of the Fund.
4
Duration is a measure of the price sensitivity of a fixed-income investment to changes in interest rates. Duration is expressed as a number of years and is considered a more accurate sensitivity gauge than average maturity.
Management’s Discussion of Fund Performance (unaudited) (continued)
Hypothetical Growth of a $10,000 Investment
(Since Inception through 4/30/23)
Fund Performance History
IQ MacKay ESG High Income ETF
(as of April 30, 2023)
| | | | Since Inception1 | |
| | | | Cumulative | |
IQ MacKay ESG High Income ETF Market Price2 | | | | | 7.29% | | |
| IQ MacKay ESG High Income ETF NAV | | | | | 7.12% | | |
Bloomberg Very Liquid High Yield Index3 | | | | | 8.14% | | |
1
Fund Inception Date: 10/25/2022
2
The price used to calculate the market price returns is the mean between the day’s last bid and ask prices. The market price returns do not represent returns an investor would receive if shares were traded at other times.
3
Bloomberg Very Liquid High Yield Index is the primary benchmark index for the ETF. The Bloomberg Very Liquid High Yield Index is designed to measure the performance of publicly issued U.S. dollar denominated high yield corporate bonds with above-average liquidity. High yield securities are generally rated below investment grade and are commonly referred to as “junk bonds.”
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. Performance figures may reflect certain fee waivers and/or expense limitations, whithout which total returns may have been lower.
Management’s Discussion of Fund Performance (unaudited) (continued)
IQ MacKay Municipal Insured ETF
How did IQ MacKay Municipal Insured ETF perform during the 12 months ended April 30, 2023?
For the 12 months ended April 30, 2023 (the “reporting period”), IQ MacKay Municipal Insured ETF returned 1.74% at NAV (net asset value) and 2.00% at market price.1 To compare, the ETF’s Benchmark Index, the Bloomberg Municipal All Insured Bond Index2 returned 2.89% for the same period.
What factors affected the ETF’s performance during the reporting period?
The ETF underperformed its Benchmark Index during the reporting period, in part due to structure and yield curve3 positioning. A slight overweight exposure to 5% coupons aided in the ETF’s relative performance; however the ETF’s overweight exposure to 4% coupons and underweight exposure to zeros represented a significant drag. Late in the reporting period, U.S. Treasury interest rates pivoted lower as the U.S. Federal Reserve hinted toward an end to its historic hiking cycle. Overweight positioning in the local general obligation sector produced the largest absolute and relative outperformance; however underweight positions in the transportation and leasing sectors more than offset this benefit. From a geographic perspective, credit selection in the states of Illinois and Texas aided relative results; however the ETF’s exposure to credits in the states of New Jersey and California detracted from absolute and relative results.
What was the ETF’s duration4 strategy during the reporting period?
The ETF typically maintains a duration-neutral strategy that falls within a +/− 10% band of the Benchmark Index’s duration. The ETF finished the reporting period with a modified duration5 of 6.72 years versus the Benchmark Index’s modified duration of 7.08 years. The ETF’s slightly below-benchmark duration represented a modest drag on the ETF’s relative results.
During the reporting period, which sectors made the strongest contributions to the ETF’s performance and which sectors made the weakest contributions?
Overweight positioning in the local general obligation sector produced the largest absolute and relative outperformance; however underweight positions in the transportation and leasing sectors more than offset this benefit.
What were some of the ETF’s largest purchases and sales during the reporting period?
The ETF typically maintains a very diversified portfolio. The largest trade during the reporting period was less than 1.44% of the ETF. No single trade represented a large percentage of the ETF’s assets.
How did the ETF’s sector weightings change during the reporting period?
During the reporting period, the ETF’s decreased its exposure to the education, hospital and water/sewer sectors. The ETF increased its exposure to the local general obligation, transportation and leasing sectors.
1
The price used to calculate the market price returns is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times.
2
See page 17 for more information on index returns.
3
The yield curve is a line that plots the yields of various securities of similar quality — typically U.S. Treasury issues — across a range of maturities. The U.S. Treasury yield curve serves as a benchmark for other debt and is used in economic forecasting.
4
Duration is a measure of the price sensitivity of a fixed-income investment to changes in interest rates. Duration is expressed as a number of years and is considered a more accurate sensitivity gauge than average maturity.
5
Modified duration is inversely related to the approximate percentage change in price for a given change in yield.
Management’s Discussion of Fund Performance (unaudited) (continued)
How was the ETF positioned at the end of the reporting period?
As of April 30, 2023, the ETF held significantly overweight exposure to the local general obligation sector of 45.49% versus 16.76% for the Underlying Index. In addition, the ETF held overweight exposures versus the Index to credits in the states of Illinois (22.58% versus 9.28%), and Texas (12.22% versus 9.08%). From a sector standpoint, the ETF’s largest relative underweight exposure was to the transportation sector (11.09% versus 19.31%). The largest underweight exposure from a geographic standpoint was to credits in the state of California (8.68% versus 19.48%).
The opinions expressed are those of the portfolio managers as of the date of this report and are subject to change. There is no guarantee that any forecasts will come to pass. This material does not constitute investment advice and is not intended as an endorsement of any specific investment.
Management’s Discussion of Fund Performance (unaudited) (continued)
Hypothetical Growth of a $10,000 Investment
(Since Inception through 4/30/23)
Fund Performance History
IQ MacKay Municipal Insured ETF
(as of April 30, 2023)
| | | | 1 Year | | | 3 Year | | | 5 Year | | | Since Inception1 | |
| | | | Avg Annual | | | Avg Annual | | | Avg Annual | | | Avg Annual | | | Cumulative | |
IQ MacKay Municipal Insured ETF Market Price2 | | | | | 2.00% | | | | | | 0.13% | | | | | | 2.12% | | | | | | 2.03% | | | | | | 11.77% | | |
| IQ MacKay Municipal Insured ETF NAV | | | | | 1.74% | | | | | | 0.21% | | | | | | 2.24% | | | | | | 2.00% | | | | | | 11.59% | | |
Bloomberg Municipal All Insured Bond Index3 | | | | | 2.89% | | | | | | 0.78% | | | | | | 2.47% | | | | | | 2.04% | | | | | | 11.86% | | |
1
Fund Inception Date: 10/18/2017
2
The price used to calculate the market price returns is the mean between the day’s last bid and ask prices. The market price returns do not represent returns an investor would receive if shares were traded at other times.
3
The Bloomberg Municipal All Insured Bond Index is the primary benchmark index for the ETF. The Bloomberg Municipal All Insured Bond Index is a total return performance benchmark for municipal bonds that are backed by insurers with Aaa/AAA ratings and have maturities of at least one year.
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. Performance figures may reflect certain fee waivers and/or expense limitations, whithout which total returns may have been lower.
Management’s Discussion of Fund Performance (unaudited) (continued)
IQ MacKay Municipal Intermediate ETF
How did IQ MacKay Municipal Intermediate ETF perform during the 12 months ended April 30, 2023?
For the 12 months ended April 30, 2023 (the “reporting period”), IQ MacKay Municipal Intermediate ETF returned 2.66% at NAV (net asset value) and 2.80% at market price.1 To compare, the ETF’s Benchmark Index, the Bloomberg Municipal Bond Index 1-15 Year Blend2 returned 3.50% for the same period.
What factors affected the ETF’s performance during the reporting period?
The ETF underperformed its Benchmark Index during the reporting period, in part due to structure and yield curve3 positioning. Underweight exposure to bonds maturing between and one and 15 years detracted from relative performance, while overweight exposure to bonds maturing beyond 15 years added to performance. The ETF’s below-Index exposure to 5.0% coupons dragged on performance. In the first eight months of the reporting period, the ETF underperformed due to the rapid rise of interest rates in reaction to higher inflation and the response of the U.S. Federal Reserve. In the last four months of the reporting period, the ETF, however, the ETF’s curve positioning and coupon structure contributed to relative performance.
What was the ETF’s duration4 strategy during the reporting period?
The ETF typically maintains a duration-neutral strategy that falls within a +/− 10% band of the Underlying Index’s duration. The ETF finished the reporting period with a modified duration5 of 4.3 years versus the benchmark modified duration of 4.1 years. The ETF’s slightly long duration represented a modest drag on the relative results.
During the reporting period, which sectors made the strongest contributions to the ETF’s performance and which sectors made the weakest contributions?
Over the reporting period, the ETF’s underweight and underperforming exposure to both the local and state general obligation sectors detracted from performance. For the same period, no sectors contributed positively to relative performance.
What were some of the ETF’s largest purchases and sales during the reporting period?
The ETF typically maintains a very diversified portfolio. The largest buy trade during the reporting period was a high quality general obligation issue for Parker TX that represented less than 1.65% of the ETF. The largest sell trade was for a smaller position of Yale University variable rate demand notes, which are a cash equivalent. No single trades represented a large percentage of the ETF’s assets.
How did the ETF’s sector weightings change during the reporting period?
During the reporting period, the ETF’s exposure to local general obligation bonds declined from 26.5% to 23.4%, while exposure to the hospital sector declined from 8.7% to 6.4%. Over the same period, exposure to the water/sewer sector rose from 7.2% to 10.4%, while exposure to the IDR/PCR (industry development revenue/pollution control revenue) sector position increased from 4.8% to 7.4%.
1
The price used to calculate the market price returns is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times.
2
See page 20 for more information on index returns.
3
The yield curve is a line that plots the yields of various securities of similar quality — typically U.S. Treasury issues — across a range of maturities. The U.S. Treasury yield curve serves as a benchmark for other debt and is used in economic forecasting.
4
Duration is a measure of the price sensitivity of a fixed-income investment to changes in interest rates. Duration is expressed as a number of years and is considered a more accurate sensitivity gauge than average maturity.
5
Modified duration is inversely related to the approximate percentage change in price for a given change in yield.
Management’s Discussion of Fund Performance (unaudited) (continued)
How was the ETF positioned at the end of the reporting period?
As of April 30, 2023, the ETF held an overweight position in the local general obligation sector, with 23.4% exposure versus 15.6% for the Underlying Index. In addition, the ETF held overweight exposures to credits in the states of Illinois (10.5% versus 4.8%) and Texas (14.4% versus 9.2%). From a sector standpoint the ETF’s most significantly underweight exposure was to the state general obligation sector (7.1% versus 16.8%). The most significantly underweight exposures from a geographic standpoint were to credits in the states of California (6.9% versus 16.7%) and New York (7.4% versus 15.0%).
The opinions expressed are those of the portfolio managers as of the date of this report and are subject to change. There is no guarantee that any forecasts will come to pass. This material does not constitute investment advice and is not intended as an endorsement of any specific investment.
Management’s Discussion of Fund Performance (unaudited) (continued)
Hypothetical Growth of a $10,000 Investment
(Since Inception through 4/30/23)
Fund Performance History
IQ MacKay Municipal Intermediate ETF
(as of April 30, 2023)
| | | | 1 Year | | | 3 Year | | | 5 Year | | | Since Inception1 | |
| | | | Avg Annual | | | Avg Annual | | | Avg Annual | | | Avg Annual | | | Cumulative | |
IQ MacKay Municipal Intermediate ETF Market Price2 | | | | | 2.80% | | | | | | 1.28% | | | | | | 2.56% | | | | | | 2.27% | | | | | | 13.25% | | |
| IQ MacKay Municipal Intermediate ETF NAV | | | | | 2.66% | | | | | | 1.23% | | | | | | 2.56% | | | | | | 2.25% | | | | | | 13.11% | | |
Bloomberg Municipal Bond Index 1-15 Year Blend3 | | | | | 3.50% | | | | | | 0.85% | | | | | | 2.08% | | | | | | 1.61% | | | | | | 9.23% | | |
1
Fund Inception Date: 10/18/2017
2
The price used to calculate the market price returns is the mean between the day’s last bid and ask prices. The market price returns do not represent returns an investor would receive if shares were traded at other times.
3
The Bloomberg Municipal Bond Index 1-15 Year Blend is the primary benchmark index for the ETF. The Bloomberg Municipal Bond Index 1-15 Year Blend covers the U.S. dollar-denominate long-term tax-exempt bond market. The index has four main sectors state and local general obligation bonds, revenue bonds, insured bonds and pre-refunded bonds.
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. Performance figures may reflect certain fee waivers and/or expense limitations, whithout which total returns may have been lower.
Management’s Discussion of Fund Performance (unaudited) (continued)
IQ MacKay California Municipal Intermediate ETF
How did IQ MacKay California Municipal Intermediate ETF perform during the 12 months ended April 30, 2023?
For the 12 months ended April 30, 2023 (the “reporting period”), IQ MacKay California Municipal Intermediate ETF returned 2.28% at NAV (net asset value) and 2.33% at market price.1 To compare, the ETF’s Benchmark Index, the Bloomberg California Intermediate Municipal Bond Index2 returned 4.32% for the reporting period.
What factors affected the ETF’s performance during the reporting period?
A longer duration3 profile during the reporting period, along with overweight exposure to lower coupon structures relative to the Benchmark Index, negatively impacted the ETF’s relative performance, as U.S. Treasury yields jumped significantly through the first half of the reporting period.
During the reporting period, were there any market events that materially impacted the ETF’s performance or liquidity?
The U.S. Federal Reserve’s hawkish stance against inflation had a negative impact on performance, as interest rates increased dramatically during the first half of the reporting period, resulting in an inverted Treasury yield curve.4
What was the ETF’s duration strategy during the reporting period?
The ETF’s duration strategy was to be positioned in line with the Benchmark Index. As municipal and U.S. Treasury yields moved significantly higher during the first half of the reporting period, many of the ETF’s lower coupon bonds began to price at a discount, which resulted in a longer duration profile for the overall ETF versus the Index. During the second half of the reporting period, we reduced the ETF’s overweight to 3% coupon bonds, as well as longer, out-of-Index securities, and brought the ETF’s duration in line with, to slightly shorter than, the Index.
During the reporting period, which sectors made the strongest contributions to the ETF’s performance and which sectors made the weakest contributions?
The strongest positive contributions to the ETF’s performance relative to the Benchmark Index during the reporting period came from overweight exposure to the local general obligation and other revenue sectors. (Contributions take weightings and total returns into account.) Conversely, the weakest contributions to relative performance came from underweight exposure to the state general obligation and water/sewer sectors.
What were some of the ETF’s largest purchases and sales during the reporting period?
Reflecting our objective of running a highly diversified portfolio, all the ETF’s purchases and sales were similar in size, at approximately 2%. During the reporting period, we took an active trading approach to restructuring the ETF to reduce some of its structurally overweight positions (hospital and 3% and 4% coupons), while increasing its underweight exposures (5% coupons and bonds with maturities in the five-to-ten-year range).
How did the ETF’s sector weightings change during the reporting period?
During the reporting period, we reduced the ETF’s overweight exposure to hospital- and water/sewer-backed debt, while increasing exposure to IDR/PCR (industry development revenue/pollution control revenue), transportation- and state general obligation-backed debt.
1
The price used to calculate the market price returns is the mean between the day’s last bid and ask prices and does not represent returns an investor would receive if shares were traded at other times.
2
See page 23 for more information on index returns.
3
Duration is a measure of the price sensitivity of a fixed-income investment to changes in interest rates. Duration is expressed as a number of years and is considered a more accurate sensitivity gauge than average maturity.
4
The yield curve is a line that plots the yields of various securities of similar quality — typically U.S. Treasury issues — across a range of maturities. The U.S. Treasury yield curve serves as a benchmark for other debt and is used in economic forecasting.
Management’s Discussion of Fund Performance (unaudited) (continued)
How was the ETF positioned at the end of the reporting period?
As of April 30, 2023, the ETF continued to hold significantly overweight exposure to the local general obligation sector relative to the Benchmark Index, with 23.39% exposure versus 14.41% Index weighting. Conversely, the ETF maintained underweight exposure to the state general obligation sector, with 8.21% exposure versus 28.74% for the Index, but increased exposure by several percentage points as opportunities arose. From a relative perspective, the ETF held exposure to Puerto Rico- and Guam-issued bonds that the Index did not hold. Lastly, the Index only holds investment-grade securities, while the ETF can hold up to 20% non-investment-grade securities. At the end of the reporting period, the ETF had 12.3% exposure to these lower-rated issuers.
The opinions expressed are those of the portfolio managers as of the date of this report and are subject to change. There is no guarantee that any forecasts will come to pass. This material does not constitute investment advice and is not intended as an endorsement of any specific investment.
Management’s Discussion of Fund Performance (unaudited) (continued)
Hypothetical Growth of a $10,000 Investment
(Since Inception through 4/30/23)
Fund Performance History
IQ MacKay California Municipal Intermediate ETF
(as of April 30, 2023)
| | | | 1 Year | | | Since Inception1 | |
| | | | Avg Annual | | | Avg Annual | | | Cumulative | |
IQ MacKay California Municipal Intermediate ETF Market Price2 | | | | | 2.33% | | | | | | -7.55% | | | | | | -10.12% | | |
| IQ MacKay California Municipal Intermediate ETF NAV | | | | | 2.28% | | | | | | -7.59% | | | | | | -10.17% | | |
Bloomberg California Intermediate Municipal Bond Index3 | | | | | 4.32% | | | | | | -3.09% | | | | | | -4.17% | | |
1
Fund Inception Date: 12/21/2021
2
The price used to calculate the market price returns is the mean between the day’s last bid and ask prices. The market price returns do not represent returns an investor would receive if shares were traded at other times.
3
The Bloomberg California Intermediate Municipal Bond Index is the primary benchmark index for the ETF. The Bloomberg California Intermediate Municipal Bond Index is an unmanaged index of investment grade tax-exempt California bonds with maturities of five to 10 years.
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. Performance figures may reflect certain fee waivers and/or expense limitations, whithout which total returns may have been lower.
Management’s Discussion of Fund Performance (unaudited) (continued)
IQ Winslow Large Cap Growth ETF
How did IQ Winslow Large Cap Growth ETF perform during the period since its inception on June 23, 2022, through April 30, 2023 (the “reporting period”)?
For the reporting period, IQ Winslow Large Cap Growth ETF returned 14.89% at NAV (net asset value) and 14.85% at market price.1 To compare, the ETF’s benchmark Index, the Russell 1000 Growth Index,2 returned 14.69% for the reporting period.
What factors affected the ETF’s performance during the reporting period?
Large-cap equities generated strong returns for the reporting period. Inflation concerns mellowed, and while the U.S. Federal Reserve (the “Fed”) continued to raise rates, 2-year and 10-year U.S. Treasury yields declined, with investors factoring in a nearer-term end to the tightening cycle. Markets also absorbed the failures of Silicon Valley Bank and Credit Suisse and the flight of deposits away from many banks. One outcome may be the reduction of credit availability in coming months, further dampening economic activity and the need for future Fed rate hikes.
Multiple compression throughout much of 2022 presented attractive starting-point valuations for many companies with resilient and high compounding growth levels. The longer duration of their free cash flow generation positioned growth equities as key beneficiaries for interest rate stabilization, and even more so should rates decline.
During the reporting period, were there any market events that materially impacted the ETF’s performance or liquidity?
At the start of the reporting period, revenue expectations for many growth equities had been rebased to levels that could be exceeded even in a slowing macro environment. In addition, the 2022 market downturn prompted many company managements to reassess their expense structures. We have long believed that disciplined growth with an emphasis on free cash flow generation and prudent use of employee stock options are drivers of long-term strong stock performance. We view many companies’ increased focus on per-share earnings efficiency as an important inflection point for the markets; one that is poised to further propel growth equity outperformance.
During the reporting period, which sectors were the strongest positive contributors to the ETF’s relative performance and which sectors were particularly weak?
On the basis of impact, which takes weightings and total returns into account, the sectors that made the strongest contributions to the ETF’s performance relative to the Index were consumer discretionary and health care, driven by strong security selection. The sectors that made the weakest contributions to the ETF’s absolute performance were information technology and industrials, also driven by security selection.
During the reporting period, which individual stocks made the strongest positive contributions to the ETF’s absolute performance and which stocks detracted the most?
On the basis of impact, which takes weightings and total returns into consideration, the stocks that made the strongest contributions to the ETF’s absolute performance during the reporting period included semiconductor company NVIDIA and multi-national software, services and solutions provider Microsoft. We believe NVIDIA and Microsoft are both well positioned to benefit from the strong secular trends in generative AI (artificial intelligence).
During the same period, the weakest contributors to the ETF’s absolute performance were electric vehicle and energy generation and storage company Tesla and collaboration and productivity software provider Atlassian. Tesla detracted from performance amid concerns regarding demand and price cuts that the company would likely need to make to stimulate demand as production increases. After suffering through a
1
The price used to calculate the market price returns is the mean between the day’s last bid and ask prices and does not represent returns an investor would receive if shares were traded at other times.
2
See page 26 for more information on index returns.
Management’s Discussion of Fund Performance (unaudited) (continued)
period of weakening fundamentals in 2022, Atlassian management finally delivered realistic guidance in the first quarter of 2023 and initiated the company’s first-ever $1 billion buyback program.
How did the ETF’s sector weightings change during the reporting period?
During the reporting period, there were several material changes to the ETF’s positioning at the sector level. The largest decrease in exposure were in industrials and consumer staples, while the largest (and only material) increase was in information technology.
How was the ETF positioned at the end of the reporting period?
The ETF’s portfolio structure changed materially during the reporting period, reflecting the market’s factoring in a nearer-term end to the interest-rate tightening cycle. Our flexible “No Preferred Habitat” investment style allows our team to diversify the ETF’s assets across three different, yet complementary, types of growth companies: dynamic growth, consistent growth and cyclical growth. As of April 30, 2023, consistent growth continued to represent the ETF’s largest allocation. However, lowered expectations and a focus on earnings efficiency provided an opportunity to add to dynamic growth stocks at compelling valuations. Although dynamic growth remained the ETF’s smallest allocation in absolute terms, it increased to a larger overweight position relative to the Index. The ETF’s cyclical growth allocation remained a relatively underweight position, consistent with our slowing macroeconomic outlook for the remainder of 2023.
The opinions expressed are those of the portfolio managers as of the date of this report and are subject to change. There is no guarantee that any forecasts will come to pass. This material does not constitute investment advice and is not intended as an endorsement of any specific investment.
Management’s Discussion of Fund Performance (unaudited) (continued)
Hypothetical Growth of a $10,000 Investment
(Since Inception through 4/30/23)
Fund Performance History
IQ Winslow Large Cap Growth ETF
(as of April 30, 2023)
| | | | Since Inception1 | |
| | | | Cumulative | |
IQ Winslow Large Cap Growth ETF Market Price2 | | | | | 14.85% | | |
| IQ Winslow Large Cap Growth ETF NAV | | | | | 14.89% | | |
Russell 1000® Growth Index3 | | | | | 14.69% | | |
1
Fund Inception Date: 6/23/2022
2
The price used to calculate the market price returns is the mean between the day’s last bid and ask prices. The market price returns do not represent returns an investor would receive if shares were traded at other times.
3
The Russell 1000® Growth Index is the primary benchmark index for the ETF. The Russell 1000® Growth Index measures the performance of the large-cap growth segment of the U.S. equity universe. It includes those Russell 1000® Index companies with higher price to-book ratios and higher forecasted growth values.
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. Performance figures may reflect certain fee waivers and/or expense limitations, whithout which total returns may have been lower.
Management’s Discussion of Fund Performance (unaudited) (continued)
IQ Winslow Focused Large Cap Growth ETF
How did IQ Winslow Focused Large Cap Growth ETF perform during the period since its inception on June 23, 2022, through April 30, 2023 (the “reporting period”)?
For the reporting period, IQ Winslow Focused Large Cap Growth ETF returned 18.12% at NAV (net asset value) and 18.11% at market price.1 To compare, the ETF’s benchmark Index, the Russell 1000 Growth Index,2 returned 14.69% for the reporting period.
What factors affected the ETF’s performance during the reporting period?
Large-cap equities generated strong returns for the reporting period. Inflation concerns mellowed, and while the U.S. Federal Reserve (the “Fed”) continued to raise rates, 2-year and 10-year U.S. Treasury yields declined, with investors factoring in a nearer-term end to the tightening cycle. Markets also absorbed the failures of Silicon Valley Bank and Credit Suisse and the flight of deposits away from many banks. One outcome may be the reduction of credit availability in coming months, further dampening economic activity and the need for future Fed rate hikes.
Multiple compression throughout much of 2022 presented attractive starting-point valuations for many companies with resilient and high compounding growth levels. The longer duration of their free cash flow generation positioned growth equities as key beneficiaries for interest rate stabilization, and even more so should rates decline.
During the reporting period, were there any market events that materially impacted the ETF’s performance or liquidity?
At the start of the reporting period, revenue expectations for many growth equities had been rebased to levels that could be exceeded even in a slowing macro environment. In addition, the 2022 market downturn prompted many company managements to reassess their expense structures. We have long believed that disciplined growth with an emphasis on free cash flow generation and prudent use of employee stock options are drivers of long-term strong stock performance. We view many companies’ increased focus on per-share earnings efficiency as an important inflection point for the markets; one that is poised to further propel growth equity outperformance.
During the reporting period, which sectors were the strongest positive contributors to the ETF’s relative performance and which sectors were particularly weak?
On the basis of impact, which takes weightings and total returns into account, the sectors that made the strongest contributions to the ETF’s performance relative to the Index were consumer discretionary and energy, driven by strong security selection. The sectors that made the weakest contributions to the ETF’s absolute performance were consumer staples and information technology, also predominantly driven by security selection.
During the reporting period, which individual stocks made the strongest positive contributions to the ETF’s absolute performance and which stocks detracted the most?
On the basis of impact, which takes weightings and total returns into consideration, the stocks that made the strongest contributions to the ETF’s absolute performance during the reporting period were semiconductor company NVIDIA and fast-food restaurant Chipotle Mexican Grill. We believe NVIDIA is likely to benefit from the strong secular trends in generative AI (artificial intelligence). We continue to like Chipotle’s 8-10% unit growth, mid-to-high single-digit same-store comps, and expanding margins due to improved productivity and the expansion of “Chipotlanes”, Chipotle’s pick-up window that is strictly used for online orders that are placed using Chipotle’s mobile app.
1
The price used to calculate the market price returns is the mean between the day’s last bid and ask prices and does not represent returns an investor would receive if shares were traded at other times.
2
See page 29 for more information on index returns.
Management’s Discussion of Fund Performance (unaudited) (continued)
During the same period, the weakest contributors to the ETF’s absolute performance were cosmetics firm The Estée Lauder Companies and Alphabet, parent company of Google. Estée Lauder reported weak results in the first half of the reporting period as sales continued to suffer from weak trends in China. We exited the ETF’s position in the fourth quarter of 2022 in favor of more attractive opportunities. Alphabet saw operating margins come under pressure due to a slowdown in topline growth, though later in the reporting period the company implemented expense controls and rationalized costs. Alphabet continues to benefit from the growth in digital advertising and has accelerated growth in its cloud businesses.
How did the ETF’s sector weightings change during the reporting period?
During the reporting period, there were several material changes to the ETF’s positioning at the sector level. The largest decrease in exposure were in health care and consumer staples, while the largest increases were in information technology and financials.
How was the ETF positioned at the end of the reporting period?
The ETF’s portfolio structure changed materially during the reporting period, reflecting the market’s factoring in a nearer-term end to the interest-rate tightening cycle. As of April 30, 2023, the two largest positions in the ETF were Tesla and Iberdrola. Tesla is a multinational automotive and clean energy company. The company designs and manufactures electric vehicles, battery energy storage from home to grid scale, solar panels and solar roof tiles and related products and services. Iberdrola generates, distributes, trades and markets electricity in the U.K., United States, Spain, Portugal and Latin America. The company specializes in clean energy generated by wind power.
The opinions expressed are those of the portfolio managers as of the date of this report and are subject to change. There is no guarantee that any forecasts will come to pass. This material does not constitute investment advice and is not intended as an endorsement of any specific investment.
Management’s Discussion of Fund Performance (unaudited) (continued)
Hypothetical Growth of a $10,000 Investment
(Since Inception through 4/30/23)
Fund Performance History
IQ Winslow Focused Large Cap Growth ETF
(as of April 30, 2023)
| | | | Since Inception1 | |
| | | | Cumulative | |
IQ Winslow Focused Large Cap Growth ETF Market Price2 | | | | | 18.11% | | |
| IQ Winslow Focused Large Cap Growth ETF NAV | | | | | 18.12% | | |
Russell 1000® Growth Index3 | | | | | 14.69% | | |
1
Fund Inception Date: 6/23/2022
2
The price used to calculate the market price returns is the mean between the day’s last bid and ask prices. The market price returns do not represent returns an investor would receive if shares were traded at other times.
3
The Russell 1000® Growth Index is the primary benchmark index for the ETF. The Russell 1000® Growth Index measures the performance of the large-cap growth segment of the U.S. equity universe. It includes those Russell 1000® Index companies with higher price to-book ratios and higher forecasted growth values.
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. Performance figures may reflect certain fee waivers and/or expense limitations, whithout which total returns may have been lower.
Fund Expenses (unaudited)
As a shareholder of a fund, you incur two types of costs: (1) transaction costs on purchases and sales and (2) ongoing costs, including Advisory fees and other fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in a fund and to compare these costs with the ongoing costs of investing in other funds. Shareholders may pay brokerage commissions on their purchase and sale of a Fund, which are not reflected in the example.
The examples are based on an investment of $1,000 invested at the beginning of the period and held for the entire period as indicated below.
Actual Expenses
The first line of the table below provides information about actual account values and actual expenses. You may use the information together with the amount you invested, in a particular fund, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled “Expenses Paid During the Period 11/01/22 to 04/30/23” to estimate the expenses you paid on your account during this period. Each Fund will indirectly bear its pro rata share of the expenses incurred by any underlying Fund investments in which each Fund invests. These expenses are not included in the table.
Hypothetical Example for Comparison Purposes
The second line of the table below also provides information about hypothetical account values and hypothetical expenses based on each Fund’s actual expense ratio and an assumed annual rate of return of 5% before expenses, which are not the Funds’ actual returns. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in a fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds. The Funds will indirectly bear their pro rata share of the expenses incurred by any underlying fund investments in which the Funds invest. These expenses are not included in the table.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs. Therefore, the hypothetical example is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
| | | | Beginning
Account
Value
11/01/22 | | | Ending
Account
Value
04/30/23 | | | Annualized
Expense
Ratios for the
Period
11/01/22
to 04/30/23 | | | Expenses
Paid for
Period
11/01/22
to 04/30/231 | |
| IQ Ultra Short Duration ETF | | | | | | | | | | | | | | | | | | | | | | | | | |
| Actual | | | | $ | 1,000.00 | | | | | $ | 1,028.60 | | | | | | 0.19% | | | | | $ | 0.96 | | |
| Hypothetical (assuming a 5% return before expenses) | | | | $ | 1,000.00 | | | | | $ | 1,023.85 | | | | | | 0.19% | | | | | $ | 0.95 | | |
| IQ MacKay ESG Core Plus Bond ETF | | | | | | | | | | | | | | | | | | | | | | | | | |
| Actual | | | | $ | 1,000.00 | | | | | $ | 1,075.20 | | | | | | 0.37% | | | | | $ | 1.90 | | |
| Hypothetical (assuming a 5% return before expenses) | | | | $ | 1,000.00 | | | | | $ | 1,022.96 | | | | | | 0.37% | | | | | $ | 1.86 | | |
| IQ MacKay Multi-Sector Income ETF | | | | | | | | | | | | | | | | | | | | | | | | | |
| Actual | | | | $ | 1,000.00 | | | | | $ | 1,080.90 | | | | | | 0.40% | | | | | $ | 2.06 | | |
| Hypothetical (assuming a 5% return before expenses) | | | | $ | 1,000.00 | | | | | $ | 1,022.81 | | | | | | 0.40% | | | | | $ | 2.01 | | |
| IQ MacKay ESG High Income ETF | | | | | | | | | | | | | | | | | | | | | | | | | |
| Actual | | | | $ | 1,000.00 | | | | | $ | 1,066.00 | | | | | | 0.40% | | | | | $ | 2.05 | | |
| Hypothetical (assuming a 5% return before expenses) | | | | $ | 1,000.00 | | | | | $ | 1,022.81 | | | | | | 0.40% | | | | | $ | 2.01 | | |
| IQ MacKay Municipal Insured ETF | | | | | | | | | | | | | | | | | | | | | | | | | |
| Actual | | | | $ | 1,000.00 | | | | | $ | 1,093.80 | | | | | | 0.28% | | | | | $ | 1.45 | | |
| Hypothetical (assuming a 5% return before expenses) | | | | $ | 1,000.00 | | | | | $ | 1,023.41 | | | | | | 0.28% | | | | | $ | 1.40 | | |
| IQ MacKay Municipal Intermediate ETF | | | | | | | | | | | | | | | | | | | | | | | | | |
| Actual | | | | $ | 1,000.00 | | | | | $ | 1,070.60 | | | | | | 0.29% | | | | | $ | 1.49 | | |
| Hypothetical (assuming a 5% return before expenses) | | | | $ | 1,000.00 | | | | | $ | 1,023.36 | | | | | | 0.29% | | | | | $ | 1.45 | | |
Fund Expenses (unaudited) (continued)
| | | | Beginning
Account
Value
11/01/22 | | | Ending
Account
Value
04/30/23 | | | Annualized
Expense
Ratios for the
Period
11/01/22
to 04/30/23 | | | Expenses
Paid for
Period
11/01/22
to 04/30/231 | |
| IQ MacKay California Municipal Intermediate ETF | | | | | | | | | | | | | | | | | | | | | | | | | |
| Actual | | | | $ | 1,000.00 | | | | | $ | 1,066.00 | | | | | | 0.33% | | | | | $ | 1.69 | | |
| Hypothetical (assuming a 5% return before expenses) | | | | $ | 1,000.00 | | | | | $ | 1,023.16 | | | | | | 0.33% | | | | | $ | 1.66 | | |
| IQ Winslow Large Cap Growth ETF | | | | | | | | | | | | | | | | | | | | | | | | | |
| Actual | | | | $ | 1,000.00 | | | | | $ | 1,127.80 | | | | | | 0.60% | | | | | $ | 3.17 | | |
| Hypothetical (assuming a 5% return before expenses) | | | | $ | 1,000.00 | | | | | $ | 1,021.82 | | | | | | 0.60% | | | | | $ | 3.01 | | |
| IQ Winslow Focused Large Cap Growth ETF | | | | | | | | | | | | | | | | | | | | | | | | | |
| Actual | | | | $ | 1,000.00 | | | | | $ | 1,141.20 | | | | | | 0.65% | | | | | $ | 3.45 | | |
| Hypothetical (assuming a 5% return before expenses) | | | | $ | 1,000.00 | | | | | $ | 1,021.57 | | | | | | 0.65% | | | | | $ | 3.26 | | |
1
Unless otherwise indicated, expenses are calculated using the Fund’s annualized expense ratio, multiplied by the average account value for the period, multiplied by 181/365. (to reflect the one-half year period).
Portfolio Summaries* (Unaudited)
IQ Ultra Short Duration ETF
Net Assets ($ mil): $54.9
| Country | | | % of
Net Assets | |
| United States | | | | | 79.3% | | |
| Cayman Islands | | | | | 10.3 | | |
| Ireland | | | | | 1.9 | | |
| United Kingdom | | | | | 1.8 | | |
| Germany | | | | | 1.2 | | |
| Canada | | | | | 1.0 | | |
| Netherlands | | | | | 0.8 | | |
| Sweden | | | | | 0.6 | | |
| Denmark | | | | | 0.5 | | |
| New Zealand | | | | | 0.5 | | |
| Switzerland | | | | | 0.5 | | |
| Italy | | | | | 0.4 | | |
| Japan | | | | | 0.4 | | |
| Total Investments | | | | | 99.2 | | |
| Other Assets and Liabilites, Net | | | | | 0.8 | | |
| Net Assets | | | | | 100.0% | | |
IQ MacKay ESG Core Plus Bond ETF
Net Assets ($ mil): $242.5
| Country | | | % of
Net Assets | |
| United States | | | | | 86.7% | | |
| United Kingdom | | | | | 2.4 | | |
| France | | | | | 1.9 | | |
| Germany | | | | | 1.4 | | |
| Japan | | | | | 1.2 | | |
| Canada | | | | | 0.9 | | |
| Australia | | | | | 0.9 | | |
| Switzerland | | | | | 0.6 | | |
| Brazil | | | | | 0.4 | | |
| Israel | | | | | 0.4 | | |
| Spain | | | | | 0.4 | | |
| Italy | | | | | 0.4 | | |
| Netherlands | | | | | 0.3 | | |
| Luxembourg | | | | | 0.3 | | |
| Ireland | | | | | 0.3 | | |
| Sweden | | | | | 0.2 | | |
| Supranational | | | | | 0.2 | | |
| Colombia | | | | | 0.2 | | |
| Total Investments | | | | | 99.1 | | |
| Other Assets and Liabilites, Net | | | | | 0.9 | | |
| Net Assets | | | | | 100.0% | | |
*
Each Fund’s portfolio is subject to change.
(a)
Less than 0.05%.
IQ MacKay Multi-Sector Income ETF
Net Assets ($ mil): $24.3
| Country | | | % of
Net Assets | |
| United States | | | | | 87.3% | | |
| France | | | | | 2.0 | | |
| United Kingdom | | | | | 1.4 | | |
| Saudi Arabia | | | | | 0.8 | | |
| Chile | | | | | 0.8 | | |
| Canada | | | | | 0.8 | | |
| China | | | | | 0.8 | | |
| Malaysia | | | | | 0.7 | | |
| Indonesia | | | | | 0.7 | | |
| Qatar | | | | | 0.6 | | |
| Germany | | | | | 0.6 | | |
| Switzerland | | | | | 0.6 | | |
| Israel | | | | | 0.5 | | |
| Colombia | | | | | 0.5 | | |
| Australia | | | | | 0.4 | | |
| Mexico | | | | | 0.3 | | |
| Ireland | | | | | 0.3 | | |
| Netherlands | | | | | 0.1 | | |
| Finland | | | | | 0.0(a) | | |
| Total Investments | | | | | 99.2 | | |
| Other Assets and Liabilites, Net | | | | | 0.8 | | |
| Net Assets | | | | | 100.0% | | |
IQ MacKay ESG High Income ETF
Net Assets ($ mil): $26.0
| Country | | | % of
Net Assets | |
| United States | | | | | 83.5% | | |
| Canada | | | | | 6.0 | | |
| United Kingdom | | | | | 2.6 | | |
| France | | | | | 2.5 | | |
| Italy | | | | | 2.4 | | |
| Netherlands | | | | | 1.3 | | |
| Israel | | | | | 0.6 | | |
| Finland | | | | | 0.4 | | |
| Total Investments | | | | | 99.3 | | |
| Other Assets and Liabilites, Net | | | | | 0.7 | | |
| Net Assets | | | | | 100.0% | | |
See notes to financial statements.
Portfolio Summaries* (Unaudited) (continued)
IQ MacKay Municipal Insured ETF
Net Assets ($ mil): $363.1
| Industry | | | % of
Net Assets | |
| General Obligation | | | | | 23.9% | | |
| School District | | | | | 21.6 | | |
| General | | | | | 13.6 | | |
| Transportation | | | | | 6.5 | | |
| Water | | | | | 5.3 | | |
| Education | | | | | 4.7 | | |
| Airport | | | | | 4.5 | | |
| Development | | | | | 4.4 | | |
| Higher Education | | | | | 4.3 | | |
| Power | | | | | 3.1 | | |
| Medical | | | | | 2.8 | | |
| Mello-Roos | | | | | 1.4 | | |
| Housing | | | | | 1.3 | | |
| Utilities | | | | | 0.9 | | |
| Money Market Fund | | | | | 0.6 | | |
| Student Loan | | | | | 0.0(a) | | |
| Total Investments | | | | | 98.9 | | |
| Other Assets and Liabilites, Net | | | | | 1.1 | | |
| Net Assets | | | | | 100.0% | | |
IQ MacKay Municipal Intermediate ETF
Net Assets ($ mil): $414.5
| Industry | | | % of
Net Assets | |
| General | | | | | 18.2% | | |
| General Obligation | | | | | 18.0 | | |
| School District | | | | | 11.3 | | |
| Water | | | | | 10.1 | | |
| Multifamily Hsg | | | | | 8.2 | | |
| Medical | | | | | 6.2 | | |
| Transportation | | | | | 5.5 | | |
| Higher Education | | | | | 5.3 | | |
| Education | | | | | 3.1 | | |
| Power | | | | | 2.8 | | |
| Utilities | | | | | 2.4 | | |
| Airport | | | | | 1.7 | | |
| Build America Bonds | | | | | 1.0 | | |
| Development | | | | | 0.9 | | |
| Nursing Homes | | | | | 0.8 | | |
| Bond Bank | | | | | 0.8 | | |
| Pollution | | | | | 0.6 | | |
| Mello-Roos | | | | | 0.6 | | |
| Single Family Hsg | | | | | 0.5 | | |
| Housing | | | | | 0.4 | | |
| Money Market Fund | | | | | 0.1 | | |
| Tobacco Settlement | | | | | 0.1 | | |
| Facilities | | | | | 0.1 | | |
| Student Loan | | | | | 0.1 | | |
| Total Investments | | | | | 98.8 | | |
| Other Assets and Liabilites, Net | | | | | 1.2 | | |
| Net Assets | | | | | 100.0% | | |
*
Each Fund’s portfolio is subject to change.
(a)
Less than 0.05%.
IQ MacKay California Municipal Intermediate ETF
Net Assets ($ mil): $50.8
| Industry | | | % of
Net Assets | |
| School District | | | | | 19.6% | | |
| General | | | | | 17.7 | | |
| General Obligation | | | | | 14.8 | | |
| Airport | | | | | 11.8 | | |
| Development | | | | | 10.1 | | |
| Utilities | | | | | 4.6 | | |
| Power | | | | | 4.1 | | |
| Water | | | | | 4.0 | | |
| Medical | | | | | 3.8 | | |
| Money Market Fund | | | | | 2.1 | | |
| Facilities | | | | | 2.0 | | |
| Mello-Roos | | | | | 1.9 | | |
| Higher Education | | | | | 1.7 | | |
| Multifamily Hsg | | | | | 0.8 | | |
| Total Investments | | | | | 99.0 | | |
| Other Assets and Liabilites, Net | | | | | 1.0 | | |
| Net Assets | | | | | 100.0% | | |
IQ Winslow Large Cap Growth ETF
Net Assets ($ mil): $18.7
| Industry | | | % of
Net Assets | |
| Information Technology | | | | | 43.3% | | |
| Health Care | | | | | 16.2 | | |
| Consumer Discretionary | | | | | 14.6 | | |
| Financials | | | | | 8.5 | | |
| Communication Services | | | | | 6.9 | | |
| Consumer Staples | | | | | 4.4 | | |
| Industrials | | | | | 3.5 | | |
| Materials | | | | | 2.2 | | |
| Money Market Fund | | | | | 1.3 | | |
| Total Investments | | | | | 100.9 | | |
| Other Assets and Liabilites, Net | | | | | (0.9) | | |
| Net Assets | | | | | 100.0% | | |
See notes to financial statements.
Portfolio Summaries* (Unaudited) (continued)
IQ Winslow Focused Large Cap Growth ETF
Net Assets ($ mil): $6.2
| Industry | | | % of
Net Assets | |
| Information Technology | | | | | 38.2% | | |
| Health Care | | | | | 14.2 | | |
| Financials | | | | | 11.4 | | |
| Consumer Discretionary | | | | | 9.9 | | |
| Industrials | | | | | 8.3 | | |
| Consumer Staples | | | | | 5.8 | | |
| Communication Services | | | | | 4.6 | | |
| Materials | | | | | 4.2 | | |
| Energy | | | | | 3.4 | | |
| Money Market Fund | | | | | 0.7 | | |
| Total Investments | | | | | 100.7 | | |
| Other Assets and Liabilites, Net | | | | | (0.7) | | |
| Net Assets | | | | | 100.0% | | |
*
Each Fund’s portfolio is subject to change.
See notes to financial statements.
Schedule of Investments — IQ Ultra Short Duration ETF
| | | | Principal
Amount | | | Value | | | |
| Long-Term Bonds — 94.0% | | | |
| Commercial Asset-Backed Securities — 14.1% | | | |
| Asset Backed Securities — 14.1% | | | | | | | |
| Amur Equipment Finance Receivables XI LLC | | | | | | | | | | | | | | | |
| Series 2022-2A A2, 5.300%, due 6/21/28 | | | | $ | 207,700 | | | | | $ | 206,498 | | | | |
| Avis Budget Rental Car Funding AESOP LLC | | | | | | | | | | | | | | | |
| Series 2018-1A A, 3.700%, due 9/20/24 | | | | | 416,667 | | | | | | 414,900 | | | | |
Ford Credit Auto Owner
Trust 2018-REV2 | | | | | | | | | | | | | | | |
Series 2018-2 A, 3.470%, due
1/15/30 | | | | | 500,000 | | | | | | 497,991 | | | | |
| Ford Credit Floorplan Master Owner Trust A | | | | | | | | | | | | | | | |
Series 2019-2 A, 3.060%, due
4/15/26 | | | | | 500,000 | | | | | | 488,333 | | | | |
| Hertz Vehicle Financing III LLC | | | | | | | | | | | | | | | |
| Series 2022-3A A, 3.370%, due 3/25/25 | | | | | 500,000 | | | | | | 490,701 | | | | |
| Neuberger Berman Loan Advisers CLO 32 Ltd., (Cayman Islands) | | | | | | | | | | | | | | | |
Series 2019-32A BR, 6.665%, (3-Month LIBOR + 1.40%), due 1/20/32(a) | | | | | 1,000,000 | | | | | | 966,981 | | | | |
| Oak Hill Credit Partners, (Cayman Islands) | | | | | | | | | | | | | | | |
Series 2021-8A A, 6.452%, (3-Month LIBOR + 1.19%), due 1/18/34(a) | | | | | 750,000 | | | | | | 739,737 | | | | |
Octagon Investment Partners 51 Ltd.,
(Cayman Islands) | | | | | | | | | | | | | | | |
Series 2021-1A A, 6.400%, (3-Month LIBOR + 1.15%), due 7/20/34(a) | | | | | 1,000,000 | | | | | | 978,862 | | | | |
| Palmer Square CLO 2021-2 Ltd., (Cayman Islands) | | | | | | | | | | | | | | | |
Series 2021-2A A, 6.410%, (3-Month LIBOR + 1.15%), due 7/15/34(a) | | | | | 1,000,000 | | | | | | 980,549 | | | | |
| Romark CLO IV Ltd., (Cayman Islands) | | | | | | | | | | | | | | | |
Series 2021-4A A1, 6.381%, (3-Month
LIBOR + 1.17%), due 7/10/34(a) | | | | | 1,000,000 | | | | | | 980,906 | | | | |
| TICP CLO XV Ltd., (Cayman Islands) | | | | | | | | | | | | | | | |
Series 2020-15A A, 6.530%, (3-Month
LIBOR + 1.28%), due 4/20/33(a) | | | | | 1,000,000 | | | | | | 989,942 | | | | |
| | | | | | | | | | | | 7,735,400 | | | | |
Total Commercial Asset-Backed Securities
(Cost $7,844,557) | | | | | | | | | | | 7,735,400 | | | | |
| Commercial Mortgage-Backed Security — 0.9% | | | |
| Mortgage Securities — 0.9% | | | |
Queens Center Mortgage
Trust 2013-QC | | | | | | | | | | | | | | | |
| Series 2013-QCA A, 3.275%, due 1/11/37 | | | | | |
| (Cost $527,067) | | | | | 500,000 | | | | | | 465,993 | | | | |
| | | | Principal
Amount | | | Value | |
| Corporate Bonds — 40.4% | |
| Basic Materials — 0.4% | |
| Celanese US Holdings LLC | | | | | | | | | | | | | |
| 6.330%, due 7/15/29 | | | | $ | 210,000 | | | | | $ | 212,743 | | |
| Communications — 3.2% | |
| T-Mobile USA, Inc. | | | | | | | | | | | | | |
| 1.500%, due 2/15/26 | | | | | 665,000 | | | | | | 609,378 | | |
| 2.625%, due 4/15/26 | | | | | 345,000 | | | | | | 323,595 | | |
| Verizon Communications, Inc. | | | | | | | | | | | | | |
5.610%, (SOFR + 0.79%), due 3/20/26(a) | | | | | 830,000 | | | | | | 824,197 | | |
| | | | | | | | | | | | 1,757,170 | | |
| Consumer, Cyclical — 1.2% | |
| General Motors Financial Co., Inc. | | | | | | | | | | | | | |
| 6.050%, due 10/10/25 | | | | | 325,000 | | | | | | 328,501 | | |
| Warnermedia Holdings, Inc. | | | | | | | | | | | | | |
| 3.428%, due 3/15/24 | | | | | 300,000 | | | | | | 293,439 | | |
| | | | | | | | | | | | 621,940 | | |
| Consumer, Non-cyclical — 3.5% | |
| Amgen, Inc. | | | | | | | | | | | | | |
| 5.150%, due 3/2/28 | | | | | 205,000 | | | | | | 209,820 | | |
| Global Payments, Inc. | | | | | | | | | | | | | |
| 1.500%, due 11/15/24 | | | | | 450,000 | | | | | | 424,779 | | |
| Laboratory Corp. of America Holdings | | | | | | | | | | | | | |
| 3.250%, due 9/1/24 | | | | | 575,000 | | | | | | 561,653 | | |
| Mondelez International, Inc. | | | | | | | | | | | | | |
| 2.125%, due 3/17/24 | | | | | 480,000 | | | | | | 467,501 | | |
| PayPal Holdings, Inc. | | | | | | | | | | | | | |
| 3.900%, due 6/1/27 | | | | | 210,000 | | | | | | 207,440 | | |
| | | | | | | | | | | | 1,871,193 | | |
| Energy — 1.4% | |
| Energy Transfer LP | | | | | | | | | | | | | |
| 5.550%, due 2/15/28 | | | | | 210,000 | | | | | | 214,112 | | |
| ONEOK, Inc. | | | | | | | | | | | | | |
| 5.850%, due 1/15/26 | | | | | 235,000 | | | | | | 239,679 | | |
| Plains All American Pipeline LP / PAA Finance Corp. | | | | | | | | | | | | | |
| 4.500%, due 12/15/26 | | | | | 335,000 | | | | | | 328,937 | | |
| | | | | | | | | | | | 782,728 | | |
| Financial — 18.3% | |
| Air Lease Corp. | | | | | | | | | | | | | |
| 0.800%, due 8/18/24 | | | | | 860,000 | | | | | | 807,531 | | |
| American Express Co. | | | | | | | | | | | | | |
| 3.950%, due 8/1/25 | | | | | 605,000 | | | | | | 593,240 | | |
| Bank of America Corp. | | | | | | | | | | | | | |
| 4.200%, due 8/26/24 | | | | | 1,025,000 | | | | | | 1,011,100 | | |
5.080%, (SOFR + 1.29%), due 1/20/27(a) | | | | | 495,000 | | | | | | 494,056 | | |
| Bank of New York Mellon Corp. (The) | | | | | | | | | | | | | |
4.543%, (SOFR + 1.17%), due 2/1/29(a) | | | | | 215,000 | | | | | | 213,688 | | |
4.947%, (SOFR + 1.03%), due
4/26/27 | | | | | 135,000 | | | | | | 135,975 | | |
See notes to financial statements.
Schedule of Investments — IQ Ultra Short Duration ETF (continued)
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Financial (continued) | |
| Blackstone Holdings Finance Co. LLC | | | | | | | | | | | | | |
| 5.900%, due 11/3/27 | | | | $ | 230,000 | | | | | $ | 235,963 | | |
| Blackstone Private Credit Fund | | | | | | | | | | | | | |
| 7.050%, due 9/29/25 | | | | | 220,000 | | | | | | 220,305 | | |
| Capital One Financial Corp. | | | | | | | | | | | | | |
4.166%, (SOFR + 1.37%), due 5/9/25(a) | | | | | 640,000 | | | | | | 623,168 | | |
| Citigroup, Inc. | | | | | | | | | | | | | |
5.610%, (SOFR + 1.55%), due 9/29/26(a) | | | | | 295,000 | | | | | | 298,435 | | |
| Citizens Bank NA/Providence RI | | | | | | | | | | | | | |
6.064%, (SOFR + 1.45%), due 10/24/25(a) | | | | | 250,000 | | | | | | 241,914 | | |
| Corebridge Financial, Inc. | | | | | | | | | | | | | |
| 3.500%, due 4/4/25 | | | | | 760,000 | | | | | | 730,217 | | |
| Fifth Third Bancorp | | | | | | | | | | | | | |
6.361%, (SOFR + 2.19%), due 10/27/28(a) | | | | | 500,000 | | | | | | 516,014 | | |
| HSBC USA, Inc. | | | | | | | | | | | | | |
| 5.625%, due 3/17/25 | | | | | 300,000 | | | | | | 302,304 | | |
| Huntington National Bank (The) | | | | | | | | | | | | | |
4.008%, (SOFR + 1.21%), due 5/16/25(a) | | | | | 675,000 | | | | | | 650,610 | | |
| JPMorgan Chase & Co. | | | | | | | | | | | | | |
3.845%, (SOFR + 0.98%), due 6/14/25(a) | | | | | 725,000 | | | | | | 711,781 | | |
5.546%, (SOFR + 1.07%), due 12/15/25(a) | | | | | 210,000 | | | | | | 210,945 | | |
| Manufacturers & Traders Trust Co. | | | | | | | | | | | | | |
| 5.400%, due 11/21/25 | | | | | 250,000 | | | | | | 244,185 | | |
| Morgan Stanley | | | | | | | | | | | | | |
4.679%, (SOFR + 1.67%), due 7/17/26(a) | | | | | 400,000 | | | | | | 396,700 | | |
5.050%, (SOFR + 1.30%), due 1/28/27(a) | | | | | 650,000 | | | | | | 651,722 | | |
| Morgan Stanley Bank NA | | | | | | | | | | | | | |
| 4.754%, due 4/21/26 | | | | | 250,000 | | | | | | 251,242 | | |
| PNC Financial Services Group, Inc. (The) | | | | | | | | | | | | | |
4.758%, (SOFR + 1.09%), due 1/26/27(a) | | | | | 125,000 | | | | | | 123,572 | | |
| State Street Corp. | | | | | | | | | | | | | |
4.857%, (SOFR + 0.60%), due 1/26/26(a) | | | | | 85,000 | | | | | | 84,864 | | |
| Truist Financial Corp. | | | | | | | | | | | | | |
4.873%, (SOFR + 1.44%), due 1/26/29(a) | | | | | 105,000 | | | | | | 102,780 | | |
| US Bancorp | | | | | | | | | | | | | |
4.653%, (SOFR + 1.23%), due 2/1/29(a) | | | | | 220,000 | | | | | | 214,074 | | |
| | | | | | | | | | | | 10,066,385 | | |
| Industrial — 0.1% | |
| Berry Global, Inc. | | | | | | | | | | | | | |
| 5.500%, due 4/15/28 | | | | | 70,000 | | | | | | 70,041 | | |
| |
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Technology — 0.9% | |
| Micron Technology, Inc. | | | | | | | | | | | | | |
| 5.375%, due 4/15/28 | | | | $ | 120,000 | | | | | $ | 119,606 | | |
| 6.750%, due 11/1/29 | | | | | 60,000 | | | | | | 63,229 | | |
| Oracle Corp. | | | | | | | | | | | | | |
| 5.800%, due 11/10/25 | | | | | 315,000 | | | | | | 322,862 | | |
| | | | | | | | | | | | 505,697 | | |
| Utilities — 11.4% | |
| American Electric Power Co., Inc. | | | | | | | | | | | | | |
| 2.031%, due 3/15/24 | | | | | 165,000 | | | | | | 159,808 | | |
| CenterPoint Energy, Inc. | | | | | | | | | | | | | |
5.369%, (SOFR + 0.65%), due 5/13/24(a) | | | | | 1,445,000 | | | | | | 1,438,410 | | |
| Entergy Louisiana LLC | | | | | | | | | | | | | |
| 0.620%, due 11/17/23 | | | | | 374,000 | | | | | | 364,491 | | |
| Eversource Energy | | | | | | | | | | | | | |
Series T, 4.974%, (SOFR + 0.25%), due
8/15/23(a) | | | | | 1,585,000 | | | | | | 1,583,526 | | |
| Florida Power & Light Co. | | | | | | | | | | | | | |
| 5.050%, due 4/1/28 | | | | | 220,000 | | | | | | 227,788 | | |
| Nextera Energy Capital Holdings, Inc. | | | | | | | | | | | | | |
| 6.051%, due 3/1/25 | | | | | 95,000 | | | | | | 96,580 | | |
| Pacific Gas and Electric Co. | | | | | | | | | | | | | |
| 3.250%, due 2/16/24 | | | | | 560,000 | | | | | | 548,171 | | |
| 4.200%, due 3/1/29 | | | | | 378,000 | | | | | | 350,028 | | |
| Sempra Energy | | | | | | | | | | | | | |
| 3.300%, due 4/1/25 | | | | | 290,000 | | | | | | 281,570 | | |
| Southern California Edison Co. | | | | | | | | | | | | | |
| 1.100%, due 4/1/24 | | | | | 200,000 | | | | | | 192,101 | | |
| 5.300%, due 3/1/28 | | | | | 135,000 | | | | | | 138,644 | | |
| 5.850%, due 11/1/27 | | | | | 205,000 | | | | | | 215,464 | | |
| Southern Co. (The) | | | | | | | | | | | | | |
| 5.150%, due 10/6/25 | | | | | 235,000 | | | | | | 237,366 | | |
| Virginia Electric and Power Co. | | | | | | | | | | | | | |
| Series B, 3.750%, due 5/15/27 | | | | | 430,000 | | | | | | 420,961 | | |
| | | | | | | | | | | | 6,254,908 | | |
| Total Corporate Bonds | | | | | | | | | | | | | |
| (Cost $22,468,583) | | | | | | | | | | | 22,142,805 | | |
| Foreign Bonds — 9.5% | |
| Consumer, Cyclical — 1.2% | |
Daimler Truck Finance North America
LLC, (Germany) | | | | | | | | | | | | | |
| 5.150%, due 1/16/26 | | | | | 150,000 | | | | | | 151,238 | | |
| Volkswagen Group of America Finance LLC, (Germany) | | | | | | | | | | | | | |
| 1.250%, due 11/24/25 | | | | | 565,000 | | | | | | 516,694 | | |
| | | | | | | | | | | | 667,932 | | |
| Financial — 7.9% | |
| AerCap Ireland Capital DAC / AerCap Global Aviation Trust, (Ireland) | | | | | | | | | | | | | |
| 1.650%, due 10/29/24 | | | | | 1,140,000 | | | | | | 1,065,956 | | |
| Bank of New Zealand, (New Zealand) | | | | | | | | | | | | | |
| 4.846%, due 2/7/28 | | | | | 265,000 | | | | | | 265,410 | | |
See notes to financial statements.
Schedule of Investments — IQ Ultra Short Duration ETF (continued)
| | | | Principal
Amount | | | Value | |
| Foreign Bonds (continued) | |
| Financial (continued) | |
| Barclays PLC, (United Kingdom) | | | | | | | | | | | | | |
7.385%, (1 Year US CMT T-Note + 3.30%), due 11/2/28(a) | | | | $ | 200,000 | | | | | $ | 212,975 | | |
| Cooperatieve Rabobank UA, (Netherlands) | | | | | | | | | | | | | |
4.655%, (1 Year US CMT T-Note + 1.75%), due 8/22/28(a) | | | | | 440,000 | | | | | | 429,335 | | |
| Credit Suisse AG, (Switzerland) | | | | | | | | | | | | | |
| 7.950%, due 1/9/25 | | | | | 250,000 | | | | | | 254,440 | | |
| Danske Bank A/S, (Denmark) | | | | | | | | | | | | | |
6.466%, (1 Year US CMT T-Note + 2.10%), due 1/9/26(a) | | | | | 285,000 | | | | | | 287,031 | | |
| HSBC Holdings PLC, (United Kingdom) | | | | | | | | | | | | | |
7.336%, (SOFR + 3.03%), due 11/3/26(a) | | | | | 420,000 | | | | | | 440,411 | | |
| Mitsubishi UFJ Financial Group, Inc., (Japan) | | | | | | | | | | | | | |
5.541%, (1 Year US CMT T-Note + 1.50%), due 4/17/26(a) | | | | | 200,000 | | | | | | 200,636 | | |
| Natwest Group PLC, (United Kingdom) | | | | | | | | | | | | | |
5.847%, (1 Year US CMT T-Note + 1.35%), due 3/2/27(a) | | | | | 300,000 | | | | | | 303,486 | | |
| Royal Bank of Canada, (Canada) | | | | | | | | | | | | | |
| 5.660%, due 10/25/24 | | | | | 280,000 | | | | | | 282,869 | | |
| Swedbank AB, (Sweden) | | | | | | | | | | | | | |
| 5.337%, due 9/20/27 | | | | | 350,000 | | | | | | 351,355 | | |
| Toronto-Dominion Bank (The), (Canada) | | | | | | | | | | | | | |
| 4.285%, due 9/13/24 | | | | | 255,000 | | | | | | 252,128 | | |
| | | | | | | | | | | | 4,346,032 | | |
| Utilities — 0.4% | |
| Enel Finance America LLC, (Italy) | | | | | | | | | | | | | |
| 7.100%, due 10/14/27 | | | | | 200,000 | | | | | | 214,524 | | |
| Total Foreign Bonds | | | | | | | | | | | | | |
| (Cost $5,300,217) | | | | | | | | | | | 5,228,488 | | |
| U.S. Treasury Notes — 26.4% | |
U.S. Treasury Note, 3.625%, due
3/31/28 | | | | | 2,355,000 | | | | | | 2,367,695 | | |
U.S. Treasury Note, 3.625%, due
3/31/30 | | | | | 275,000 | | | | | | 277,535 | | |
U.S. Treasury Note, 3.750%, due
4/15/26 | | | | | 1,500,000 | | | | | | 1,500,469 | | |
U.S. Treasury Note, 3.875%, due
3/31/25 | | | | | 10,380,000 | | | | | | 10,337,831 | | |
| | | | | | | | | | | | 14,483,530 | | |
| Total U.S. Treasury Notes | | | | | | | | | | | | | |
| (Cost $14,467,312) | | | | | | | | | | | 14,483,530 | | |
| |
| | | | Principal
Amount | | | Value | |
United States Government Agency Mortgage-Backed
Securities — 2.7% | |
| Mortgage Securities — 2.7% | |
| Freddie Mac Multifamily Structured Pass Through Certificates | | | | | | | | | | | | | |
Series 2020-K108, 1.810%, due 3/25/30(a)(b)(c) | | | | $ | 7,354,009 | | | | | $ | 680,621 | | |
Series 2020-K119, 1.024%, due 9/25/30(a)(b)(c) | | | | | 14,909,683 | | | | | | 803,413 | | |
| | | | | | | | | | | | 1,484,034 | | |
| Total United States Government Agency Mortgage-Backed Securities | | | | | | | | | | | | | |
| (Cost $1,692,859) | | | | | | | | | | | 1,484,034 | | |
| |
| | | | Shares | | | | | | | |
| Short-Term Investment — 5.2% | |
| Money Market Fund — 5.2% | |
| BlackRock Liquidity T-Fund, 4.72%(d) | | | | | | | | | | | | | |
| (Cost $2,837,752) | | | | | 2,837,752 | | | | | | 2,837,752 | | |
| Total Investments — 99.2% | |
| (Cost $55,138,347) | | | | | | | | | | | 54,378,002 | | |
Other Assets and Liabilities,
Net — 0.8% | | | | | | | | | | | 476,451 | | |
| Net Assets — 100.0% | | | | | | | | | | $ | 54,854,453 | | |
(a)
Variable rate securities that may be tendered back to the issuer at any time prior to maturity at par. Rate shown is the rate in effect as of April 30, 2023.
(b)
Adjustable rate security with an interest rate that is not based on a published reference index and spread. The rate is based on the structure of the agreement and current market conditions.
(c)
Interest only security. An interest only security is the interest only portion of a fixed income security, which is separated and sold individually from the principal portion of the security.
(d)
Reflects the 7-day yield at April 30, 2023.
Abbreviations
| | CMT | | | — | | | Constant Maturity Treasury Index | |
| | LIBOR | | | — | | | London InterBank Offered Rate | |
| | SOFR | | | — | | | Secured Financing Overnight Rate | |
See notes to financial statements.
Schedule of Investments — IQ Ultra Short Duration ETF (continued)
Open futures contracts outstanding at April 30, 2023:
| Type | | | Broker | | | Expiration
Date | | | Number of
Contracts
Purchased
(Sold) | | | Notional
Value at
Trade
Date | | | Notional
Value at
April 30,
2023 | | | Unrealized
Appreciation
(Depreciation) | |
| U.S. 10 Year Note (CBT) | | | RBC Capital Markets | | | June 2023 | | | | | (4) | | | | | $ | (447,204) | | | | | $ | (460,813) | | | | | $ | (13,609) | | |
| U.S. 10 Year Ultra Note | | | RBC Capital Markets | | | June 2023 | | | | | (10) | | | | | | (1,215,956) | | | | | | (1,214,531) | | | | | | 1,425 | | |
| U.S. 2 Year Note (CBT) | | | RBC Capital Markets | | | June 2023 | | | | | (43) | | | | | | (8,769,579) | | | | | | (8,865,055) | | | | | | (95,476) | | |
| U.S. 5 Year Note (CBT) | | | RBC Capital Markets | | | June 2023 | | | | | (108) | | | | | | (11,597,012) | | | | | | (11,852,156) | | | | | | (255,144) | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | $ | (362,804) | | |
CBT — Chicago Board of Trade
Cash posted as collateral to broker for futures contracts was $282,400 at April 30, 2023.
The following is a summary of the inputs used to value the Fund’s investments as of April 30, 2023. For more information on the valuation techniques, and their aggregation into the levels used in the table below, please refer to Note 2.
| Description | | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
| Asset Valuation Inputs | | | | | | | | | | | | | | | | | | | | | | | | | |
| Investments in Securities:(e) | | | | | | | | | | | | | | | | | | | | | | | | | |
| Commercial Asset-Backed Securities | | | | $ | — | | | | | $ | 7,735,400 | | | | | $ | — | | | | | $ | 7,735,400 | | |
| Commercial Mortgage-Backed Security | | | | | — | | | | | | 465,993 | | | | | | — | | | | | | 465,993 | | |
| Corporate Bonds | | | | | — | | | | | | 22,142,805 | | | | | | — | | | | | | 22,142,805 | | |
| Foreign Bonds | | | | | — | | | | | | 5,228,488 | | | | | | — | | | | | | 5,228,488 | | |
| U.S. Treasury Notes | | | | | — | | | | | | 14,483,530 | | | | | | — | | | | | | 14,483,530 | | |
United States Government Agency Mortgage-Backed
Securities | | | | | — | | | | | | 1,484,034 | | | | | | — | | | | | | 1,484,034 | | |
| Short-Term Investment: | | | | | | | | | | | | | | | | | | | | | | | | | |
| Money Market Fund | | | | | 2,837,752 | | | | | | — | | | | | | — | | | | | | 2,837,752 | | |
| Total Investments in Securities | | | | | 2,837,752 | | | | | | 51,540,250 | | | | | | — | | | | | | 54,378,002 | | |
| Other Financial Instruments:(f) | | | | | | | | | | | | | | | | | | | | | | | | | |
| Futures Contracts | | | | | 1,425 | | | | | | — | | | | | | — | | | | | | 1,425 | | |
| Total Investments in Securities and Other Financial Instruments | | | | $ | 2,839,177 | | | | | $ | 51,540,250 | | | | | $ | — | | | | | $ | 54,379,427 | | |
| Liability Valuation Inputs | | | | | | | | | | | | | | | | | | | | | | | | | |
| Other Financial Instruments:(f) | | | | | | | | | | | | | | | | | | | | | | | | | |
| Futures Contracts | | | | $ | (364,229) | | | | | $ | — | | | | | $ | — | | | | | $ | (364,229) | | |
(e)
For a complete listing of investments and their industries, see the Schedule of Investments.
(f)
Reflects the unrealized appreciation (depreciation) of the instruments.
For the year ended April 30, 2023, the Fund did not have any transfers into or out of Level 3 within the fair value hierarchy. (See Note 2)
See notes to financial statements.
Schedule of Investments — IQ MacKay ESG Core Plus Bond ETF
| | | | Principal
Amount | | | Value | |
| Long-Term Bonds — 98.8% | |
| Collateralized Mortgage Obligations — 11.4% | |
| Mortgage Securities — 11.4% | |
| Agate Bay Mortgage Trust 2015-5 | | | | | | | | | | | | | |
Series 2015-5 B3, 3.578%, due 7/25/45(a)(b) | | | | $ | 189,997 | | | | | $ | 161,072 | | |
| CHL Mortgage Pass-Through Trust 2005-9 | | | | | | | | | | | | | |
Series 2005-9 1A1, 5.620%, (1-Month LIBOR + 0.60%), due 5/25/35(a) | | | | | 45,536 | | | | | | 35,424 | | |
| Connecticut Avenue Securities Trust 2020-R02 | | | | | | | | | | | | | |
Series 2020-R02 2M2, 7.020%, (1-Month
LIBOR + 2.00%), due 1/25/40(a) | | | | | 207,797 | | | | | | 207,998 | | |
| Connecticut Avenue Securities Trust 2021-R01 | | | | | | | | | | | | | |
Series 2021-R01 1B1, 7.915%, (SOFR30A + 3.10%), due
10/25/41(a) | | | | | 665,000 | | | | | | 645,010 | | |
Series 2021-R01 1M2, 6.365%, (SOFR30A + 1.55%), due
10/25/41(a) | | | | | 409,445 | | | | | | 400,233 | | |
| Connecticut Avenue Securities Trust 2022-R04 | | | | | | | | | | | | | |
Series 2022-R04 1M2, 7.915%, (SOFR30A + 3.10%), due
3/25/42(a) | | | | | 275,000 | | | | | | 277,750 | | |
| Fannie Mae Connecticut Avenue Securities | | | | | | | | | | | | | |
Series 2016-C01 1M2, 11.770%, (1-Month LIBOR + 6.75%), due 8/25/28(a) | | | | | 174,279 | | | | | | 188,359 | | |
Series 2017-C01 1B1, 10.770%, (1-Month LIBOR + 5.75%), due 7/25/29(a) | | | | | 135,000 | | | | | | 152,154 | | |
Series 2017-C02 2M2C, 8.670%, (1-Month LIBOR + 3.65%), due 9/25/29(a) | | | | | 245,000 | | | | | | 254,331 | | |
Series 2017-C03 1B1, 9.870%, (1-Month
LIBOR + 4.85%), due 10/25/29(a) | | | | | 590,000 | | | | | | 647,373 | | |
Series 2017-C05 1B1, 8.620%, (1-Month
LIBOR + 3.60%), due 1/25/30(a) | | | | | 375,000 | | | | | | 395,571 | | |
Series 2017-C07 1B1, 9.020%, (1-Month
LIBOR + 4.00%), due 5/25/30(a) | | | | | 735,000 | | | | | | 782,630 | | |
Series 2018-C01 1B1, 8.570%, (1-Month
LIBOR + 3.55%), due 7/25/30(a) | | | | | 1,205,000 | | | | | | 1,284,741 | | |
Series 2018-C03 1B1, 8.770%, (1-Month
LIBOR + 3.75%), due 10/25/30(a) | | | | | 685,000 | | | | | | 734,572 | | |
Series 2018-C04 2B1, 9.520%, (1-Month
LIBOR + 4.50%), due 12/25/30(a) | | | | | 630,000 | | | | | | 682,246 | | |
Series 2018-C05 1B1, 9.270%, (1-Month
LIBOR + 4.25%), due 1/25/31(a) | | | | | 625,000 | | | | | | 681,894 | | |
Series 2021-R02 2B1, 8.115%, (SOFR30A + 3.30%), due
11/25/41(a) | | | | | 200,000 | | | | | | 192,750 | | |
Series 2021-R02 2M2, 6.815%, (SOFR30A + 2.00%), due
11/25/41(a) | | | | | 518,045 | | | | | | 495,381 | | |
| Fannie Mae Interest Strip | | | | | | | | | | | | | |
Series 2022-427 C77, 2.500%, due 9/25/51(c) | | | | | 2,127,015 | | | | | | 313,075 | | |
| | | | Principal
Amount | | | Value | |
| Collateralized Mortgage Obligations (continued) | |
| Mortgage Securities (continued) | |
| Freddie Mac STACR Remic Trust 2020-DNA2 | | | | | | | | | | | | | |
Series 2020-DNA2 B1, 7.520%, (1-Month LIBOR + 2.50%), due 2/25/50(a) | | | | $ | 610,000 | | | | | $ | 591,737 | | |
Series 2020-DNA2 M2, 6.870%, (1-Month LIBOR + 1.85%), due 2/25/50(a) | | | | | 49,478 | | | | | | 49,416 | | |
| Freddie Mac STACR REMIC Trust 2020-DNA6 | | | | | | | | | | | | | |
Series 2020-DNA6 B1, 7.815%, (SOFR30A + 3.00%), due
12/25/50(a) | | | | | 425,000 | | | | | | 414,100 | | |
| Freddie Mac STACR REMIC Trust 2021-DNA5 | | | | | | | | | | | | | |
Series 2021-DNA5 B1, 7.865%, (SOFR30A + 3.05%), due
1/25/34(a) | | | | | 1,190,000 | | | | | | 1,131,820 | | |
Series 2021-DNA5 M2, 6.465%, (SOFR30A + 1.65%), due
1/25/34(a) | | | | | 42,567 | | | | | | 42,235 | | |
| Freddie Mac STACR REMIC Trust 2021-DNA6 | | | | | | | | | | | | | |
Series 2021-DNA6 B1, 8.215%, (SOFR30A + 3.40%), due 10/25/41(a) | | | | | 685,000 | | | | | | 668,307 | | |
| Freddie Mac STACR REMIC Trust 2021-HQA1 | | | | | | | | | | | | | |
Series 2021-HQA1 B1, 7.815%, (SOFR30A + 3.00%), due
8/25/33(a) | | | | | 980,000 | | | | | | 889,402 | | |
Series 2021-HQA1 M2, 7.065%, (SOFR30A + 2.25%), due
8/25/33(a) | | | | | 900,019 | | | | | | 876,402 | | |
| Freddie Mac STACR REMIC Trust 2021-HQA2 | | | | | | | | | | | | | |
Series 2021-HQA2 B1, 7.965%, (SOFR30A + 3.15%), due
12/25/33(a) | | | | | 805,000 | | | | | | 729,574 | | |
Series 2021-HQA2 M2, 6.865%, (SOFR30A + 2.05%), due
12/25/33(a) | | | | | 850,000 | | | | | | 812,118 | | |
| Freddie Mac STACR REMIC Trust 2021-HQA3 | | | | | | | | | | | | | |
Series 2021-HQA3 B1, 8.165%, (SOFR30A + 3.35%), due
9/25/41(a) | | | | | 945,000 | | | | | | 882,989 | | |
| Freddie Mac STACR REMIC Trust 2022-DNA1 | | | | | | | | | | | | | |
Series 2022-DNA1 B1, 8.215%, (SOFR30A + 3.40%), due
1/25/42(a) | | | | | 410,000 | | | | | | 382,377 | | |
Series 2022-DNA1 M1B, 6.665%, (SOFR30A + 1.85%), due
1/25/42(a) | | | | | 405,000 | | | | | | 392,103 | | |
Series 2022-DNA1 M2, 7.315%, (SOFR30A + 2.50%), due
1/25/42(a) | | | | | 485,000 | | | | | | 456,528 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay ESG Core Plus Bond ETF (continued)
| | | | Principal
Amount | | | Value | |
| Collateralized Mortgage Obligations (continued) | |
| Mortgage Securities (continued) | |
| Freddie Mac STACR REMIC Trust 2022-DNA2 | | | | | | | | | | | | | |
Series 2022-DNA2 M1B, 7.215%, (SOFR30A + 2.40%), due
2/25/42(a) | | | | $ | 425,000 | | | | | $ | 418,630 | | |
Series 2022-DNA2 M2, 8.565%, (SOFR30A + 3.75%), due
2/25/42(a) | | | | | 535,000 | | | | | | 524,300 | | |
| Freddie Mac STACR REMIC Trust 2022-DNA3 | | | | | | | | | | | | | |
Series 2022-DNA3 M1B, 7.715%, (SOFR30A + 2.90%), due
4/25/42(a) | | | | | 870,000 | | | | | | 867,825 | | |
| Freddie Mac STACR Trust 2018-DNA2 | | | | | | | | | | | | | |
Series 2018-DNA2 B1, 8.720%, (1-Month LIBOR + 3.70%), due 12/25/30(a) | | | | | 585,000 | | | | | | 603,966 | | |
| Freddie Mac STACR Trust 2019-DNA1 | | | | | | | | | | | | | |
Series 2019-DNA1 B1, 9.670%, (1-Month LIBOR + 4.65%), due 1/25/49(a) | | | | | 345,000 | | | | | | 371,925 | | |
| Freddie Mac STACR Trust 2019-DNA2 | | | | | | | | | | | | | |
Series 2019-DNA2 B1, 9.370%, (1-Month LIBOR + 4.35%), due 3/25/49(a) | | | | | 755,000 | | | | | | 788,879 | | |
| Freddie Mac STACR Trust 2019-DNA3 | | | | | | | | | | | | | |
Series 2019-DNA3 B1, 8.270%, (1-Month LIBOR + 3.25%), due 7/25/49(a) | | | | | 330,000 | | | | | | 338,810 | | |
| Freddie Mac Structured Agency Credit Risk Debt Notes | | | | | | | | | | | | | |
Series 2018-DNA1 B1, 8.170%, (1-Month LIBOR + 3.15%), due 7/25/30(a) | | | | | 505,000 | | | | | | 515,206 | | |
Series 2018-HQA1 M2, 7.320%, (1-Month LIBOR + 2.30%), due 9/25/30(a) | | | | | 369,292 | | | | | | 371,972 | | |
Series 2021-DNA2 B1, 8.215%, (SOFR30A + 3.40%), due
8/25/33(a) | | | | | 435,000 | | | | | | 425,454 | | |
Series 2021-DNA2 M2, 7.115%, (SOFR30A + 2.30%), due
8/25/33(a) | | | | | 455,000 | | | | | | 453,863 | | |
| Government National Mortgage Association | | | | | | | | | | | | | |
Series 2020-34 SC, 1.097%, (1-Month LIBOR + 6.05%), due 3/20/50(a)(c) | | | | | 1,120,808 | | | | | | 136,112 | | |
Series 2020-97 HB, 1.000%, due
7/20/50 | | | | | 322,963 | | | | | | 251,530 | | |
Series 2021-122 HS, 1.347%, (1-Month LIBOR + 6.30%), due 7/20/51(a)(c) | | | | | 1,248,875 | | | | | | 181,911 | | |
Series 2022-83 IO, 2.500%, due 11/20/51(c) | | | | | 992,711 | | | | | | 131,346 | | |
Series 2023-1 HD, 3.500%, due
1/20/52 | | | | | 995,437 | | | | | | 935,982 | | |
Series 2023-1 MA, 3.500%, due
5/20/50 | | | | | 826,247 | | | | | | 778,515 | | |
| | | | Principal
Amount | | | Value | |
| Collateralized Mortgage Obligations (continued) | |
| Mortgage Securities (continued) | |
| HarborView Mortgage Loan Trust 2005-2 | | | | | | | | | | | | | |
Series 2005-2 2A1A, 5.391%, (1-Month
LIBOR + 0.44%), due 5/19/35(a) | | | | $ | 68,197 | | | | | $ | 61,166 | | |
| Master Alternative Loan Trust 2005-5 | | | | | | | | | | | | | |
Series 2005-5 3A1, 5.750%, due
8/25/35 | | | | | 533,766 | | | | | | 285,422 | | |
| NewRez Warehouse Securitization Trust 2021-1 | | | | | | | | | | | | | |
Series 2021-1 A, 5.770%, (1-Month LIBOR + 0.75%), due 5/25/55(a) | | | | | 390,000 | | | | | | 385,997 | | |
| OBX 2019-INV2 Trust | | | | | | | | | | | | | |
Series 2019-INV2 A5, 4.000%, due 5/27/49(a)(b) | | | | | 333,426 | | | | | | 315,519 | | |
| OBX 2022-J1 Trust | | | | | | | | | | | | | |
Series 2022-J1 A14, 2.500%, due 2/25/52(a)(b) | | | | | 246,407 | | | | | | 194,382 | | |
| Sequoia Mortgage Trust 2021-4 | | | | | | | | | | | | | |
Series 2021-4 AIO1, 0.169%, due 6/25/51(a)(b)(c) | | | | | 13,249,199 | | | | | | 110,721 | | |
| Shellpoint Co.-Originator Trust 2015-1 | | | | | | | | | | | | | |
Series 2015-1 B3, 3.777%, due 8/25/45(a)(b) | | | | | 393,697 | | | | | | 369,728 | | |
| STACR Trust 2018-HRP2 | | | | | | | | | | | | | |
Series 2018-HRP2 B1, 9.220%, (1-Month
LIBOR + 4.20%), due 2/25/47(a) | | | | | 560,000 | | | | | | 586,468 | | |
Series 2018-HRP2 M3, 7.420%, (1-Month LIBOR + 2.40%), due 2/25/47(a) | | | | | 151,705 | | | | | | 151,506 | | |
| WaMu Mortgage Pass-Through Certificates Series 2004-AR13 Trust | | | | | | | | | | | | | |
Series 2004-AR13 A2B, 5.900%, (1-Month LIBOR + 0.88%), due 11/25/34(a) | | | | | 55,690 | | | | | | 50,385 | | |
| WaMu Mortgage Pass-Through Certificates Series 2006-AR9 Trust | | | | | | | | | | | | | |
Series 2006-AR9 2A, 4.513%, (12MTA +
1.05%), due 8/25/46(a) | | | | | 62,487 | | | | | | 50,499 | | |
| | | | | | | | | | | | 27,509,691 | | |
Total Collateralized Mortgage Obligations
(Cost $26,928,205) | | | | | | | | | | | 27,509,691 | | |
| Commercial Asset-Backed Securities — 9.8% | |
| Asset Backed Securities — 9.8% | |
| American Credit Acceptance Receivables Trust 2020-4 | | | | | | | | | | | | | |
Series 2020-4 F, 5.220%, due
8/13/27 | | | | | 220,000 | | | | | | 215,666 | | |
| American Credit Acceptance Receivables Trust 2021-2 | | | | | | | | | | | | | |
Series 2021-2 D, 1.340%, due
7/13/27 | | | | | 615,000 | | | | | | 580,626 | | |
| American Credit Acceptance Receivables Trust 2021-3 | | | | | | | | | | | | | |
Series 2021-3 D, 1.340%, due
11/15/27 | | | | | 175,000 | | | | | | 163,584 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay ESG Core Plus Bond ETF (continued)
| | | | Principal
Amount | | | Value | |
| Commercial Asset-Backed Securities (continued) | |
| Asset Backed Securities (continued) | |
| American Credit Acceptance Receivables Trust 2022-1 | | | | | | | | | | | | | |
Series 2022-1 D, 2.460%, due
3/13/28 | | | | $ | 765,000 | | | | | $ | 717,737 | | |
| AMSR 2020-SFR1 Trust | | | | | | | | | | | | | |
Series 2020-SFR1 A, 1.819%, due
4/17/37 | | | | | 579,444 | | | | | | 540,207 | | |
| AMSR 2020-SFR3 Trust | | | | | | | | | | | | | |
Series 2020-SFR3 B, 1.806%, due
9/17/37 | | | | | 660,000 | | | | | | 606,830 | | |
| AMSR 2020-SFR4 Trust | | | | | | | | | | | | | |
| Series 2020-SFR4 A, 1.355%, due 11/17/37 | | | | | 690,000 | | | | | | 629,041 | | |
| Avis Budget Rental Car Funding AESOP LLC | | | | | | | | | | | | | |
Series 2020-2A A, 2.020%, due
2/20/27 | | | | | 390,000 | | | | | | 359,073 | | |
Series 2021-1A B, 1.630%, due
8/20/27 | | | | | 315,000 | | | | | | 277,372 | | |
| CarMax Auto Owner Trust 2021-4 | | | | | | | | | | | | | |
Series 2021-4 A4, 0.820%, due
4/15/27 | | | | | 330,000 | | | | | | 299,672 | | |
| Carmax Auto Owner Trust 2022-3 | | | | | | | | | | | | | |
Series 2022-3 A3, 3.970%, due
4/15/27 | | | | | 550,000 | | | | | | 540,435 | | |
| CF Hippolyta Issuer LLC | | | | | | | | | | | | | |
Series 2020-1 A2, 1.990%, due
7/15/60 | | | | | 548,915 | | | | | | 466,316 | | |
Series 2020-1 B1, 2.280%, due
7/15/60 | | | | | 845,485 | | | | | | 762,074 | | |
Series 2020-1 B2, 2.600%, due
7/15/60 | | | | | 512,688 | | | | | | 433,262 | | |
Series 2021-1A A1, 1.530%, due
3/15/61 | | | | | 254,461 | | | | | | 223,757 | | |
Series 2021-1A B1, 1.980%, due
3/15/61 | | | | | 268,598 | | | | | | 229,918 | | |
| CPS Auto Receivables Trust 2019-C | | | | | | | | | | | | | |
Series 2019-C E, 4.300%, due
7/15/25 | | | | | 500,000 | | | | | | 494,197 | | |
| CPS Auto Receivables Trust 2020-B | | | | | | | | | | | | | |
Series 2020-B E, 7.380%, due
6/15/27 | | | | | 500,000 | | | | | | 504,267 | | |
| CPS Auto Receivables Trust 2021-C | | | | | | | | | | | | | |
Series 2021-C E, 3.210%, due
9/15/28 | | | | | 410,000 | | | | | | 349,589 | | |
| DB Master Finance LLC | | | | | | | | | | | | | |
| Series 2019-1A A23, 4.352%, due 5/20/49 | | | | | 110,975 | | | | | | 105,130 | | |
| Dell Equipment Finance Trust 2023-1 | | | | | | | | | | | | | |
Series 2023-1 A3, 5.650%, due
9/22/28 | | | | | 440,000 | | | | | | 445,954 | | |
| Drive Auto Receivables Trust 2021-1 | | | | | | | | | | | | | |
Series 2021-1 D, 1.450%, due
1/16/29 | | | | | 475,000 | | | | | | 447,993 | | |
| Drive Auto Receivables Trust 2021-2 | | | | | | | | | | | | | |
Series 2021-2 D, 1.390%, due
3/15/29 | | | | | 85,000 | | | | | | 79,809 | | |
| | | | Principal
Amount | | | Value | |
| Commercial Asset-Backed Securities (continued) | |
| Asset Backed Securities (continued) | |
| Exeter Automobile Receivables Trust 2021-3 | | | | | | | | | | | | | |
Series 2021-3A D, 1.550%, due
6/15/27 | | | | $ | 795,000 | | | | | $ | 733,241 | | |
| FirstKey Homes 2020-SFR1 Trust | | | | | | | | | | | | | |
Series 2020-SFR1 A, 1.339%, due
8/17/37 | | | | | 537,596 | | | | | | 491,818 | | |
| FirstKey Homes 2020-SFR2 Trust | | | | | | | | | | | | | |
| Series 2020-SFR2 A, 1.266%, due 10/19/37 | | | | | 740,199 | | | | | | 673,529 | | |
| FirstKey Homes 2021-SFR1 Trust | | | | | | | | | | | | | |
Series 2021-SFR1 B, 1.788%, due
8/17/38 | | | | | 100,000 | | | | | | 88,215 | | |
| FirstKey Homes 2021-SFR2 Trust | | | | | | | | | | | | | |
Series 2021-SFR2 B, 1.607%, due
9/17/38 | | | | | 100,000 | | | | | | 87,651 | | |
| Flagship Credit Auto Trust 2021-2 | | | | | | | | | | | | | |
Series 2021-2 C, 1.270%, due
6/15/27 | | | | | 285,000 | | | | | | 266,847 | | |
| Ford Credit Auto Owner Trust 2020-REV2 | | | | | | | | | | | | | |
Series 2020-2 A, 1.060%, due
4/15/33 | | | | | 100,000 | | | | | | 91,346 | | |
| Ford Credit Auto Owner Trust 2021-Rev2 | | | | | | | | | | | | | |
Series 2021-2 D, 2.600%, due
5/15/34 | | | | | 130,000 | | | | | | 113,743 | | |
| Ford Credit Auto Owner Trust 2023-Rev1 | | | | | | | | | | | | | |
Series 2023-1 D, 6.260%, due
8/15/35 | | | | | 425,000 | | | | | | 426,357 | | |
| Ford Credit Floorplan Master Owner Trust A | | | | | | | | | | | | | |
Series 2018-4 A, 4.060%, due
11/15/30 | | | | | 560,000 | | | | | | 542,929 | | |
| Gls Auto Receivables Issuer Trust 2019-3 | | | | | | | | | | | | | |
Series 2019-3A D, 3.840%, due
5/15/26 | | | | | 390,000 | | | | | | 381,283 | | |
| Gls Auto Receivables Issuer Trust 2019-4 | | | | | | | | | | | | | |
Series 2019-4A D, 4.090%, due
8/17/26 | | | | | 530,000 | | | | | | 516,508 | | |
| Gls Auto Receivables Issuer Trust 2020-1 | | | | | | | | | | | | | |
Series 2020-1A D, 3.680%, due
11/16/26 | | | | | 350,000 | | | | | | 338,277 | | |
| GLS Auto Receivables Issuer Trust 2021-2 | | | | | | | | | | | | | |
Series 2021-2A D, 1.420%, due
4/15/27 | | | | | 530,000 | | | | | | 491,354 | | |
| GLS Auto Receivables Issuer Trust 2021-3 | | | | | | | | | | | | | |
Series 2021-3A D, 1.480%, due
7/15/27 | | | | | 615,000 | | | | | | 562,348 | | |
| GLS Auto Receivables Issuer Trust 2021-4 | | | | | | | | | | | | | |
Series 2021-4A C, 1.940%, due
10/15/27 | | | | | 700,000 | | | | | | 663,507 | | |
| Hertz Vehicle Financing III LP | | | | | | | | | | | | | |
Series 2021-2A A, 1.680%, due
12/27/27 | | | | | 1,005,000 | | | | | | 893,544 | | |
Series 2021-2A B, 2.120%, due
12/27/27 | | | | | 205,000 | | | | | | 180,958 | | |
| Hertz Vehicle Financing LLC | | | | | | | | | | | | | |
Series 2021-1A C, 2.050%, due
12/26/25 | | | | | 650,000 | | | | | | 602,514 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay ESG Core Plus Bond ETF (continued)
| | | | Principal
Amount | | | Value | |
| Commercial Asset-Backed Securities (continued) | |
| Asset Backed Securities (continued) | |
Home Partners of America 2019-1
Trust | | | | | | | | | | | | | |
Series 2019-1 A, 2.908%, due
9/17/39 | | | | $ | 386,911 | | | | | $ | 355,733 | | |
Home Partners of America 2021-2
Trust | | | | | | | | | | | | | |
Series 2021-2 B, 2.302%, due
12/17/26 | | | | | 96,720 | | | | | | 86,345 | | |
| Hyundai Auto Receivables Trust 2021-A | | | | | | | | | | | | | |
Series 2021-A C, 1.330%, due
11/15/27 | | | | | 540,000 | | | | | | 495,734 | | |
| Mosaic Solar Loan Trust 2020-1 | | | | | | | | | | | | | |
Series 2020-1A A, 2.100%, due
4/20/46 | | | | | 828,629 | | | | | | 727,750 | | |
| Mosaic Solar Loan Trust 2021-2 | | | | | | | | | | | | | |
Series 2021-2A B, 2.090%, due
4/22/47 | | | | | 631,297 | | | | | | 498,851 | | |
| Navient Private Education Refi Loan Trust 2021-A | | | | | | | | | | | | | |
Series 2021-A B, 2.240%, due
5/15/69 | | | | | 100,000 | | | | | | 73,019 | | |
| Navient Private Education Refi Loan Trust 2021-E | | | | | | | | | | | | | |
Series 2021-EA B, 2.030%, due
12/16/69 | | | | | 100,000 | | | | | | 68,663 | | |
| New Economy Assets Phase 1 Sponsor LLC | | | | | | | | | | | | | |
Series 2021-1 A1, 1.910%, due
10/20/61 | | | | | 550,000 | | | | | | 477,588 | | |
| Pfs Financing Corp. | | | | | | | | | | | | | |
Series 2023-A A, 5.800%, due
3/15/28 | | | | | 545,000 | | | | | | 557,918 | | |
| PFS Financing Corp. | | | | | | | | | | | | | |
Series 2022-D A, 4.270%, due
8/15/27 | | | | | 545,000 | | | | | | 536,388 | | |
| Progress Residential 2020-SFR3 Trust | | | | | | | | | | | | | |
| Series 2020-SFR3 A, 1.294%, due 10/17/27 | | | | | 99,588 | | | | | | 91,083 | | |
| Progress Residential 2022-SFR6 Trust | | | | | | | | | | | | | |
Series 2022-SFR6 A, 4.451%, due
7/20/39 | | | | | 335,000 | | | | | | 324,444 | | |
Santander Drive Auto Receivables Trust
2021-3 | | | | | | | | | | | | | |
Series 2021-3 D, 1.330%, due
9/15/27 | | | | | 555,000 | | | | | | 522,042 | | |
Santander Drive Auto Receivables Trust
2022-2 | | | | | | | | | | | | | |
Series 2022-2 B, 3.440%, due
9/15/27 | | | | | 440,000 | | | | | | 427,263 | | |
Santander Revolving Auto Loan Trust
2019-A | | | | | | | | | | | | | |
Series 2019-A A, 2.510%, due
1/26/32 | | | | | 550,000 | | | | | | 525,007 | | |
| Taco Bell Funding LLC | | | | | | | | | | | | | |
| Series 2021-1A A23, 2.542%, due 8/25/51 | | | | | 286,375 | | | | | | 225,614 | | |
| | | | Principal
Amount | | | Value | |
| Commercial Asset-Backed Securities (continued) | |
| Asset Backed Securities (continued) | |
| Tricon American Homes 2020-SFR1 | | | | | | | | | | | | | |
Series 2020-SFR1 A, 1.499%, due
7/17/38 | | | | $ | 269,005 | | | | | $ | 243,256 | | |
| | | | | | | | | | | | 23,855,176 | | |
Total Commercial Asset-Backed Securities
(Cost $24,378,699) | | | | | | | | | | | 23,855,176 | | |
| Commercial Mortgage-Backed Securities — 7.5% | |
| Mortgage Securities — 7.5% | |
BAMLL Commercial Mortgage Securities
Trust 2022-DKLX | | | | | | | | | | | | | |
Series 2022-DKLX D, 7.890%, (TSFR1M +
3.00%), due 1/15/39(a) | | | | | 100,000 | | | | | | 95,049 | | |
Series 2022-DKLX E, 9.017%, (TSFR1M +
4.13%), due 1/15/39(a) | | | | | 305,000 | | | | | | 287,430 | | |
| Bayview Commercial Asset Trust 2006-4 | | | | | | | | | | | | | |
Series 2006-4A A1, 5.365%, (1-Month LIBOR + 0.35%), due 12/25/36(a) | | | | | 58,494 | | | | | | 54,105 | | |
| BOCA Commercial Mortgage Trust 2022-BOCA | | | | | | | | | | | | | |
Series 2022-BOCA A, 6.659%, (TSFR1M + 1.77%), due 5/15/39(a) | | | | | 370,000 | | | | | | 364,898 | | |
| BX 2021-MFM1 | | | | | | | | | | | | | |
Series 2021-MFM1 A, 5.705%, (TSFR1M + 0.81%), due 1/15/34(a) | | | | | 569,675 | | | | | | 554,652 | | |
| Bx Commercial Mortgage Trust 2020-Viv2 | | | | | | | | | | | | | |
Series 2020-VIV2 C, 3.661%, due 3/9/44(a)(b) | | | | | 610,000 | | | | | | 507,595 | | |
| BX Commercial Mortgage Trust 2021-VOLT | | | | | | | | | | | | | |
Series 2021-VOLT C, 6.048%, (1-Month
LIBOR + 1.10%), due 9/15/36(a) | | | | | 400,000 | | | | | | 379,971 | | |
Series 2021-VOLT D, 6.598%, (1-Month
LIBOR + 1.65%), due 9/15/36(a) | | | | | 260,000 | | | | | | 246,005 | | |
| BX Trust 2018-BILT | | | | | | | | | | | | | |
Series 2018-BILT A, 5.748%, (1-Month LIBOR + 0.80%), due 5/15/30(a) | | | | | 630,000 | | | | | | 617,711 | | |
| Bx Trust 2019-Oc11 | | | | | | | | | | | | | |
| Series 2019-OC11 C, 3.856%, due 12/9/41 | | | | | 200,000 | | | | | | 172,542 | | |
Series 2019-OC11 E, 4.076%, due 12/9/41(a)(b) | | | | | 755,000 | | | | | | 618,453 | | |
| BX Trust 2021-ARIA | | | | | | | | | | | | | |
Series 2021-ARIA E, 7.193%, (1-Month LIBOR + 2.24%), due 10/15/36(a) | | | | | 320,000 | | | | | | 296,065 | | |
| BX Trust 2021-RISE | | | | | | | | | | | | | |
Series 2021-RISE B, 6.198%, (1-Month LIBOR + 1.25%), due 11/15/36(a) | | | | | 645,000 | | | | | | 622,600 | | |
Series 2021-RISE C, 6.398%, (1-Month LIBOR + 1.45%), due 11/15/36(a) | | | | | 342,000 | | | | | | 326,485 | | |
| Bx Trust 2023-Life | | | | | | | | | | | | | |
Series 2023-LIFE A, 5.045%, due
2/15/28 | | | | | 255,000 | | | | | | 249,626 | | |
Series 2023-LIFE B, 5.391%, due
2/15/28 | | | | | 260,000 | | | | | | 250,937 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay ESG Core Plus Bond ETF (continued)
| | | | Principal
Amount | | | Value | |
| Commercial Mortgage-Backed Securities (continued) | |
| Mortgage Securities (continued) | |
| BXHPP Trust 2021-FILM | | | | | | | | | | | | | |
Series 2021-FILM B, 5.848%, (1-Month LIBOR + 0.90%), due 8/15/36(a) | | | | $ | 615,000 | | | | | $ | 561,949 | | |
Series 2021-FILM C, 6.048%, (1-Month LIBOR + 1.10%), due 8/15/36(a) | | | | | 345,000 | | | | | | 308,724 | | |
| Citigroup Commercial Mortgage Trust 2013-Gc17 | | | | | | | | | | | | | |
| Series 2013-GC17 A4, 4.131%, due 11/10/46 | | | | | 428,000 | | | | | | 423,269 | | |
| Citigroup Commercial Mortgage Trust 2015-GC35 | | | | | | | | | | | | | |
Series 2015-GC35 AS, 4.072%, due 11/10/48(a)(b) | | | | | 395,000 | | | | | | 360,886 | | |
| COMM 2012-CCRE4 Mortgage Trust | | | | | | | | | | | | | |
| Series 2012-CR4 AM, 3.251%, due 10/15/45 | | | | | 185,000 | | | | | | 169,374 | | |
| CSAIL 2015-C3 Commercial Mortgage Trust | | | | | | | | | | | | | |
Series 2015-C3 A4, 3.718%, due
8/15/48 | | | | | 100,000 | | | | | | 96,841 | | |
| CSMC 2020-WEST Trust | | | | | | | | | | | | | |
| Series 2020-WEST A, 3.040%, due 2/15/35 | | | | | 800,000 | | | | | | 606,121 | | |
| DROP Mortgage Trust 2021-FILE | | | | | | | | | | | | | |
Series 2021-FILE A, 6.100%, (1-Month LIBOR + 1.15%), due 10/15/43(a) | | | | | 425,000 | | | | | | 390,930 | | |
| Extended Stay America Trust 2021-ESH | | | | | | | | | | | | | |
Series 2021-ESH B, 6.328%, (1-Month LIBOR + 1.38%), due 7/15/38(a) | | | | | 302,620 | | | | | | 293,525 | | |
Series 2021-ESH D, 7.198%, (1-Month LIBOR + 2.25%), due 7/15/38(a) | | | | | 592,549 | | | | | | 568,806 | | |
| FREMF 2016-K58 Mortgage Trust | | | | | | | | | | | | | |
Series 2016-K58 C, 3.866%, due 9/25/49(a)(b) | | | | | 200,000 | | | | | | 189,399 | | |
| FREMF 2017-K71 Mortgage Trust | | | | | | | | | | | | | |
Series 2017-K71 B, 3.881%, due 11/25/50(a)(b) | | | | | 505,000 | | | | | | 475,424 | | |
| FREMF 2018-K84 Mortgage Trust | | | | | | | | | | | | | |
Series 2018-K84 C, 4.314%, due 10/25/28(a)(b) | | | | | 200,000 | | | | | | 187,281 | | |
| FREMF 2019-K97 Mortgage Trust | | | | | | | | | | | | | |
Series 2019-K97 B, 3.896%, due 9/25/51(a)(b) | | | | | 315,000 | | | | | | 289,148 | | |
| FREMF 2019-K99 Mortgage Trust | | | | | | | | | | | | | |
Series 2019-K99 B, 3.765%, due 10/25/52(a)(b) | | | | | 200,000 | | | | | | 181,418 | | |
| Hudson Yards 2019-30HY Mortgage Trust | | | | | | | | | | | | | |
| Series 2019-30HY A, 3.228%, due 7/10/39 | | | | | 615,000 | | | | | | 537,787 | | |
| J.P. Morgan Chase Commercial Mortgage Securities Trust 2019-OSB | | | | | | | | | | | | | |
Series 2019-OSB A, 3.397%, due
6/5/39 | | | | | 590,000 | | | | | | 525,057 | | |
| J.P. Morgan Chase Commercial Mortgage Securities Trust 2021-2NU | | | | | | | | | | | | | |
Series 2021-2NU A, 1.974%, due
1/5/40 | | | | | 400,000 | | | | | | 324,218 | | |
| Manhattan West 2020-1MW Mortgage Trust | | | | | | | | | | | | | |
| Series 2020-1MW A, 2.130%, due 9/10/39 | | | | | 400,000 | | | | | | 346,043 | | |
| | | | Principal
Amount | | | Value | |
| Commercial Mortgage-Backed Securities (continued) | |
| Mortgage Securities (continued) | |
Series 2020-1MW D, 2.413%, due 9/10/39(a)(b) | | | | $ | 260,000 | | | | | $ | 207,388 | | |
| Multifamily Connecticut Avenue Securities Trust 2019-01 | | | | | | | | | | | | | |
Series 2019-01 M10, 8.270%, (1-Month
LIBOR + 3.25%), due 10/25/49(a) | | | | | 1,116,509 | | | | | | 1,042,308 | | |
| Multifamily Connecticut Avenue Securities Trust 2020-01 | | | | | | | | | | | | | |
Series 2020-01 M10, 8.770%, (1-Month
LIBOR + 3.75%), due 3/25/50(a) | | | | | 385,000 | | | | | | 361,924 | | |
| One Bryant Park Trust 2019-OBP | | | | | | | | | | | | | |
Series 2019-OBP A, 2.516%, due
9/15/54 | | | | | 1,380,000 | | | | | | 1,144,691 | | |
| Slg Office Trust 2021-Ova | | | | | | | | | | | | | |
Series 2021-OVA F, 2.851%, due
7/15/41 | | | | | 365,000 | | | | | | 246,276 | | |
| SLG Office Trust 2021-OVA | | | | | | | | | | | | | |
Series 2021-OVA A, 2.585%, due
7/15/41 | | | | | 1,689,000 | | | | | | 1,373,164 | | |
| UBS-Barclays Commercial Mortgage Trust 2013-C6 | | | | | | | | | | | | | |
Series 2013-C6 B, 3.875%, due 4/10/46(a)(b) | | | | | 695,000 | | | | | | 691,819 | | |
Wells Fargo Commercial Mortgage Trust
2015-NXS4 | | | | | | | | | | | | | |
| Series 2015-NXS4 A4, 3.718%, due 12/15/48 | | | | | 100,000 | | | | | | 95,975 | | |
Wells Fargo Commercial Mortgage Trust
2018-AUS | | | | | | | | | | | | | |
Series 2018-AUS A, 4.194%, due 8/17/36(a)(b) | | | | | 100,000 | | | | | | 90,954 | | |
| WFRBS Commercial Mortgage Trust 2014-C21 | | | | | | | | | | | | | |
| Series 2014-C21 AS, 3.891%, due 8/15/47 | | | | | 500,000 | | | | | | 478,097 | | |
| | | | | | | | | | | | 18,212,920 | | |
Total Commercial Mortgage-Backed Securities
(Cost $18,771,618) | | | | | | | | | | | 18,212,920 | | |
| Corporate Bonds — 25.2% | |
| Airlines — 1.2% | |
| American Airlines 2019-1 Class B Pass Through Trust | | | | | | | | | | | | | |
Series 2019-1B, 3.850%, due
2/15/28 | | | | | 350,143 | | | | | | 305,725 | | |
| American Airlines 2021-1 Class B Pass Through Trust | | | | | | | | | | | | | |
Series 2021-1B, 3.950%, due
7/11/30 | | | | | 281,725 | | | | | | 248,535 | | |
| Delta Air Lines Inc / SkyMiles IP Ltd. | | | | | | | | | | | | | |
| 4.500%, due 10/20/25 | | | | | 295,002 | | | | | | 289,297 | | |
| 4.750%, due 10/20/28 | | | | | 610,000 | | | | | | 592,374 | | |
| JetBlue 2019-1 Class AA Pass Through Trust | | | | | | | | | | | | | |
Series 2019-1, AA2.750%, due
5/15/32 | | | | | 839,902 | | | | | | 714,710 | | |
Mileage Plus Holdings LLC / Mileage Plus
Intellectual Property Assets Ltd. | | | | | | | | | | | | | |
| 6.500%, due 6/20/27 | | | | | 412,250 | | | | | | 411,591 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay ESG Core Plus Bond ETF (continued)
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Airlines (continued) | |
| United Airlines 2020-1 Class A Pass-Through Trust | | | | | | | | | | | | | |
| Series 2020-1, 5.875%, due 10/15/27 | | | | $ | 384,496 | | | | | $ | 384,422 | | |
| | | | | | | | | | | | 2,946,654 | | |
| Auto Manufacturers — 2.1% | |
| American Honda Finance Corp. | | | |
| 4.700%, due 1/12/28 | | | | | 815,000 | | | | | | 827,100 | | |
| Ford Motor Co. | | | | | | | | | | | | | |
| 4.750%, due 1/15/43 | | | | | 45,000 | | | | | | 33,808 | | |
| Ford Motor Credit Co. LLC | | | | | | | | | | | | | |
| 4.125%, due 8/17/27 | | | | | 450,000 | | | | | | 412,902 | | |
| 6.950%, due 3/6/26 | | | | | 435,000 | | | | | | 438,992 | | |
| General Motors Co. | | | | | | | | | | | | | |
| 5.200%, due 4/1/45 | | | | | 205,000 | | | | | | 173,467 | | |
| 5.600%, due 10/15/32 | | | | | 165,000 | | | | | | 161,652 | | |
| General Motors Financial Co., Inc. | | | | | | | | | | | | | |
| 2.350%, due 1/8/31 | | | | | 640,000 | | | | | | 505,287 | | |
| 4.300%, due 4/6/29 | | | | | 475,000 | | | | | | 442,686 | | |
| Hyundai Capital America | | | | | | | | | | | | | |
| 5.800%, due 4/1/30 | | | | | 915,000 | | | | | | 939,178 | | |
| Nissan Motor Acceptance Co. LLC | | | | | | | | | | | | | |
| 1.125%, due 9/16/24 | | | | | 340,000 | | | | | | 316,119 | | |
| 1.850%, due 9/16/26 | | | | | 995,000 | | | | | | 849,054 | | |
| | | | | | | | | | | | 5,100,245 | | |
| Banks — 6.5% | |
| Bank of America Corp. | | | | | | | | | | | | | |
2.496%, (3-Month LIBOR + 0.99%), due
2/13/31(a) | | | | | 80,000 | | | | | | 67,536 | | |
2.572%, (SOFR + 1.21%), due
10/20/32(a) | | | | | 940,000 | | | | | | 771,888 | | |
2.687%, (SOFR + 1.32%), due
4/22/32(a) | | | | | 440,000 | | | | | | 367,676 | | |
3.384%, (SOFR + 1.33%), due
4/2/26(a) | | | | | 155,000 | | | | | | 149,466 | | |
3.419%, (3-Month LIBOR + 1.04%), due
12/20/28(a) | | | | | 555,000 | | | | | | 515,199 | | |
5.080%, (SOFR + 1.29%), due
1/20/27(a) | | | | | 775,000 | | | | | | 773,522 | | |
Bank of New York Mellon Corp.
(The) | | | | | | | | | | | | | |
4.414%, (SOFR + 1.35%), due
7/24/26(a) | | | | | 925,000 | | | | | | 913,923 | | |
| Citigroup, Inc. | | | | | | | | | | | | | |
2.520%, (SOFR + 1.18%), due
11/3/32(a) | | | | | 825,000 | | | | | | 675,319 | | |
3.980%, (TSFR3M + 1.60%), due 3/20/30(a) | | | | | 90,000 | | | | | | 84,436 | | |
| 4.125%, due 7/25/28 | | | | | 710,000 | | | | | | 677,219 | | |
| 5.300%, due 5/6/44 | | | | | 60,000 | | | | | | 57,035 | | |
Series W, 4.000%, (5 Year US CMT T-Note + 3.60%), due 3/10/72(a) | | | | | 70,000 | | | | | | 60,977 | | |
Series Y, 4.150%, (5 Year US CMT T-Note +
3.00%), due 2/15/72(a) | | | | | 205,000 | | | | | | 168,612 | | |
| Citizens Bank NA/Providence RI | | | | | | | | | | | | | |
6.064%, (SOFR + 1.45%), due
10/24/25(a) | | | | | 795,000 | | | | | | 769,287 | | |
| Citizens Financial Group, Inc. | | | | | | | | | | | | | |
| 3.250%, due 4/30/30 | | | | | 285,000 | | | | | | 243,202 | | |
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Banks (continued) | |
| Fifth Third Bancorp | | | | | | | | | | | | | |
4.772%, (SOFR + 2.13%), due
7/28/30(a) | | | | $ | 860,000 | | | | | $ | 818,431 | | |
| First Horizon Bank | | | | | | | | | | | | | |
| 5.750%, due 5/1/30 | | | | | 666,000 | | | | | | 629,491 | | |
Goldman Sachs Group, Inc. (The)
1.948%, (SOFR + 0.91%), due
10/21/27(a) | | | | | 800,000 | | | | | | 716,393 | | |
| 3.500%, due 11/16/26 | | | | | 340,000 | | | | | | 324,324 | | |
| Huntington National Bank (The) | | | | | | | | | | | | | |
| 5.650%, due 1/10/30 | | | | | 910,000 | | | | | | 906,688 | | |
| JPMorgan Chase & Co. | | | | | | | | | | | | | |
2.182%, (SOFR + 1.89%), due
6/1/28(a) | | | | | 845,000 | | | | | | 759,017 | | |
4.912%, (SOFR + 2.08%),
due 7/25/33(a) | | | | | 255,000 | | | | | | 253,589 | | |
5.934%, (SOFR + 1.18%),
due 2/24/28(a) | | | | | 220,000 | | | | | | 220,223 | | |
| Keybank NA/Cleveland Oh | | | | | | | | | | | | | |
| 5.850%, due 11/15/27 | | | | | 375,000 | | | | | | 374,492 | | |
| Keybank NA/Cleveland OH | | | | | | | | | | | | | |
| 4.150%, due 8/8/25 | | | | | 485,000 | | | | | | 464,351 | | |
| Morgan Stanley | | | | | | | | | | | | | |
2.484%, (SOFR + 1.36%), due
9/16/36(a) | | | | | 1,190,000 | | | | | | 914,647 | | |
2.511%, (SOFR + 1.20%), due
10/20/32(a) | | | | | 950,000 | | | | | | 782,102 | | |
Series G, 4.431%, (3-Month LIBOR + 1.63%), due 1/23/30(a) | | | | | 510,000 | | | | | | 492,743 | | |
| Santander Holdings USA, Inc. | | | | | | | | | | | | | |
| 4.400%, due 7/13/27 | | | | | 365,000 | | | | | | 347,736 | | |
6.499%, (SOFR + 2.36%), due
3/9/29(a) | | | | | 430,000 | | | | | | 432,224 | | |
| Synchrony Bank | | | | | | | | | | | | | |
| 5.400%, due 8/22/25 | | | | | 715,000 | | | | | | 681,848 | | |
| Texas Capital Bancshares, Inc. | | | | | | | | | | | | | |
4.000%, (5 Year US CMT T-Note + 3.15%), due 5/6/31(a) | | | | | 240,000 | | | | | | 194,005 | | |
| | | | | | | | | | | | 15,607,601 | | |
| Biotechnology — 0.1% | |
| Amgen, Inc. | | | | | | | | | | | | | |
| 5.750%, due 3/2/63 | | | | | 305,000 | | | | | | 315,904 | | |
| Building Materials — 0.2% | |
| Carrier Global Corp. | | | | | | | | | | | | | |
| 2.722%, due 2/15/30 | | | | | 430,000 | | | | | | 376,499 | | |
| Owens Corning | | | | | | | | | | | | | |
| 4.400%, due 1/30/48 | | | | | 85,000 | | | | | | 70,870 | | |
| | | | | | | | | | | | 447,369 | | |
| Chemicals — 0.4% | |
| Huntsman International LLC | | | | | | | | | | | | | |
| 4.500%, due 5/1/29 | | | | | 655,000 | | | | | | 615,582 | | |
| LYB International Finance III LLC | | | | | | | | | | | | | |
| 3.800%, due 10/1/60 | | | | | 440,000 | | | | | | 301,201 | | |
| | | | | | | | | | | | 916,783 | | |
| Commercial Services — 0.3% | |
| Service Corp. International | | | | | | | | | | | | | |
| 3.375%, due 8/15/30 | | | | | 390,000 | | | | | | 330,420 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay ESG Core Plus Bond ETF (continued)
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Commercial Services (continued) | |
| United Rentals North America, Inc. | | | | | | | | | | | | | |
| 3.875%, due 2/15/31 | | | | $ | 555,000 | | | | | $ | 488,494 | | |
| | | | | | | | | | | | 818,914 | | |
| Computers — 0.9% | |
| Apple, Inc. | | | | | | | | | | | | | |
| 2.700%, due 8/5/51 | | | | | 560,000 | | | | | | 396,196 | | |
| Dell International LLC / EMC Corp. | | | | | | | | | | | | | |
| 3.375%, due 12/15/41 | | | | | 650,000 | | | | | | 461,410 | | |
| 4.900%, due 10/1/26 | | | | | 480,000 | | | | | | 480,239 | | |
| 5.300%, due 10/1/29 | | | | | 490,000 | | | | | | 495,290 | | |
5.750%, due 2/1/33(d) | | | | | 355,000 | | | | | | 359,733 | | |
| | | | | | | | | | | | 2,192,868 | | |
| Diversified Financial Services — 0.8% | |
| Air Lease Corp. | | | | | | | | | | | | | |
| 3.250%, due 3/1/25 | | | | | 460,000 | | | | | | 440,954 | | |
| Aircastle Ltd. | | | | | | | | | | | | | |
5.250%, (5 Year US CMT T-Note + 4.41%), due 9/15/71(a) | | | | | 420,000 | | | | | | 304,759 | | |
| Ally Financial, Inc. | | | | | | | | | | | | | |
| 8.000%, due 11/1/31 | | | | | 415,000 | | | | | | 437,749 | | |
| Aviation Capital Group LLC | | | | | | | | | | | | | |
| 1.950%, due 1/30/26 | | | | | 660,000 | | | | | | 590,916 | | |
| OneMain Finance Corp. | | | | | | | | | | | | | |
| 3.500%, due 1/15/27 | | | | | 400,000 | | | | | | 341,648 | | |
| | | | | | | | | | | | 2,116,026 | | |
| Electric — 3.7% | |
| AEP Texas, Inc. | | | | | | | | | | | | | |
| 3.450%, due 5/15/51 | | | | | 540,000 | | | | | | 396,503 | | |
| 4.700%, due 5/15/32 | | | | | 250,000 | | | | | | 246,058 | | |
| 5.250%, due 5/15/52 | | | | | 375,000 | | | | | | 369,189 | | |
| Arizona Public Service Co. | | | | | | | | | | | | | |
| 6.350%, due 12/15/32 | | | | | 665,000 | | | | | | 727,670 | | |
| Baltimore Gas and Electric Co. | | | | | | | | | | | | | |
| 4.550%, due 6/1/52 | | | | | 555,000 | | | | | | 512,597 | | |
| Commonwealth Edison Co. | | | | | | | | | | | | | |
| 5.300%, due 2/1/53 | | | | | 445,000 | | | | | | 464,488 | | |
| Connecticut Light and Power Co. (The) | | | | | | | | | | | | | |
| 4.000%, due 4/1/48 | | | | | 85,000 | | | | | | 73,833 | | |
| Edison International | | | | | | | | | | | | | |
Series B, 5.000%, (5 Year US CMT T-Note + 3.90%), due 3/15/72(a) | | | | | 510,000 | | | | | | 435,956 | | |
| Florida Power & Light Co. | | | | | | | | | | | | | |
| 5.300%, due 4/1/53 | | | | | 570,000 | | | | | | 607,265 | | |
| Indianapolis Power & Light Co. | | | | | | | | | | | | | |
| 5.650%, due 12/1/32 | | | | | 370,000 | | | | | | 392,065 | | |
| National Rural Utilities Cooperative Finance Corp. | | | | | | | | | | | | | |
| 5.800%, due 1/15/33 | | | | | 460,000 | | | | | | 495,487 | | |
| Nevada Power Co. | | | | | | | | | | | | | |
| Series GG, 5.900%, due 5/1/53 | | | | | 345,000 | | | | | | 386,886 | | |
| NSTAR Electric Co. | | | | | | | | | | | | | |
| 4.950%, due 9/15/52 | | | | | 135,000 | | | | | | 134,389 | | |
| PPL Electric Utilities Corp. | | | | | | | | | | | | | |
| 3.950%, due 6/1/47 | | | | | 215,000 | | | | | | 185,384 | | |
| Public Service Electric And Gas Co. | | | | | | | | | | | | | |
| 4.900%, due 12/15/32 | | | | | 1,000,000 | | | | | | 1,030,620 | | |
| Puget Energy, Inc. | | | | | | | | | | | | | |
| 4.224%, due 3/15/32 | | | | | 540,000 | | | | | | 502,508 | | |
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Electric (continued) | |
| Southern California Edison Co. | | | | | | | | | | | | | |
| 5.700%, due 3/1/53 | | | | $ | 465,000 | | | | | $ | 486,740 | | |
| 5.950%, due 11/1/32 | | | | | 380,000 | | | | | | 413,358 | | |
| Virginia Electric and Power Co. | | | | | | | | | | | | | |
| 5.450%, due 4/1/53 | | | | | 280,000 | | | | | | 286,814 | | |
| Series C, 4.625%, due 5/15/52 | | | | | 500,000 | | | | | | 458,272 | | |
| | | | | | | | | | | | 8,606,082 | | |
| Environmental Control — 0.7% | |
| Clean Harbors, Inc. | | | | | | | | | | | | | |
| 4.875%, due 7/15/27 | | | | | 290,000 | | | | | | 280,726 | | |
| Covanta Holding Corp. | | | | | | | | | | | | | |
| 4.875%, due 12/1/29 | | | | | 801,000 | | | | | | 712,890 | | |
| Waste Connections, Inc. | | | | | | | | | | | | | |
| 2.200%, due 1/15/32 | | | | | 885,000 | | | | | | 729,554 | | |
| | | | | | | | | | | | 1,723,170 | | |
| Food — 1.1% | |
| General Mills, Inc. | | | | | | | | | | | | | |
| 5.241%, due 11/18/25 | | | | | 980,000 | | | | | | 980,677 | | |
JBS USA LUX SA / JBS USA Food Co. / JBS
USA Finance, Inc. | | | | | | | | | | | | | |
| 5.500%, due 1/15/30 | | | | | 515,000 | | | | | | 491,696 | | |
| 5.750%, due 4/1/33 | | | | | 790,000 | | | | | | 756,938 | | |
| Smithfield Foods, Inc. | | | | | | | | | | | | | |
| 3.000%, due 10/15/30 | | | | | 170,000 | | | | | | 135,465 | | |
| 4.250%, due 2/1/27 | | | | | 265,000 | | | | | | 250,498 | | |
| | | | | | | | | | | | 2,615,274 | | |
| Gas — 0.4% | |
| Brooklyn Union Gas Co. (The) | | | | | | | | | | | | | |
| 4.866%, due 8/5/32 | | | | | 760,000 | | | | | | 732,629 | | |
| Southern California Gas Co. | | | | | | | | | | | | | |
| 6.350%, due 11/15/52 | | | | | 200,000 | | | | | | 233,022 | | |
| | | | | | | | | | | | 965,651 | | |
| Home Builders — 0.3% | |
| Lennar Corp. | | | | | | | | | | | | | |
| 4.750%, due 11/29/27 | | | | | 345,000 | | | | | | 341,767 | | |
| Toll Brothers Finance Corp. | | | | | | | | | | | | | |
| 3.800%, due 11/1/29 | | | | | 570,000 | | | | | | 519,809 | | |
| | | | | | | | | | | | 861,576 | | |
| Insurance — 0.1% | |
| Hartford Financial Services Group, Inc. (The) | | | | | | | | | | | | | |
Series ICON, 6.989%, (3-Month LIBOR +
2.13%), due 2/12/47(a) | | | | | 50,000 | | | | | | 40,750 | | |
| Lincoln National Corp. | | | | | | | | | | | | | |
7.234%, (3-Month LIBOR + 2.36%), due
5/17/66(a) | | | | | 50,000 | | | | | | 31,500 | | |
| Protective Life Corp. | | | | | | | | | | | | | |
| 8.450%, due 10/15/39 | | | | | 138,000 | | | | | | 166,950 | | |
| | | | | | | | | | | | 239,200 | | |
| Internet — 0.2% | |
| Expedia Group, Inc. | | | | | | | | | | | | | |
| 3.250%, due 2/15/30 | | | | | 520,000 | | | | | | 456,993 | | |
| Lodging — 0.3% | |
| Marriott International, Inc. | | | | | | | | | | | | | |
| Series R, 3.125%, due 6/15/26 | | | | | 665,000 | | | | | | 632,839 | | |
| |
See notes to financial statements.
Schedule of Investments — IQ MacKay ESG Core Plus Bond ETF (continued)
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Media — 0.8% | |
| CCO Holdings LLC / CCO Holdings Capital Corp. | | | | | | | | | | | | | |
| 4.750%, due 3/1/30 | | | | $ | 190,000 | | | | | $ | 163,475 | | |
| Charter Communications Operating LLC / Charter Communications Operating Capital | | | | | | | | | | | | | |
| 3.700%, due 4/1/51 | | | | | 825,000 | | | | | | 523,222 | | |
| DISH DBS Corp. | | | | | | | | | | | | | |
| 5.750%, due 12/1/28 | | | | | 415,000 | | | | | | 295,027 | | |
| Match Group Holdings II LLC | | | | | | | | | | | | | |
| 3.625%, due 10/1/31 | | | | | 450,000 | | | | | | 367,605 | | |
| Time Warner Cable LLC | | | | | | | | | | | | | |
| 6.750%, due 6/15/39 | | | | | 485,000 | | | | | | 471,540 | | |
| | | | | | | | | | | | 1,820,869 | | |
| Office/Business Equipment — 0.0%(e) | |
| CDW LLC / CDW Finance Corp. | | | | | | | | | | | | | |
| 3.250%, due 2/15/29 | | | | | 50,000 | | | | | | 43,231 | | |
| Packaging & Containers — 0.6% | |
| Berry Global, Inc. | | | | | | | | | | | | | |
| 4.875%, due 7/15/26 | | | | | 755,000 | | | | | | 738,226 | | |
| Sealed Air Corp. | | | | | | | | | | | | | |
| 5.125%, due 12/1/24 | | | | | 205,000 | | | | | | 203,417 | | |
| 6.125%, due 2/1/28 | | | | | 500,000 | | | | | | 507,350 | | |
| | | | | | | | | | | | 1,448,993 | | |
| Pharmaceuticals — 0.3% | |
| Becton Dickinson and Co. | | | | | | | | | | | | | |
| 4.669%, due 6/6/47 | | | | | 75,000 | | | | | | 69,980 | | |
| CVS Health Corp. | | | | | | | | | | | | | |
| 4.780%, due 3/25/38 | | | | | 65,000 | | | | | | 62,068 | | |
| CVS Pass-Through Trust | | | | | | | | | | | | | |
| 5.926%, due 1/10/34 | | | | | 129,213 | | | | | | 127,512 | | |
| ELI Lilly & Co. | | | | | | | | | | | | | |
| 4.950%, due 2/27/63 | | | | | 400,000 | | | | | | 417,555 | | |
| | | | | | | | | | | | 677,115 | | |
| REITS — 2.0% | |
| Alexandria Real Estate Equities, Inc. | | | | | | | | | | | | | |
| 3.375%, due 8/15/31 | | | | | 545,000 | | | | | | 477,984 | | |
| American Homes 4 Rent LP | | | | | | | | | | | | | |
| 2.375%, due 7/15/31 | | | | | 1,115,000 | | | | | | 895,423 | | |
| American Tower Corp. | | | | | | | | | | | | | |
| 3.375%, due 5/15/24 | | | | | 445,000 | | | | | | 435,192 | | |
| Digital Realty Trust LP | | | | | | | | | | | | | |
| 3.600%, due 7/1/29 | | | | | 995,000 | | | | | | 893,194 | | |
Invitation Homes Operating Partnership
LP | | | | | | | | | | | | | |
| 2.000%, due 8/15/31 | | | | | 585,000 | | | | | | 450,832 | | |
| Iron Mountain, Inc. | | | | | | | | | | | | | |
| 4.875%, due 9/15/29 | | | | | 205,000 | | | | | | 186,974 | | |
| 5.250%, due 7/15/30 | | | | | 280,000 | | | | | | 257,888 | | |
| ProLogis LP | | | | | | | | | | | | | |
| 2.875%, due 11/15/29 | | | | | 430,000 | | | | | | 386,912 | | |
| Starwood Property Trust, Inc. | | | | | | | | | | | | | |
| 3.750%, due 12/31/24 | | | | | 50,000 | | | | | | 46,740 | | |
| 4.375%, due 1/15/27 | | | | | 680,000 | | | | | | 586,316 | | |
| | | | | | | | | | | | 4,617,455 | | |
| |
| | | | Principal
Amount | | | Value | | | |
| Corporate Bonds (continued) | | | |
| Retail — 0.5% | | | |
| AutoNation, Inc. | | | | | | | | | | | | | | | |
| 4.750%, due 6/1/30 | | | | $ | 515,000 | | | | | $ | 484,172 | | | | |
| Lowe’s Cos., Inc. | | | | | | | | | | | | | | | |
| 1.700%, due 9/15/28 | | | | | 540,000 | | | | | | 471,893 | | | | |
| Nordstrom, Inc. | | | | | | | | | | | | | | | |
| 4.250%, due 8/1/31 | | | | | 455,000 | | | | | | 337,883 | | | | |
| | | | | | | | | | | | 1,293,948 | | | | |
| Semiconductors — 0.2% | | | |
| Broadcom, Inc. | | | | | | | | | | | | | | | |
| 5.000%, due 4/15/30 | | | | | 565,000 | | | | | | 559,298 | | | | |
| Software — 0.5% | | | |
| Broadridge Financial Solutions, Inc. | | | | | | | | | | | | | | | |
| 2.900%, due 12/1/29 | | | | | 330,000 | | | | | | 290,283 | | | | |
| Fidelity National Information Services, Inc. | | | | | | | | | | | | | | | |
| 5.100%, due 7/15/32 | | | | | 715,000 | | | | | | 704,226 | | | | |
| MSCI, Inc. | | | | | | | | | | | | | | | |
| 3.250%, due 8/15/33 | | | | | 360,000 | | | | | | 292,500 | | | | |
| | | | | | | | | | | | 1,287,009 | | | | |
| Telecommunications — 0.6% | | | |
| AT&T, Inc. | | | | | | | | | | | | | | | |
| 3.500%, due 9/15/53 | | | | | 980,000 | | | | | | 702,881 | | | | |
Sprint Spectrum Co., LLC / Sprint
Spectrum Co., II LLC / Sprint Spectrum
Co., III LLC | | | | | | | | | | | | | | | |
| 4.738%, due 3/20/25 | | | | | 307,501 | | | | | | 305,463 | | | | |
| T-Mobile USA, Inc. | | | | | | | | | | | | | | | |
| 2.625%, due 2/15/29 | | | | | 580,000 | | | | | | 512,561 | | | | |
| | | | | | | | | | | | 1,520,905 | | | | |
| Transportation — 0.3% | | | |
| American Airlines, Inc./AAdvantage Loyalty IP Ltd. | | | | | | | | | | | | | | | |
| 5.750%, due 4/20/29 | | | | | 355,000 | | | | | | 337,351 | | | | |
| Burlington Northern Santa Fe LLC | | | | | | | | | | | | | | | |
| 4.450%, due 1/15/53 | | | | | 535,000 | | | | | | 503,181 | | | | |
| | | | | | | | | | | | 840,532 | | | | |
| Water — 0.1% | | | | | | | |
| American Water Capital Corp. | | | | | | | | | | | | | | | |
| 3.250%, due 6/1/51 | | | | | 460,000 | | | | | | 339,400 | | | | |
Total Corporate Bonds
(Cost $63,116,266) | | | | | | | | | | | 61,011,904 | | | | |
| Foreign Bonds — 12.0% | | | |
| Airlines — 0.4% | | | |
| British Airways 2021-1 Class A Pass-Through Trust, (United Kingdom) | | | | | | | | | | | | | | | |
Series 2021-1A, A2.900%, due
3/15/35 | | | | | 1,066,417 | | | | | | 910,072 | | | | |
| Auto Manufacturers — 0.8% | | | |
| BMW US Capital LLC, (Germany) | | | | | | | | | | | | | | | |
| 3.450%, due 4/1/27 | | | | | 655,000 | | | | | | 636,823 | | | | |
Mercedes-Benz Finance North America
LLC, (Germany) | | | | | | | | | | | | | | | |
| 4.950%, due 3/30/25 | | | | | 1,210,000 | | | | | | 1,211,285 | | | | |
| | | | | | | | | | | | 1,848,108 | | | | |
| |
See notes to financial statements.
Schedule of Investments — IQ MacKay ESG Core Plus Bond ETF (continued)
| | | | Principal
Amount | | | Value | |
| Foreign Bonds (continued) | |
| Banks — 8.0% | |
| Banco Santander SA, (Spain) | | | | | | | | | | | | | |
4.175%, (1 Year US CMT T-Note + 2.00%), due 3/24/28(a) | | | | $ | 415,000 | | | | | $ | 394,559 | | |
| 5.294%, due 8/18/27 | | | | | 600,000 | | | | | | 597,557 | | |
| Bank of Montreal, (Canada) | | | | | | | | | | | | | |
| 3.700%, due 6/7/25 | | | | | 380,000 | | | | | | 369,974 | | |
| Barclays PLC, (United Kingdom) | | | | | | | | | | | | | |
4.375%, (5 Year US CMT T-Note + 3.41%), due 12/15/71(a) | | | | | 585,000 | | | | | | 387,517 | | |
| 5.200%, due 5/12/26 | | | | | 750,000 | | | | | | 732,090 | | |
8.000%, (5 Year US CMT T-Note + 5.43%), due 12/15/71(a) | | | | | 320,000 | | | | | | 280,288 | | |
| BNP Paribas SA, (France) | | | | | | | | | | | | | |
3.052%, (SOFR + 1.51%), due
1/13/31(a) | | | | | 560,000 | | | | | | 484,314 | | |
4.625%, (5 Year US CMT T-Note + 3.20%), due 7/12/71(a) | | | | | 465,000 | | | | | | 364,979 | | |
4.625%, (5 Year US CMT T-Note + 3.34%), due 8/25/71(a) | | | | | 240,000 | | | | | | 170,256 | | |
7.750%, (5 Year US CMT T-Note + 4.90%), due 2/16/72(a) | | | | | 220,000 | | | | | | 210,100 | | |
| Bpce SA, (France) | | | | | | | | | | | | | |
| 5.125%, due 1/18/28 | | | | | 450,000 | | | | | | 450,714 | | |
| BPCE SA, (France) | | | | | | | | | | | | | |
2.045%, (SOFR + 1.09%), due
10/19/27(a) | | | | | 1,220,000 | | | | | | 1,078,255 | | |
Canadian Imperial Bank of Commerce,
(Canada) | | | | | | | | | | | | | |
| 3.300%, due 4/7/25 | | | | | 465,000 | | | | | | 449,301 | | |
| Cooperatieve Rabobank UA, (Netherlands) | | | | | | | | | | | | | |
3.649%, (1 Year US CMT T-Note + 1.22%), due 4/6/28(a) | | | | | 870,000 | | | | | | 820,349 | | |
| Credit Agricole SA, (France) | | | | | | | | | | | | | |
4.750%, (5 Year US CMT T-Note + 3.24%), due 3/23/72(a) | | | | | 560,000 | | | | | | 430,640 | | |
| Credit Suisse Group AG, (Switzerland) | | | | | | | | | | | | | |
3.091%, (SOFR + 1.73%), due
5/14/32(a) | | | | | 435,000 | | | | | | 348,353 | | |
6.442%, (SOFR + 3.70%), due
8/11/28(a) | | | | | 550,000 | | | | | | 544,347 | | |
| Deutsche Bank AG, (Germany) | | | | | | | | | | | | | |
3.729%, (SOFR + 2.76%), due
1/14/32(a) | | | | | 700,000 | | | | | | 526,606 | | |
| Deutsche Bank AG/New York NY, (Germany) | | | | | | | | | | | | | |
2.552%, (SOFR + 1.32%), due
1/7/28(a) | | | | | 890,000 | | | | | | 773,807 | | |
| Intesa Sanpaolo SpA, (Italy) | | | | | | | | | | | | | |
| 7.000%, due 11/21/25 | | | | | 830,000 | | | | | | 848,036 | | |
| Kreditanstalt fuer Wiederaufbau, (Germany) | | | | | | | | | | | | | |
| 2.500%, due 11/20/24 | | | | | 190,000 | | | | | | 184,634 | | |
| Lloyds Banking Group PLC, (United Kingdom) | | | | | | | | | | | | | |
| 4.450%, due 5/8/25 | | | | | 95,000 | | | | | | 93,302 | | |
| 4.582%, due 12/10/25 | | | | | 775,000 | | | | | | 741,873 | | |
4.976%, (1 Year US CMT T-Note + 2.30%), due 8/11/33(a) | | | | | 580,000 | | | | | | 562,278 | | |
| | | | Principal
Amount | | | Value | |
| Foreign Bonds (continued) | |
| Banks (continued) | |
| Macquarie Group Ltd., (Australia) | | | | | | | | | | | | | |
2.871%, (SOFR + 1.53%), due
1/14/33(a) | | | | $ | 660,000 | | | | | $ | 536,458 | | |
4.098%, (SOFR + 2.13%), due
6/21/28(a) | | | | | 420,000 | | | | | | 401,416 | | |
| Mitsubishi UFJ Financial Group, Inc., (Japan) | | | | | | | | | | | | | |
2.309%, (1 Year US CMT T-Note + 0.95%), due 7/20/32(a) | | | | | 1,085,000 | | | | | | 875,837 | | |
| Mizuho Financial Group, Inc., (Japan) | | | | | | | | | | | | | |
3.261%, (1 Year US CMT T-Note + 1.25%), due 5/22/30(a) | | | | | 395,000 | | | | | | 354,035 | | |
| NatWest Group PLC, (United Kingdom) | | | | | | | | | | | | | |
4.892%, (3-Month LIBOR + 1.75%), due
5/18/29(a) | | | | | 905,000 | | | | | | 880,763 | | |
| Royal Bank of Canada, (Canada) | | | | | | | | | | | | | |
Series G, 5.548%, (SOFR + 0.71%), due
1/21/27(a) | | | | | 555,000 | | | | | | 544,986 | | |
| Societe Generale SA, (France) | | | | | | | | | | | | | |
3.337%, (1 Year US CMT T-Note + 1.60%), due 1/21/33(a) | | | | | 535,000 | | | | | | 437,534 | | |
4.750%, (5 Year US CMT T-Note + 3.93%), due 11/26/71(a) | | | | | 435,000 | | | | | | 332,036 | | |
5.375%, (5 Year US CMT T-Note + 4.51%), due 5/18/71(a) | | | | | 330,000 | | | | | | 231,000 | | |
| Sumitomo Mitsui Financial Group, Inc., (Japan) | | | | | | | | | | | | | |
| 1.902%, due 9/17/28 | | | | | 865,000 | | | | | | 738,776 | | |
| Swedbank AB, (Sweden) | | | | | | | | | | | | | |
| 3.356%, due 4/4/25 | | | | | 465,000 | | | | | | 449,944 | | |
| UBS Group AG, (Switzerland) | | | | | | | | | | | | | |
1.364%, (1 Year US CMT T-Note + 1.08%), due 1/30/27(a) | | | | | 285,000 | | | | | | 252,024 | | |
4.375%, (5 Year US CMT T-Note + 3.31%), due 8/10/71(a) | | | | | 400,000 | | | | | | 275,901 | | |
4.875%, (5 Year US CMT T-Note + 3.40%), due 8/12/71(a) | | | | | 150,000 | | | | | | 116,625 | | |
| Westpac Banking Corp., (Australia) | | | | | | | | | | | | | |
3.020%, (5 Year US CMT T-Note + 1.53%), due 11/18/36(a) | | | | | 635,000 | | | | | | 500,759 | | |
| 5.457%, due 11/18/27 | | | | | 740,000 | | | | | | 768,303 | | |
| | | | | | | | | | | | 19,540,526 | | |
| Chemicals — 0.3% | |
| Ineos Finance PLC, (Luxembourg) | | | | | | | | | | | | | |
| 6.750%, due 5/15/28 | | | | | 750,000 | | | | | | 741,045 | | |
| Diversified Financial Services — 0.9% | |
| AerCap Ireland Capital DAC / AerCap Global Aviation Trust, (Ireland) | | | | | | | | | | | | | |
| 3.000%, due 10/29/28 | | | | | 200,000 | | | | | | 174,124 | | |
| Avolon Holdings Funding Ltd., (Ireland) | | | | | | | | | | | | | |
| 2.875%, due 2/15/25 | | | | | 525,000 | | | | | | 492,664 | | |
Banco BTG Pactual SA/Cayman Islands,
(Brazil) | | | | | | | | | | | | | |
| 2.750%, due 1/11/26 | | | | | 660,000 | | | | | | 600,930 | | |
| Nomura Holdings, Inc., (Japan) | | | | | | | | | | | | | |
| 2.172%, due 7/14/28 | | | | | 660,000 | | | | | | 555,873 | | |
| 5.099%, due 7/3/25 | | | | | 440,000 | | | | | | 434,307 | | |
| | | | | | | | | | | | 2,257,898 | | |
| |
See notes to financial statements.
Schedule of Investments — IQ MacKay ESG Core Plus Bond ETF (continued)
| | | | Principal
Amount | | | Value | |
| Foreign Bonds (continued) | |
| Electric — 0.4% | |
| Transalta Corp., (Canada) | | | | | | | | | | | | | |
| 7.750%, due 11/15/29 | | | | $ | 830,000 | | | | | $ | 871,566 | | |
| Food — 0.2% | |
| MARB Bondco PLC, (Brazil) | | | | | | | | | | | | | |
| 3.950%, due 1/29/31 | | | | | 560,000 | | | | | | 411,291 | | |
| Pharmaceuticals — 0.4% | |
| Teva Pharmaceutical Finance Netherlands III BV, (Israel) | | | | | | | | | | | | | |
| 3.150%, due 10/1/26 | | | | | 250,000 | | | | | | 225,895 | | |
| 4.750%, due 5/9/27 | | | | | 575,000 | | | | | | 538,508 | | |
| 7.875%, due 9/15/29 | | | | | 220,000 | | | | | | 230,375 | | |
| | | | | | | | | | | | 994,778 | | |
| Savings & Loans — 0.4% | |
| Nationwide Building Society, (United Kingdom) | | | | | | | | | | | | | |
2.972%, (SOFR + 1.29%), due
2/16/28(a) | | | | | 655,000 | | | | | | 596,720 | | |
| 4.850%, due 7/27/27 | | | | | 600,000 | | | | | | 591,730 | | |
| | | | | | | | | | | | 1,188,450 | | |
| Telecommunications — 0.2% | |
| Altice France SA, (France) | | | | | | | | | | | | | |
| 5.125%, due 7/15/29 | | | | | 565,000 | | | | | | 417,730 | | |
Total Foreign Bonds
(Cost $30,706,705) | | | | | | | | | | | 29,181,464 | | |
| Foreign Government Obligations — 0.3% | |
| Colombia Government International Bond, (Colombia) | | | | | | | | | | | | | |
| 7.500%,due 2/2/34 | | | | | 375,000 | | | | | | 359,232 | | |
| Inter-American Development Bank, (Supranational) | | | | | | | | | | | | | |
| 0.875%,due 4/3/25 | | | | | 200,000 | | | | | | 187,868 | | |
| International Bank for Reconstruction & Development, (Supranational) | | | | | | | | | | | | | |
| 0.625%,due 4/22/25 | | | | | 200,000 | | | | | | 186,661 | | |
Total Foreign Government Obligations
(Cost $772,517) | | | | | | | | | | | 733,761 | | |
| U.S. Treasury Bonds — 5.4% | |
U.S. Treasury Bond, 3.625%, due
2/15/53 | | | | | 715,000 | | | | | | 708,967 | | |
U.S. Treasury Bond, 3.875%, due
2/15/43 | | | | | 12,315,000 | | | | | | 12,445,847 | | |
| | | | | | | | | | | | 13,154,814 | | |
Total U.S. Treasury Bonds
(Cost $12,598,235) | | | | | | | | | | | 13,154,814 | | |
| U.S. Treasury Notes — 9.3% | |
U.S. Treasury Note, 3.500%, due
4/30/30 | | | | | 1,460,000 | | | | | | 1,462,509 | | |
U.S. Treasury Note, 3.500%, due
2/15/33 | | | | | 20,985,000 | | | | | | 21,109,599 | | |
| | | | | | | | | | | | 22,572,108 | | |
Total U.S. Treasury Notes
(Cost $22,089,175) | | | | | | | | | | | 22,572,108 | | |
| |
| | | | Principal
Amount | | | Value | |
United States Government Agency Mortgage-Backed
Securities — 17.9% | |
| Mortgage Securities — 17.9% | |
| Fannie Mae Interest Strip | | | | | | | | | | | | | |
Series 2022-426 C32, 1.500% due 2/25/52(c) | | | | $ | 2,078,593 | | | | | $ | 204,125 | | |
| Fannie Mae Pool | | | | | | | | | | | | | |
Series 2021-BT0472 2.000% due
7/1/51 | | | | | 88,080 | | | | | | 73,445 | | |
Series 2022-CB5401 4.500% due
12/1/52 | | | | | 924,301 | | | | | | 903,591 | | |
Series 2022-FS1429 3.500% due
4/1/52 | | | | | 777,990 | | | | | | 723,451 | | |
Series 2022-FS2058 4.000% due
6/1/52 | | | | | 717,326 | | | | | | 686,060 | | |
Series 2022-FS3643 5.500% due
11/1/52 | | | | | 358,734 | | | | | | 361,709 | | |
Series 2022-MA4626 4.000% due
6/1/52 | | | | | 1,778,309 | | | | | | 1,699,976 | | |
Series 2022-MA4644 4.000% due
5/1/52 | | | | | 910,512 | | | | | | 870,781 | | |
Series 2022-MA4655 4.000% due
7/1/52 | | | | | 1,192,262 | | | | | | 1,140,111 | | |
Series 2022-MA4709 5.000% due
7/1/52 | | | | | 322,174 | | | | | | 320,444 | | |
Series 2023-MA4919 5.500% due
2/1/53 | | | | | 1,540,097 | | | | | | 1,552,870 | | |
Series 2023-MA4942 6.000% due
3/1/53 | | | | | 604,053 | | | | | | 615,341 | | |
| Fannie Mae REMICS | | | | | | | | | | | | | |
Series 2016-57 SN, 1.030% (1-Month LIBOR + 6.05%), due 6/25/46(a)(c) | | | | | 569,417 | | | | | | 67,245 | | |
Series 2019-32 SB, 1.030% (1-Month LIBOR + 6.05%), due 6/25/49(a)(c) | | | | | 1,231,094 | | | | | | 137,013 | | |
Series 2020-47 BD, 1.500% due
7/25/50 | | | | | 175,838 | | | | | | 138,122 | | |
Series 2020-49 PB, 1.750% due
7/25/50 | | | | | 153,575 | | | | | | 123,022 | | |
Series 2020-70 SD, 1.230% (1-Month LIBOR + 6.25%), due 10/25/50(a)(c) | | | | | 912,354 | | | | | | 132,393 | | |
Series 2021-10 LI, 2.500% due
3/25/51(c) | | | | | 530,236 | | | | | | 77,262 | | |
Series 2021-12 JI, 2.500% due
3/25/51(c) | | | | | 673,551 | | | | | | 99,792 | | |
Series 2021-3 TI, 2.500% due
2/25/51(c) | | | | | 2,237,330 | | | | | | 363,185 | | |
Series 2021-34 IS, (1-Month LIBOR + 3.00%), due 11/25/42(a)(c) | | | | | 2,459,794 | | | | | | 87,112 | | |
Series 2021-34 MI, 2.500% due
3/25/51(c) | | | | | 984,494 | | | | | | 119,657 | | |
Series 2021-40 SI, 0.930% (1-Month LIBOR + 5.95%), due 9/25/47(a)(c) | | | | | 799,500 | | | | | | 84,687 | | |
Series 2021-54 HI, 2.500% due
6/25/51(c) | | | | | 207,927 | | | | | | 25,487 | | |
Series 2021-8 ID, 3.500% due
3/25/51(c) | | | | | 782,595 | | | | | | 153,285 | | |
Series 2021-95 KI, 2.500% due
4/25/51(c) | | | | | 2,592,682 | | | | | | 354,688 | | |
Series 2022-10 SA, 0.935% (SOFR30A +
5.75%), due 2/25/52(a)(c) | | | | | 888,444 | | | | | | 122,674 | | |
Series 2022-5 SN, (SOFR30A + 1.80%), due 2/25/52(a)(c) | | | | | 375,715 | | | | | | 4,580 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay ESG Core Plus Bond ETF (continued)
| | | | Principal
Amount | | | Value | |
United States Government Agency Mortgage-Backed
Securities (continued) | |
| Mortgage Securities (continued) | |
| Federal National Mortgage Association | | | | | | | | | | | | | |
| 5.000% due 3/1/53 | | | | $ | 945,427 | | | | | $ | 940,069 | | |
| 5.000% due 3/1/53 | | | | | 249,315 | | | | | | 248,053 | | |
| Freddie Mac Pool | | | | | | | | | | | | | |
| 3.500% due 7/1/52 | | | | | 218,594 | | | | | | 203,168 | | |
| 4.000% due 9/1/52 | | | | | 454,843 | | | | | | 436,424 | | |
| 4.500% due 10/1/52 | | | | | 1,993,793 | | | | | | 1,949,168 | | |
| 4.500% due 11/1/52 | | | | | 2,954,447 | | | | | | 2,888,246 | | |
Series 2019-SD8030 3.000% due
12/1/49 | | | | | 220,675 | | | | | | 200,172 | | |
Series 2022-SD8215 4.000% due
5/1/52 | | | | | 947,125 | | | | | | 905,415 | | |
| Freddie Mac REMICS | | | | | | | | | | | | | |
| Series 2020-4988 BA, 1.500% due 6/25/50 | | | | | 198,951 | | | | | | 156,253 | | |
Series 2020-4993 KS, 1.030% (1-Month LIBOR + 6.05%), due 7/25/50(a)(c) | | | | | 1,619,847 | | | | | | 245,205 | | |
Series 2020-4994 TS, 1.080% (1-Month LIBOR + 6.10%), due 7/25/50(a)(c) | | | | | 898,841 | | | | | | 121,061 | | |
Series 2020-5021 SA, (SOFR30A + 3.55%), due 10/25/50(a)(c) | | | | | 869,866 | | | | | | 30,293 | | |
Series 2020-5031 IQ, 2.500% due 10/25/50(c) | | | | | 546,988 | | | | | | 76,337 | | |
Series 2020-5036 IO, 3.500% due 11/25/50(c) | | | | | 647,138 | | | | | | 128,220 | | |
Series 2020-5038 IB, 2.500% due 10/25/50(c) | | | | | 542,829 | | | | | | 82,348 | | |
| Series 2020-5038 KA, 1.500% due 11/25/50 | | | | | 361,106 | | | | | | 280,260 | | |
Series 2020-5040 IO, 3.500% due 11/25/50(c) | | | | | 862,090 | | | | | | 137,940 | | |
Series 2021-5070 PI, 3.000% due 8/25/50(c) | | | | | 925,962 | | | | | | 143,231 | | |
Series 2021-5149 LI, 2.500% due 10/25/51(c) | | | | | 1,803,465 | | | | | | 233,380 | | |
Series 2021-5187 SA, (SOFR30A + 1.80%), due 1/25/52(a)(c) | | | | | 668,931 | | | | | | 9,413 | | |
Series 2022-5191 IO, 3.500% due 9/25/50(c) | | | | | 995,719 | | | | | | 162,353 | | |
Series 2022-5274 IO, 2.500% due 1/25/51(c) | | | | | 1,835,722 | | | | | | 286,414 | | |
| Series 2023-5304 UB, 4.000% due 2/25/52 | | | | | 709,747 | | | | | | 688,901 | | |
| Freddie Mac Strips | | | | | | | | | | | | | |
Series 2013-311, 0.000%, due 8/15/43(f)(g) | | | | | 177,438 | | | | | | 136,777 | | |
Series 2013-311 S1, 1.002% (1-Month LIBOR + 5.95%), due 8/15/43(a)(c) | | | | | 627,062 | | | | | | 73,107 | | |
Series 2022-389 C35, 2.000% due 6/15/52(c) | | | | | 1,361,008 | | | | | | 171,895 | | |
| FREMF 2016-K58 Mortgage Trust | | | | | | | | | | | | | |
Series 2016-K58 B, 3.866% due 9/25/49(a)(b) | | | | | 270,000 | | | | | | 258,164 | | |
| FREMF 2017-K056 Mortgage Trust | | | | | | | | | | | | | |
Series 2017-K65 C, 4.218% due 7/25/50(a)(b) | | | | | 580,000 | | | | | | 548,749 | | |
| FREMF 2018-K733 Mortgage Trust | | | | | | | | | | | | | |
Series 2018-K73 B, 3.986% due 2/25/51(a)(b) | | | | | 100,000 | | | | | | 94,053 | | |
| | | | Principal
Amount | | | Value | |
United States Government Agency Mortgage-Backed
Securities (continued) | |
| Mortgage Securities (continued) | |
| FREMF 2018-K77 Mortgage Trust | | | | | | | | | | | | | |
Series 2018-K77 C, 4.303% due 5/25/51(a)(b) | | | | $ | 245,000 | | | | | $ | 230,184 | | |
| FREMF 2018-K78 Mortgage Trust | | | | | | | | | | | | | |
Series 2018-K78 B, 4.267% due 6/25/51(a)(b) | | | | | 20,000 | | | | | | 19,002 | | |
Series 2018-K78 C, 4.267% due 6/25/51(a)(b) | | | | | 182,000 | | | | | | 170,594 | | |
| FREMF 2018-K79 Mortgage Trust | | | | | | | | | | | | | |
Series 2018-K79 B, 4.351% due 7/25/51(a)(b) | | | | | 50,000 | | | | | | 47,685 | | |
| FREMF 2018-K80 Mortgage Trust | | | | | | | | | | | | | |
Series 2018-K80 C, 4.376% due 8/25/50(a)(b) | | | | | 323,000 | | | | | | 303,956 | | |
| FREMF 2018-K86 Mortgage Trust | | | | | | | | | | | | | |
Series 2018-K86 C, 4.437% due 11/25/51(a)(b) | | | | | 625,000 | | | | | | 588,279 | | |
| FREMF 2019-K102 Mortgage Trust | | | | | | | | | | | | | |
Series 2019-K102 C, 3.652% due 12/25/51(a)(b) | | | | | 685,000 | | | | | | 607,834 | | |
| FREMF 2019-K103 Mortgage Trust | | | | | | | | | | | | | |
Series 2019-K103 B, 3.574% due 12/25/51(a)(b) | | | | | 255,000 | | | | | | 228,845 | | |
| FREMF 2019-K90 Mortgage Trust | | | | | | | | | | | | | |
Series 2019-K90 C, 4.465% due 2/25/52(a)(b) | | | | | 420,000 | | | | | | 392,346 | | |
| FREMF 2019-K94 Mortgage Trust | | | | | | | | | | | | | |
Series 2019-K94 B, 4.101% due 7/25/52(a)(b) | | | | | 395,000 | | | | | | 366,884 | | |
Series 2019-K94 C, 4.101% due 7/25/52(a)(b) | | | | | 470,000 | | | | | | 429,384 | | |
| FREMF 2019-K95 Mortgage Trust | | | | | | | | | | | | | |
Series 2019-K95 C, 4.055% due 8/25/52(a)(b) | | | | | 535,000 | | | | | | 488,091 | | |
| FREMF 2019-K98 Mortgage Trust | | | | | | | | | | | | | |
Series 2019-K98 C, 3.863% due 10/25/52(a)(b) | | | | | 85,000 | | | | | | 76,547 | | |
| FREMF 2020-K104 Mortgage Trust | | | | | | | | | | | | | |
Series 2020-K104 C, 3.663% due 2/25/52(a)(b) | | | | | 315,000 | | | | | | 277,854 | | |
| Government National Mortgage Association | | | | | | | | | | | | | |
Series 2019-136 YS, (1-Month LIBOR + 2.83%), due 11/20/49(a)(c) | | | | | 316,519 | | | | | | 6,066 | | |
Series 2019-159 P, 2.500% due
9/20/49 | | | | | 1,169,936 | | | | | | 1,037,644 | | |
Series 2020-1 YS, (1-Month LIBOR + 2.83%), due 1/20/50(a)(c) | | | | | 1,427,496 | | | | | | 28,938 | | |
Series 2020-129 SB, (1-Month LIBOR + 3.20%), due 9/20/50(a)(c) | | | | | 2,060,536 | | | | | | 47,340 | | |
Series 2020-146 KI, 2.500% due 10/20/50(c) | | | | | 1,606,402 | | | | | | 210,292 | | |
Series 2020-146 SA, 1.347% (1-Month LIBOR + 6.30%), due 10/20/50(a)(c) | | | | | 1,017,442 | | | | | | 143,288 | | |
| Series 2020-146 YK, 1.000% due 10/20/50 | | | | | 659,556 | | | | | | 515,502 | | |
Series 2020-151 TI, 2.500% due 10/20/50(c) | | | | | 961,746 | | | | | | 127,441 | | |
| Series 2020-165 UD, 1.500% due 11/20/50 | | | | | 283,935 | | | | | | 234,038 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay ESG Core Plus Bond ETF (continued)
| | | | Principal
Amount | | | Value | |
United States Government Agency Mortgage-Backed
Securities (continued) | |
| Mortgage Securities (continued) | |
Series 2020-167 SN, 1.347% (1-Month LIBOR + 6.30%), due 11/20/50(a)(c) | | | | $ | 539,569 | | | | | $ | 73,659 | | |
Series 2020-173 EI, 2.500% due 11/20/50(c) | | | | | 1,072,175 | | | | | | 147,377 | | |
Series 2020-175 CS, 1.347% (1-Month LIBOR + 6.30%), due 11/20/50(a)(c) | | | | | 1,142,539 | | | | | | 162,348 | | |
Series 2020-176 AI, 2.000% due 11/20/50(c) | | | | | 654,367 | | | | | | 66,459 | | |
Series 2020-185 BI, 2.000% due 12/20/50(c) | | | | | 799,901 | | | | | | 91,470 | | |
Series 2020-189 SU, 1.347% (1-Month LIBOR + 6.30%), due 12/20/50(a)(c) | | | | | 674,468 | | | | | | 99,098 | | |
Series 2020-62 FA, 3.500% (1-Month LIBOR + 0.63%), due 5/20/50(a) | | | | | 609,694 | | | | | | 555,105 | | |
Series 2021-1 IT, 3.000% due
1/20/51(c) | | | | | 1,132,208 | | | | | | 169,781 | | |
Series 2021-1 PI, 2.500% due
12/20/50(c) | | | | | 845,510 | | | | | | 108,653 | | |
Series 2021-146 IN, 3.500% due 8/20/51(c) | | | | | 1,249,276 | | | | | | 194,481 | | |
Series 2021-149 CI, 2.500% due 8/20/51(c) | | | | | 1,393,183 | | | | | | 193,432 | | |
Series 2021-158 SB, (SOFR30A + 3.70%),
due 9/20/51(a)(c) | | | | | 1,044,995 | | | | | | 42,751 | | |
Series 2021-177 CI, 2.500% due 10/20/51(c) | | | | | 1,066,545 | | | | | | 141,314 | | |
Series 2021-177 SB, (SOFR30A + 3.20%),
due 10/20/51(a)(c) | | | | | 7,581,887 | | | | | | 155,568 | | |
Series 2021-179 SA, 1.347% (1-Month LIBOR + 6.30%), due 11/20/50(a)(c) | | | | | 1,549,175 | | | | | | 213,011 | | |
Series 2021-188 IO, 2.500% due 10/20/51(c) | | | | | 1,617,386 | | | | | | 254,740 | | |
Series 2021-205 DS, (SOFR30A + 3.20%), due 11/20/51(a)(c) | | | | | 3,457,224 | | | | | | 68,653 | | |
Series 2021-30 DI, 2.500% due
2/20/51(c) | | | | | 1,405,176 | | | | | | 194,025 | | |
Series 2021-41 FS, 2.000% (SOFR30A + 0.20%), due 10/20/50(a)(c) | | | | | 1,200,866 | | | | | | 115,645 | | |
Series 2021-42 BI, 2.500% due
3/20/51(c) | | | | | 654,186 | | | | | | 90,548 | | |
Series 2021-46 QS, 1.347% (1-Month LIBOR + 6.30%), due 3/20/51(a)(c) | | | | | 619,001 | | | | | | 84,692 | | |
Series 2021-46 TS, 1.347% (1-Month LIBOR + 6.30%), due 3/20/51(a)(c) | | | | | 790,279 | | | | | | 109,249 | | |
Series 2021-49 SB, 1.347% (1-Month LIBOR + 6.30%), due 3/20/51(a)(c) | | | | | 914,114 | | | | | | 124,277 | | |
Series 2021-57 SA, 1.347% (1-Month LIBOR + 6.30%), due 3/20/51(a)(c) | | | | | 1,232,315 | | | | | | 166,831 | | |
Series 2021-57 SD, 1.347% (1-Month LIBOR + 6.30%), due 3/20/51(a)(c) | | | | | 1,596,285 | | | | | | 214,792 | | |
Series 2021-74 HI, 3.000% due
4/20/51(c) | | | | | 196,701 | | | | | | 28,447 | | |
Series 2021-83 FM, 2.500% (SOFR30A +
0.51%), due 5/20/51(a) | | | | | 1,703,878 | | | | | | 1,429,646 | | |
Series 2021-97 FA, 3.000% (SOFR30A +
0.40%), due 6/20/51(a) | | | | | 352,565 | | | | | | 305,678 | | |
Series 2021-97 IN, 2.500% due
8/20/49(c) | | | | | 1,404,363 | | | | | | 162,529 | | |
Series 2021-97 SA, (SOFR30A + 2.60%),
due 6/20/51(a)(c) | | | | | 5,100,462 | | | | | | 93,018 | | |
| | | | Principal
Amount | | | Value | |
United States Government Agency Mortgage-Backed
Securities (continued) | |
| Mortgage Securities (continued) | |
Series 2021-97 SM, 1.347% (1-Month LIBOR + 6.30%), due 6/20/51(a)(c) | | | | $ | 1,399,621 | | | | | $ | 200,522 | | |
Series 2021-98 IN, 3.000% due
6/20/51(c) | | | | | 634,955 | | | | | | 110,235 | | |
Series 2022-1 IA, 2.500% due
6/20/50(c) | | | | | 387,239 | | | | | | 52,111 | | |
Series 2022-10 IC, 2.000% due 11/20/51(c) | | | | | 1,145,356 | | | | | | 139,342 | | |
Series 2022-137 S, 1.347% (1-Month LIBOR + 6.30%), due 7/20/51(a)(c) | | | | | 1,406,921 | | | | | | 187,524 | | |
Series 2022-189 AT, 3.000% due
7/20/51 | | | | | 802,023 | | | | | | 722,115 | | |
Series 2022-19 SG, (SOFR30A + 2.45%),
due 1/20/52(a)(c) | | | | | 1,760,806 | | | | | | 22,724 | | |
Series 2022-206 CN, 3.000% due
2/20/52 | | | | | 575,521 | | | | | | 519,187 | | |
| Series 2022-206 WN, 4.000% due 10/20/49 | | | | | 922,189 | | | | | | 896,516 | | |
Series 2022-24 SC, (SOFR30A + 2.37%),
due 2/20/52(a)(c) | | | | | 15,542,276 | | | | | | 170,099 | | |
Series 2022-34 HS, (SOFR30A + 4.10%),
due 2/20/52(a)(c) | | | | | 2,445,201 | | | | | | 129,871 | | |
Series 2023-19 CI, 3.000% due 11/20/51(c) | | | | | 1,364,982 | | | | | | 200,489 | | |
Series 2023-19 IO, 2.500% due
2/20/51(c) | | | | | 1,939,005 | | | | | | 256,317 | | |
Series 2023-38 WT, 6.817% due 12/20/51(a)(b) | | | | | 323,048 | | | | | | 354,280 | | |
Series 2023-53, 0.000%, due 4/20/53(f)(g) | | | | | 345,000 | | | | | | 278,467 | | |
Series 2023-55 CG, 7.486% due 7/20/51(a)(b) | | | | | 845,000 | | | | | | 963,163 | | |
Series 2023-55 LB, 7.993% due 11/20/51(a)(b) | | | | | 915,000 | | | | | | 1,062,954 | | |
Series 2023-56, 0.000%, due 7/20/52(f)(g) | | | | | 830,000 | | | | | | 746,766 | | |
Series 2023-59 YC, 6.897% due 9/20/51(a)(b) | | | | | 725,000 | | | | | | 805,416 | | |
| | | | | | | | | | | | 43,330,586 | | |
Total United States Government Agency
Mortgage-Backed Securities
(Cost $43,397,983) | | | | | | | | | | | 43,330,586 | | |
| |
| | | | Shares | | | | | | | |
| Short-Term Investment — 0.3% | | | | | | | | | | | | | |
| Money Market Fund — 0.3% | | | | | | | | | | | | | |
Dreyfus Government Cash Management
Fund, Institutional Shares, 4.76%(h)(i) | | | | | 372,750 | | | | | | 372,750 | | |
BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 4.72%(h) | | | | | 365,858 | | | | | | 365,858 | | |
Total Short-Term Investment
(Cost $738,608) | | | | | | | | | | | 738,608 | | |
Total Investments — 99.1%
(Cost $243,498,011) | | | | | | | | | | | 240,301,032 | | |
Other Assets and Liabilities,
Net — 0.9% | | | | | | | | | | | 2,241,688 | | |
| Net Assets — 100.0% | | | | | | | | | | $ | 242,542,720 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay ESG Core Plus Bond ETF (continued)
(a)
Variable rate securities that may be tendered back to the issuer at any time prior to maturity at par. Rate shown is the rate in effect as of April 30, 2023.
(b)
Adjustable rate security with an interest rate that is not based on a published reference index and spread. The rate is based on the structure of the agreement and current market conditions.
(c)
Interest only security. An interest only security is the interest only portion of a fixed income security, which is separated and sold individually from the principal portion of the security.
(d)
All or a portion of the security was on loan. In addition, “Other Assets and Liabilities, Net” may include pending sales that are
also on loan. The aggregate market value of securities on loan was $359,733; total market value of collateral held by the Fund was $372,750.
(e)
Less than 0.05%.
(f)
The security was issued on a discount basis with no stated coupon rate. Rate shown reflects the effective yield.
(g)
A principal only security is the principal only portion of a fixed income security, which is separated and sold individually from the interest portion of the security.
(h)
Reflects the 7-day yield at April 30, 2023.
(i)
Represents security purchased with cash collateral received for securities on loan.
Abbreviations
| | CMT | | | — | | | Constant Maturity Treasury Index | |
| | FREMF | | | — | | | Freddie MAC Multifamily Securities | |
| | LIBOR | | | — | | | London InterBank Offered Rate | |
| | SOFR | | | — | | | Secured Financing Overnight Rate | |
Open futures contracts outstanding at April 30, 2023:
| Type | | | Broker | | | Expiration
Date | | | Number of
Contracts
Purchased
(Sold) | | | Notional
Value at
Trade
Date | | | Notional
Value at
April 30,
2023 | | | Unrealized
Appreciation
(Depreciation) | |
| U.S. 10 Year Ultra Note | | | Citigroup Global Markets Inc. | | | June 2023 | | | | | 178 | | | | | $ | 20,953,686 | | | | | $ | 21,618,656 | | | | | $ | 664,970 | | |
| U.S. 2 Year Note (CBT) | | | Citigroup Global Markets Inc. | | | June 2023 | | | | | (6) | | | | | | (1,241,471) | | | | | | (1,236,984) | | | | | | 4,487 | | |
| U.S. 5 Year Note (CBT) | | | Citigroup Global Markets Inc. | | | June 2023 | | | | | (10) | | | | | | (1,088,400) | | | | | | (1,097,422) | | | | | | (9,022) | | |
| U.S. Long Bond (CBT) | | | Citigroup Global Markets Inc. | | | June 2023 | | | | | 36 | | | | | | 4,538,896 | | | | | | 4,739,625 | | | | | | 200,729 | | |
| U.S. Ultra Bond (CBT) | | | Citigroup Global Markets Inc. | | | June 2023 | | | | | 44 | | | | | | 5,986,854 | | | | | | 6,221,875 | | | | | | 235,021 | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | $ | 1,096,185 | | |
CBT — Chicago Board of Trade
Cash posted as collateral to broker for futures contracts was $979,344 at April 30, 2023.
See notes to financial statements.
Schedule of Investments — IQ MacKay ESG Core Plus Bond ETF (continued)
The following is a summary of the inputs used to value the Fund’s investments as of April 30, 2023. For more information on the valuation techniques, and their aggregation into the levels used in the table below, please refer to Note 2.
| Description | | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
| Asset Valuation Inputs | | | | | | | | | | | | | | | | | | | | | | | | | |
| Investments in Securities:(j) | | | | | | | | | | | | | | | | | | | | | | | | | |
| Collateralized Mortgage Obligations | | | | $ | — | | | | | $ | 27,509,691 | | | | | $ | — | | | | | $ | 27,509,691 | | |
| Commercial Asset-Backed Securities | | | | | — | | | | | | 23,855,176 | | | | | | — | | | | | | 23,855,176 | | |
| Commercial Mortgage-Backed Securities | | | | | — | | | | | | 18,212,920 | | | | | | — | | | | | | 18,212,920 | | |
| Corporate Bonds | | | | | — | | | | | | 61,011,904 | | | | | | — | | | | | | 61,011,904 | | |
| Foreign Bonds | | | | | — | | | | | | 29,181,464 | | | | | | — | | | | | | 29,181,464 | | |
| Foreign Government Obligations | | | | | — | | | | | | 733,761 | | | | | | — | | | | | | 733,761 | | |
| U.S. Treasury Bonds | | | | | — | | | | | | 13,154,814 | | | | | | — | | | | | | 13,154,814 | | |
| U.S. Treasury Notes | | | | | — | | | | | | 22,572,108 | | | | | | — | | | | | | 22,572,108 | | |
| United States Government Agency Mortgage-Backed Securities | | | | | — | | | | | | 43,330,586 | | | | | | — | | | | | | 43,330,586 | | |
| Short-Term Investment: | | | | | | | | | | | | | | | | | | | | | | | | | |
| Money Market Fund | | | | | 738,608 | | | | | | — | | | | | | — | | | | | | 738,608 | | |
| Total Investments in Securities | | | | | 738,608 | | | | | | 239,562,424 | | | | | | — | | | | | | 240,301,032 | | |
| Other Financial Instruments:(k) | | | | | | | | | | | | | | | | | | | | | | | | | |
| Futures Contracts | | | | | 1,105,207 | | | | | | — | | | | | | — | | | | | | 1,105,207 | | |
| Total Investments in Securities and Other Financial Instruments | | | | $ | 1,843,815 | | | | | $ | 239,562,424 | | | | | $ | — | | | | | $ | 241,406,239 | | |
| Liability Valuation Inputs | | | | | | | | | | | | | | | | | | | | | | | | | |
| Other Financial Instruments:(k) | | | | | | | | | | | | | | | | | | | | | | | | | |
| Futures Contracts | | | | $ | (9,022) | | | | | $ | — | | | | | $ | — | | | | | $ | (9,022) | | |
(j)
For a complete listing of investments and their states, see the Schedule of Investments.
(k)
Reflects the unrealized appreciation (depreciation) of the instruments.
For the year ended April 30, 2023 the Fund did not have any transfers into or out of Level 3 within the fair value hierarchy. (See Note 2)
See notes to financial statements.
Schedule of Investments — IQ MacKay Multi-Sector Income ETF
| | | | Principal
Amount | | | Value | |
| Long-Term Bonds — 97.0% | |
| Collateralized Mortgage Obligations — 8.3% | |
| Mortgage Securities — 8.3% | |
| Fannie Mae Connecticut Avenue Securities | | | | | | | | | | | | | |
Series 2017-C03 1B1, 9.870%, (1-Month
LIBOR + 4.85%), due 10/25/29(a) | | | | $ | 35,000 | | | | | $ | 38,403 | | |
Series 2017-C07 1B1, 9.020%, (1-Month
LIBOR + 4.00%), due 5/25/30(a) | | | | | 130,000 | | | | | | 138,424 | | |
Series 2018-C01 1B1, 8.570%, (1-Month
LIBOR + 3.55%), due 7/25/30(a) | | | | | 100,000 | | | | | | 106,618 | | |
Series 2018-C03 1B1, 8.770%, (1-Month
LIBOR + 3.75%), due 10/25/30(a) | | | | | 185,000 | | | | | | 198,388 | | |
Series 2018-C04 2B1, 9.520%, (1-Month
LIBOR + 4.50%), due 12/25/30(a) | | | | | 75,000 | | | | | | 81,220 | | |
Series 2018-C05 1B1, 9.270%, (1-Month
LIBOR + 4.25%), due 1/25/31(a) | | | | | 85,000 | | | | | | 92,738 | | |
Series 2021-R02 2B1, 8.115%,
(SOFR + 3.30%), due 11/25/41(a) | | | | | 15,000 | | | | | | 14,456 | | |
| Fannie Mae Interest Strip | | | | | | | | | | | | | |
Series 2022-427 C77, 2.500%, due 9/25/51(b) | | | | | 207,867 | | | | | | 30,596 | | |
| Fannie Mae REMICS | | | | | | | | | | | | | |
Series 2016-57 SN, 1.030%, (1-Month LIBOR + 6.05%), due 6/25/46(a)(b) | | | | | 79,373 | | | | | | 9,374 | | |
Series 2019-32 SB, 1.030%, (1-Month LIBOR + 6.05%), due 6/25/49(a)(b) | | | | | 68,136 | | | | | | 7,583 | | |
Series 2020-49 PB, 1.750%, due
7/25/50 | | | | | 42,233 | | | | | | 33,831 | | |
Series 2021-34 MI, 2.500%, due
3/25/51(b) | | | | | 87,123 | | | | | | 10,589 | | |
| Freddie Mac REMICS | | | | | | | | | | | | | |
Series 2020-5036 IO, 3.500%, due 11/25/50(b) | | | | | 69,961 | | | | | | 13,862 | | |
Series 2020-5040 IO, 3.500%, due 11/25/50(b) | | | | | 68,149 | | | | | | 10,904 | | |
| Freddie Mac STACR REMIC Trust 2020-DNA6 | | | | | | | | | | | | | |
Series 2020-DNA6 M2, 6.815%,
(SOFR + 2.00%), due 12/25/50(a) | | | | | 81,685 | | | | | | 81,685 | | |
| Freddie Mac STACR REMIC Trust 2021-DNA5 | | | | | | | | | | | | | |
Series 2021-DNA5 B1, 7.865%,
(SOFR + 3.05%), due 1/25/34(a) | | | | | 75,000 | | | | | | 71,333 | | |
| Freddie Mac STACR REMIC Trust 2021-HQA2 | | | | | | | | | | | | | |
Series 2021-HQA2 B1, 7.965%,
(SOFR + 3.15%), due 12/25/33(a) | | | | | 90,000 | | | | | | 81,567 | | |
| Freddie Mac STACR REMIC Trust 2021-HQA3 | | | | | | | | | | | | | |
Series 2021-HQA3 B1, 8.165%,
(SOFR + 3.35%), due 9/25/41(a) | | | | | 90,000 | | | | | | 84,094 | | |
Series 2021-HQA3 M2, 6.915%,
(SOFR + 2.10%), due 9/25/41(a) | | | | | 90,000 | | | | | | 83,953 | | |
| Freddie Mac STACR REMIC Trust 2022-DNA1 | | | | | | | | | | | | | |
Series 2022-DNA1 M2, 7.315%,
(SOFR + 2.50%), due 1/25/42(a) | | | | | 50,000 | | | | | | 47,065 | | |
| Freddie Mac STACR REMIC Trust 2022-DNA2 | | | | | | | | | | | | | |
Series 2022-DNA2 M1B, 7.215%,
(SOFR + 2.40%), due 2/25/42(a) | | | | | 65,000 | | | | | | 64,026 | | |
| | | | Principal
Amount | | | Value | |
| Collateralized Mortgage Obligations (continued) | |
| Mortgage Securities (continued) | |
| Freddie Mac STACR REMIC Trust 2022-DNA3 | | | | | | | | | | | | | |
Series 2022-DNA3 M1B, 7.715%,
(SOFR + 2.90%), due 4/25/42(a) | | | | $ | 128,000 | | | | | $ | 127,680 | | |
| Freddie Mac STACR Trust 2019-DNA1 | | | | | | | | | | | | | |
Series 2019-DNA1 B1, 9.670%, (1-Month
LIBOR + 4.65%), due 1/25/49(a) | | | | | 70,000 | | | | | | 75,463 | | |
| Freddie Mac STACR Trust 2019-DNA2 | | | | | | | | | | | | | |
Series 2019-DNA2 B1, 9.370%, (1-Month
LIBOR + 4.35%), due 3/25/49(a) | | | | | 95,000 | | | | | | 99,263 | | |
| Freddie Mac STACR Trust 2019-DNA3 | | | | | | | | | | | | | |
Series 2019-DNA3 B1, 8.270%, (1-Month
LIBOR + 3.25%), due 7/25/49(a) | | | | | 20,000 | | | | | | 20,534 | | |
| Freddie Mac Strips | | | | | | | | | | | | | |
Series 2013-311, 0.000%, due 8/15/43(c)(d) | | | | | 17,227 | | | | | | 13,279 | | |
Series 2013-311 S1, 1.002%, (1-Month LIBOR + 5.95%), due 8/15/43(a)(b) | | | | | 68,047 | | | | | | 7,933 | | |
| Freddie Mac Structured Agency Credit Risk Debt Notes | | | | | | | | | | | | | |
Series 2018-HQA1 M2, 7.320%, (1-Month LIBOR + 2.30%), due 9/25/30(a) | | | | | 21,907 | | | | | | 22,066 | | |
| Government National Mortgage Association | | | | | | | | | | | | | |
Series 2020-122 IW, 2.500%, due 7/20/50(b) | | | | | 98,679 | | | | | | 12,992 | | |
Series 2020-34 SC, 1.097%, (1-Month LIBOR + 6.05%), due 3/20/50(a)(b) | | | | | 66,523 | | | | | | 8,079 | | |
Series 2020-97 HB, 1.000%, due
7/20/50 | | | | | 19,936 | | | | | | 15,527 | | |
Series 2021-122 HS, 1.347%, (1-Month LIBOR + 6.30%), due 7/20/51(a)(b) | | | | | 102,647 | | | | | | 14,952 | | |
Series 2021-136 SB, 0.000%,
(SOFR + 3.20%), due 8/20/51(a)(b) | | | | | 622,932 | | | | | | 13,445 | | |
Series 2021-214 SA,
(SOFR + 1.70%), due 12/20/51(a)(b) | | | | | 1,535,768 | | | | | | 15,289 | | |
Series 2021-216 SA, 0.000%,
(SOFR + 3.80%), due 12/20/51(a)(b) | | | | | 622,915 | | | | | | 21,424 | | |
Series 2021-41 FS, 2.000%,
(SOFR + 0.20%), due 10/20/50(a)(b) | | | | | 166,888 | | | | | | 16,071 | | |
Series 2021-57 AI, 2.000%, due
2/20/51(b) | | | | | 109,022 | | | | | | 11,112 | | |
Series 2021-96 JS, 1.397%, (1-Month LIBOR + 6.35%), due 6/20/51(a)(b) | | | | | 111,034 | | | | | | 12,789 | | |
Series 2022-83 IO, 2.500%, due 11/20/51(b) | | | | | 181,317 | | | | | | 23,990 | | |
Series 2023-1 HD, 3.500%, due
1/20/52 | | | | | 49,036 | | | | | | 46,107 | | |
Series 2023-1 MA, 3.500%, due
5/20/50 | | | | | 44,001 | | | | | | 41,459 | | |
| J.P. Morgan Mortgage Trust 2022-INV3 | | | | | | | | | | | | | |
Series 2022-INV3 A3B, 3.000%, due 9/25/52(a)(e) | | | | | 91,144 | | | | | | 76,935 | | |
| OBX 2019-INV2 Trust | | | | | | | | | | | | | |
Series 2019-INV2 A5, 4.000%, due 5/27/49(a)(e) | | | | | 27,597 | | | | | | 26,115 | | |
| | | | | | | | | | | | 2,023,213 | | |
Total Collateralized Mortgage Obligations
(Cost $1,975,459) | | | | | | | | | | | 2,023,213 | | |
| |
See notes to financial statements.
Schedule of Investments — IQ MacKay Multi-Sector Income ETF (continued)
| | | | Principal
Amount | | | Value | |
| Commercial Asset-Backed Securities — 8.6% | |
| Asset Backed Securities — 8.6% | |
| AMSR 2020-SFR2 Trust | | | | | | | | | | | | | |
Series 2020-SFR2 A, 1.632%, due
7/17/37 | | | | $ | 100,000 | | | | | $ | 92,760 | | |
| CF Hippolyta Issuer LLC | | | | | | | | | | | | | |
Series 2020-1 A1, 1.690%, due
7/15/60 | | | | | 89,945 | | | | | | 81,616 | | |
Series 2021-1A A1, 1.530%, due
3/15/61 | | | | | 94,245 | | | | | | 82,873 | | |
| DB Master Finance LLC | | | | | | | | | | | | | |
| Series 2019-1A A23, 4.352%, due 5/20/49 | | | | | 96,500 | | | | | | 91,417 | | |
| Dell Equipment Finance Trust 2023-1 | | | | | | | | | | | | | |
Series 2023-1 A3, 5.650%, due
9/22/28 | | | | | 25,000 | | | | | | 25,338 | | |
| Drive Auto Receivables Trust 2021-2 | | | | | | | | | | | | | |
| Series 2021-2 D, 1.390%, due 3/15/29 | | | | | 76,000 | | | | | | 71,359 | | |
| Enterprise Fleet Financing 2022-2 LLC | | | | | | | | | | | | | |
Series 2022-2 A3, 4.790%, due
5/21/29 | | | | | 100,000 | | | | | | 99,476 | | |
| Exeter Automobile Receivables Trust 2021-3 | | | | | | | | | | | | | |
Series 2021-3A D, 1.550%, due
6/15/27 | | | | | 50,000 | | | | | | 46,116 | | |
| FirstKey Homes 2020-SFR2 Trust | | | | | | | | | | | | | |
Series 2020-SFR2 A, 1.266%, due
10/19/37 | | | | | 118,432 | | | | | | 107,765 | | |
| Flagship Credit Auto Trust 2020-3 | | | | | | | | | | | | | |
| Series 2020-3 D, 2.500%, due 9/15/26 | | | | | 115,000 | | | | | | 107,902 | | |
| Hertz Vehicle Financing III LP | | | | | | | | | | | | | |
Series 2021-2A A, 1.680%, due
12/27/27 | | | | | 100,000 | | | | | | 88,910 | | |
Series 2021-2A C, 2.520%, due
12/27/27 | | | | | 140,000 | | | | | | 121,610 | | |
| Hertz Vehicle Financing LLC | | | | | | | | | | | | | |
Series 2021-1A A, 1.210%, due
12/26/25 | | | | | 100,000 | | | | | | 93,750 | | |
| Hilton Grand Vacations Trust 2019-A | | | | | | | | | | | | | |
Series 2019-AA B, 2.540%, due
7/25/33 | | | | | 38,919 | | | | | | 36,493 | | |
| Home Partners of America 2021-2 Trust | | | | | | | | | | | | | |
Series 2021-2 A, 1.901%, due
12/17/26 | | | | | 114,724 | | | | | | 102,186 | | |
| Hyundai Auto Receivables Trust 2021-A | | | | | | | | | | | | | |
Series 2021-A C, 1.330%, due
11/15/27 | | | | | 35,000 | | | | | | 32,131 | | |
| MVW 2021-1W LLC | | | | | | | | | | | | | |
Series 2021-1WA B, 1.440%, due
1/22/41 | | | | | 56,122 | | | | | | 51,171 | | |
Navient Private Education Refi Loan Trust
2021-A | | | | | | | | | | | | | |
| Series 2021-A A, 0.840%, due 5/15/69 | | | | | 73,180 | | | | | | 64,227 | | |
| New Economy Assets Phase 1 Sponsor LLC | | | | | | | | | | | | | |
Series 2021-1 A1, 1.910%, due
10/20/61 | | | | | 100,000 | | | | | | 86,834 | | |
| PFS Financing Corp. | | | | | | | | | | | | | |
| Series 2022-A A, 2.470%, due 2/15/27 | | | | | 100,000 | | | | | | 95,369 | | |
| Series 2022-D A, 4.270%, due 8/15/27 | | | | | 100,000 | | | | | | 98,420 | | |
| Series 2022-D B, 4.900%, due 8/15/27 | | | | | 100,000 | | | | | | 98,550 | | |
| | | | Principal
Amount | | | Value | |
| Commercial Asset-Backed Securities (continued) | |
| Asset Backed Securities (continued) | |
| Progress Residential 2021-SFR1 | | | | | | | | | | | | | |
Series 2021-SFR1 A, 1.052%, due
4/17/38 | | | | $ | 99,460 | | | | | $ | 88,123 | | |
| Progress Residential 2021-SFR4 | | | | | | | | | | | | | |
Series 2021-SFR4 A, 1.558%, due
5/17/38 | | | | | 100,000 | | | | | | 89,727 | | |
| Santander Drive Auto Receivables Trust 2021-4 | | | | | | | | | | | | | |
Series 2021-4 D, 1.670%, due
10/15/27 | | | | | 100,000 | | | | | | 93,463 | | |
| Taco Bell Funding LLC | | | | | | | | | | | | | |
Series 2021-1A A23, 2.542%, due
8/25/51 | | | | | 59,250 | | | | | | 46,679 | | |
| | | | | | | | | | | | 2,094,265 | | |
Total Commercial Asset-Backed Securities
(Cost $2,125,157) | | | | | | | | | | | 2,094,265 | | |
| Commercial Mortgage-Backed Securities — 6.7% | |
| Mortgage Securities — 6.7% | |
BAMLL Commercial Mortgage Securities
Trust 2022-DKLX | | | | | | | | | | | | | |
Series 2022-DKLX C, 7.040%,
(TSFR1M + 2.15%), due 1/15/39(a) | | | | | 100,000 | | | | | | 95,117 | | |
| BX Commercial Mortgage Trust 2020-VIV2 | | | | | | | | | | | | | |
Series 2020-VIV2 C, 3.661%, due 3/9/44(a)(e) | | | | | 100,000 | | | | | | 83,212 | | |
| BX Commercial Mortgage Trust 2020-VIVA | | | | | | | | | | | | | |
Series 2020-VIVA D, 3.667%, due 3/11/44(a)(e) | | | | | 100,000 | | | | | | 80,759 | | |
| BX Commercial Mortgage Trust 2021-21M | | | | | | | | | | | | | |
Series 2021-21M C, 6.125%, (1-Month LIBOR + 1.18%), due 10/15/36(a) | | | | | 74,501 | | | | | | 70,352 | | |
| BX Trust 2018-GW | | | | | | | | | | | | | |
Series 2018-GW A, 5.748%, (1-Month LIBOR + 0.80%), due 5/15/35(a) | | | | | 100,000 | | | | | | 98,500 | | |
| BX Trust 2021-ARIA | | | | | | | | | | | | | |
Series 2021-ARIA E, 7.193%, (1-Month LIBOR + 2.24%), due 10/15/36(a) | | | | | 100,000 | | | | | | 92,520 | | |
| BX Trust 2021-RISE | | | | | | | | | | | | | |
Series 2021-RISE B, 6.198%, (1-Month LIBOR + 1.25%), due 11/15/36(a) | | | | | 100,000 | | | | | | 96,527 | | |
Series 2021-RISE C, 6.398%, (1-Month LIBOR + 1.45%), due 11/15/36(a) | | | | | 100,000 | | | | | | 95,463 | | |
| BXHPP Trust 2021-FILM | | | | | | | | | | | | | |
Series 2021-FILM B, 5.848%, (1-Month LIBOR + 0.90%), due 8/15/36(a) | | | | | 130,000 | | | | | | 118,786 | | |
| CSMC 2020-WEST Trust | | | | | | | | | | | | | |
| Series 2020-WEST A, 3.040%, due 2/15/35 | | | | | 100,000 | | | | | | 75,765 | | |
| FREMF 2017-K71 Mortgage Trust | | | | | | | | | | | | | |
Series 2017-K71 B, 3.881%, due 11/25/50(a)(e) | | | | | 100,000 | | | | | | 94,143 | | |
| FREMF 2019-K99 Mortgage Trust | | | | | | | | | | | | | |
Series 2019-K99 B, 3.765%, due 10/25/52(a)(e) | | | | | 100,000 | | | | | | 90,709 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Multi-Sector Income ETF (continued)
| | | | Principal
Amount | | | Value | |
| Commercial Mortgage-Backed Securities (continued) | |
| Mortgage Securities (continued) | |
| Hudson Yards 2019-30HY Mortgage Trust | | | | | | | | | | | | | |
| Series 2019-30HY A, 3.228%, due 7/10/39 | | | | $ | 100,000 | | | | | $ | 87,445 | | |
| J.P. Morgan Chase Commercial Mortgage Securities Trust 2019-OSB | | | | | | | | | | | | | |
Series 2019-OSB A, 3.397%, due
6/5/39 | | | | | 100,000 | | | | | | 88,993 | | |
| Manhattan West 2020-1MW Mortgage Trust | | | | | | | | | | | | | |
| Series 2020-1MW A, 2.130%, due 9/10/39 | | | | | 100,000 | | | | | | 86,511 | | |
| Multifamily Connecticut Avenue Securities Trust 2019-01 | | | | | | | | | | | | | |
Series 2019-01 M10, 8.270%, (1-Month LIBOR + 3.25%), due 10/25/49(a) | | | | | 94,220 | | | | | | 87,959 | | |
| Multifamily Connecticut Avenue Securities Trust 2020-01 | | | | | | | | | | | | | |
Series 2020-01 M10, 8.770%, (1-Month LIBOR + 3.75%), due 3/25/50(a) | | | | | 35,000 | | | | | | 32,902 | | |
| One Bryant Park Trust 2019-OBP | | | | | | | | | | | | | |
| Series 2019-OBP A, 2.516%, due 9/15/54 | | | | | 100,000 | | | | | | 82,949 | | |
| SLG Office Trust 2021-OVA | | | | | | | | | | | | | |
| Series 2021-OVA A, 2.585%, due 7/15/41 | | | | | 100,000 | | | | | | 81,300 | | |
| | | | | | | | | | | | 1,639,912 | | |
Total Commercial Mortgage-Backed Securities
(Cost $1,693,456) | | | | | | | | | | | 1,639,912 | | |
| Corporate Bonds — 32.9% | |
| Advertising — 0.1% | |
| Clear Channel Outdoor Holdings, Inc. | | | | | | | | | | | | | |
| 5.125%, due 8/15/27 | | | | | 8,000 | | | | | | 7,226 | | |
| Lamar Media Corp. | | | | | | | | | | | | | |
| 4.000%, due 2/15/30 | | | | | 12,000 | | | | | | 10,766 | | |
| | | | | | | | | | | | 17,992 | | |
| Aerospace/Defense — 0.0%(f) | |
| TransDigm, Inc. | | | | | | | | | | | | | |
| 6.750%, due 8/15/28 | | | | | 12,000 | | | | | | 12,186 | | |
| Agriculture — 0.3% | |
| Altria Group, Inc. | | | | | | | | | | | | | |
| 4.800%, due 2/14/29 | | | | | 50,000 | | | | | | 49,649 | | |
| Darling Ingredients, Inc. | | | | | | | | | | | | | |
| 5.250%, due 4/15/27 | | | | | 22,000 | | | | | | 21,558 | | |
| | | | | | | | | | | | 71,207 | | |
| Airlines — 2.0% | |
| Allegiant Travel Co. | | | | | | | | | | | | | |
| 7.250%, due 8/15/27 | | | | | 5,000 | | | | | | 4,938 | | |
| American Airlines, Inc. | | | | | | | | | | | | | |
| 11.750%, due 7/15/25 | | | | | 12,000 | | | | | | 13,201 | | |
| American Airlines, Inc./AAdvantage Loyalty IP Ltd. | | | | | | | | | | | | | |
| 5.500%, due 4/20/26 | | | | | 17,000 | | | | | | 16,694 | | |
| Delta Air Lines Inc / SkyMiles IP Ltd. | | | | | | | | | | | | | |
| 4.750%, due 10/20/28 | | | | | 90,000 | | | | | | 87,399 | | |
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Airlines (continued) | |
| JetBlue 2019-1 Class AA Pass-Through Trust | | | | | | | | | | | | | |
Series 2019-1, AA2.750%, due
5/15/32 | | | | $ | 99,576 | | | | | $ | 84,734 | | |
Mileage Plus Holdings LLC / Mileage Plus
Intellectual Property Assets Ltd. | | | | | | | | | | | | | |
| 6.500%, due 6/20/27 | | | | | 88,399 | | | | | | 88,258 | | |
| Southwest Airlines Co. | | | | | | | | | | | | | |
| 1.250%, due 5/1/25 | | | | | 94,000 | | | | | | 100,627 | | |
| United Airlines 2020-1 Class A Pass-Through Trust | | | | | | | | | | | | | |
| Series 2020-1, 5.875%, due 10/15/27 | | | | | 79,055 | | | | | | 79,040 | | |
| United Airlines, Inc. | | | | | | | | | | | | | |
| 4.375%, due 4/15/26 | | | | | 6,000 | | | | | | 5,730 | | |
| 4.625%, due 4/15/29 | | | | | 3,000 | | | | | | 2,715 | | |
| | | | | | | | | | | | 483,336 | | |
| Auto Manufacturers — 1.3% | |
| Ford Motor Co. | | | | | | | | | | | | | |
| 7.400%, due 11/1/46 | | | | | 12,000 | | | | | | 12,216 | | |
| Ford Motor Credit Co. LLC | | | | | | | | | | | | | |
| 3.375%, due 11/13/25 | | | | | 22,000 | | | | | | 20,430 | | |
| 4.950%, due 5/28/27 | | | | | 14,000 | | | | | | 13,240 | | |
| 5.584%, due 3/18/24 | | | | | 4,000 | | | | | | 3,977 | | |
| General Motors Co. | | | | | | | | | | | | | |
| 6.125%, due 10/1/25 | | | | | 60,000 | | | | | | 61,069 | | |
General Motors Financial Co., Inc.
2.350%, due 1/8/31 | | | | | 80,000 | | | | | | 63,161 | | |
Hyundai Capital America
5.800%, due 4/1/30 | | | | | 75,000 | | | | | | 76,982 | | |
| Nissan Motor Acceptance Co. LLC | | | | | | | | | | | | | |
| 1.850%, due 9/16/26 | | | | | 75,000 | | | | | | 63,999 | | |
| | | | | | | | | | | | 315,074 | | |
| Auto Parts & Equipment — 0.2% | |
| Clarios Global LP | | | | | | | | | | | | | |
| 6.750%, due 5/15/25 | | | | | 6,000 | | | | | | 6,009 | | |
| Clarios Global LP / Clarios US Finance Co. | | | | | | | | | | | | | |
| 6.250%, due 5/15/26 | | | | | 6,000 | | | | | | 5,970 | | |
| 8.500%, due 5/15/27 | | | | | 12,000 | | | | | | 12,070 | | |
| Dana, Inc. | | | | | | | | | | | | | |
| 4.500%, due 2/15/32 | | | | | 12,000 | | | | | | 9,597 | | |
| Goodyear Tire & Rubber Co. (The) | | | | | | | | | | | | | |
| 4.875%, due 3/15/27 | | | | | 8,000 | | | | | | 7,556 | | |
| | | | | | | | | | | | 41,202 | | |
| Banks — 3.3% | |
| Bank of America Corp. | | | | | | | | | | | | | |
| 2.087%, (SOFR + 1.06%), due | | | |
6/14/29(a) | | | | | 85,000 | | | | | | 73,453 | | |
2.496%, (3-Month LIBOR + 0.99%), due 2/13/31(a) | | | | | 90,000 | | | | | | 75,978 | | |
| 4.250%, due 10/22/26 | | | | | 90,000 | | | | | | 87,592 | | |
| Citigroup, Inc. | | | | | | | | | | | | | |
| 2.520%, (SOFR + 1.18%), due | | | |
11/3/32(a) | | | | | 90,000 | | | | | | 73,671 | | |
Series Y, 4.150%, (US 5 Year CMT T-Note + 3.00%), due 2/15/72(a) | | | | | 110,000 | | | | | | 90,475 | | |
| Goldman Sachs Group, Inc. (The) | | | | | | | | | | | | | |
Series V, 4.125%, (US 5 Year CMT T-Note + 2.95%), due 5/10/71(a) | | | | | 35,000 | | | | | | 29,338 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Multi-Sector Income ETF (continued)
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Banks (continued) | |
| JPMorgan Chase & Co. | | | | | | | | | | | | | |
2.182%, (SOFR + 1.89%), due
6/1/28(a) | | | | $ | 100,000 | | | | | $ | 89,825 | | |
Series HH, 4.600%, (TSFR3M + 3.13%), due 8/1/71(a) | | | | | 25,000 | | | | | | 23,187 | | |
| Morgan Stanley | | | | | | | | | | | | | |
2.484%, (SOFR + 1.36%), due
9/16/36(a) | | | | | 110,000 | | | | | | 84,547 | | |
2.511%, (SOFR + 1.20%), due
10/20/32(a) | | | | | 90,000 | | | | | | 74,094 | | |
| Wells Fargo & Co. | | | | | | | | | | | | | |
3.526%, (SOFR + 1.51%), due
3/24/28(a) | | | | | 105,000 | | | | | | 99,219 | | |
| | | | | | | | | | | | 801,379 | | |
| Beverages — 0.1% | |
| MGP Ingredients, Inc. | | | | | | | | | | | | | |
| 1.875%, due 11/15/41 | | | | | 16,000 | | | | | | 18,912 | | |
| Triton Water Holdings, Inc. | | | | | | | | | | | | | |
| 6.250%, due 4/1/29 | | | | | 6,000 | | | | | | 5,040 | | |
| | | | | | | | | | | | 23,952 | | |
| Biotechnology — 0.5% | |
| BioMarin Pharmaceutical, Inc. | | | | | | | | | | | | | |
| 1.250%, due 5/15/27 | | | | | 123,000 | | | | | | 126,942 | | |
| Building Materials — 0.1% | |
| Camelot Return Merger Sub, Inc. | | | | | | | | | | | | | |
| 8.750%, due 8/1/28 | | | | | 7,000 | | | | | | 6,633 | | |
| MIWD Holdco II LLC / MIWD Finance Corp. | | | | | | | | | | | | | |
| 5.500%, due 2/1/30 | | | | | 10,000 | | | | | | 8,400 | | |
| Standard Industries, Inc. | | | | | | | | | | | | | |
| 4.375%, due 7/15/30 | | | | | 9,000 | | | | | | 7,768 | | |
| | | | | | | | | | | | 22,801 | | |
| Chemicals — 0.1% | |
| Innophos Holdings, Inc. | | | | | | | | | | | | | |
| 9.375%, due 2/15/28 | | | | | 9,000 | | | | | | 9,034 | | |
| Rain CII Carbon LLC / CII Carbon Corp. | | | | | | | | | | | | | |
| 7.250%, due 4/1/25 | | | | | 5,000 | | | | | | 4,846 | | |
| | | | | | | | | | | | 13,880 | | |
| Commercial Services — 0.7% | |
| Allied Universal Holdco LLC / Allied Universal Finance Corp. | | | | | | | | | | | | | |
| 6.000%, due 6/1/29 | | | | | 6,000 | | | | | | 4,704 | | |
| 6.625%, due 7/15/26 | | | | | 17,000 | | | | | | 16,387 | | |
| 9.750%, due 7/15/27 | | | | | 8,000 | | | | | | 7,442 | | |
Avis Budget Car Rental LLC / Avis Budget
Finance, Inc. | | | | | | | | | | | | | |
| 4.750%, due 4/1/28 | | | | | 6,000 | | | | | | 5,385 | | |
| Brink’s Co. (The) | | | | | | | | | | | | | |
| 5.500%, due 7/15/25 | | | | | 6,000 | | | | | | 5,940 | | |
| Carriage Services, Inc. | | | | | | | | | | | | | |
| 4.250%, due 5/15/29 | | | | | 17,000 | | | | | | 14,091 | | |
| Herc Holdings, Inc. | | | | | | | | | | | | | |
| 5.500%, due 7/15/27 | | | | | 22,000 | | | | | | 21,010 | | |
| Hertz Corp. (The) | | | | | | | | | | | | | |
| 4.625%, due 12/1/26 | | | | | 3,000 | | | | | | 2,702 | | |
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Commercial Services (continued) | |
| NESCO Holdings II, Inc. | | | | | | | | | | | | | |
| 5.500%, due 4/15/29 | | | | $ | 12,000 | | | | | $ | 10,843 | | |
| Prime Security Services Borrower LLC / Prime Finance, Inc. | | | | | | | | | | | | | |
| 3.375%, due 8/31/27 | | | | | 14,000 | | | | | | 12,511 | | |
| Service Corp. International | | | | | | | | | | | | | |
| 3.375%, due 8/15/30 | | | | | 13,000 | | | | | | 11,014 | | |
| 5.125%, due 6/1/29 | | | | | 8,000 | | | | | | 7,700 | | |
| 7.500%, due 4/1/27 | | | | | 6,000 | | | | | | 6,248 | | |
| Sotheby’s | | | | | | | | | | | | | |
| 7.375%, due 10/15/27 | | | | | 6,000 | | | | | | 5,625 | | |
| Sotheby’s/Bidfair Holdings, Inc. | | | | | | | | | | | | | |
| 5.875%, due 6/1/29 | | | | | 12,000 | | | | | | 9,878 | | |
| United Rentals North America, Inc. | | | | | | | | | | | | | |
| 3.750%, due 1/15/32 | | | | | 17,000 | | | | | | 14,577 | | |
| WASH Multifamily Acquisition, Inc. | | | | | | | | | | | | | |
| 5.750%, due 4/15/26 | | | | | 14,000 | | | | | | 13,125 | | |
| Williams Scotsman International, Inc. | | | | | | | | | | | | | |
| 4.625%, due 8/15/28 | | | | | 6,000 | | | | | | 5,509 | | |
| 6.125%, due 6/15/25 | | | | | 6,000 | | | | | | 5,970 | | |
| | | | | | | | | | | | 180,661 | | |
| Computers — 1.1% | |
| Apple, Inc. | | | | | | | | | | | | | |
| 3.850%, due 8/4/46 | | | | | 40,000 | | | | | | 35,796 | | |
| Dell International LLC / EMC Corp. | | | | | | | | | | | | | |
| 3.375%, due 12/15/41 | | | | | 70,000 | | | | | | 49,690 | | |
| 5.300%, due 10/1/29 | | | | | 65,000 | | | | | | 65,702 | | |
| Lumentum Holdings, Inc. | | | | | | | | | | | | | |
| 0.500%, due 12/15/26 | | | | | 117,000 | | | | | | 99,040 | | |
| NCR Corp. | | | | | | | | | | | | | |
| 5.125%, due 4/15/29 | | | | | 7,000 | | | | | | 6,055 | | |
| 5.250%, due 10/1/30 | | | | | 6,000 | | | | | | 5,045 | | |
| Presidio Holdings, Inc. | | | | | | | | | | | | | |
| 8.250%, due 2/1/28 | | | | | 6,000 | | | | | | 5,648 | | |
| Seagate HDD Cayman | | | | | | | | | | | | | |
| 4.125%, due 1/15/31 | | | | | 3,000 | | | | | | 2,490 | | |
| 9.625%, due 12/1/32 | | | | | 2,400 | | | | | | 2,632 | | |
| Tempo Acquisition LLC / Tempo Acquisition Finance Corp. | | | | | | | | | | | | | |
| 5.750%, due 6/1/25 | | | | | 6,000 | | | | | | 6,033 | | |
| | | | | | | | | | | | 278,131 | | |
| Cosmetics/Personal Care — 0.0%(f) | |
| Edgewell Personal Care Co. | | | | | | | | | | | | | |
| 5.500%, due 6/1/28 | | | | | 9,000 | | | | | | 8,613 | | |
| Distribution/Wholesale — 0.1% | |
| H&E Equipment Services, Inc. | | | | | | | | | | | | | |
| 3.875%, due 12/15/28 | | | | | 17,000 | | | | | | 14,731 | | |
| Diversified Financial Services — 1.1% | |
| Aircastle Ltd. | | | | | | | | | | | | | |
5.250%, (US 5 Year CMT T-Note + 4.41%), due 9/15/71(a) | | | | | 125,000 | | | | | | 90,702 | | |
| Ally Financial, Inc. | | | | | | | | | | | | | |
| 8.000%, due 11/1/31 | | | | | 55,000 | | | | | | 58,015 | | |
| Aviation Capital Group LLC | | | | | | | | | | | | | |
| 1.950%, due 1/30/26 | | | | | 100,000 | | | | | | 89,533 | | |
| OneMain Finance Corp. | | | | | | | | | | | | | |
| 3.500%, due 1/15/27 | | | | | 6,000 | | | | | | 5,125 | | |
| 6.125%, due 3/15/24 | | | | | 8,000 | | | | | | 7,868 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Multi-Sector Income ETF (continued)
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Diversified Financial Services (continued) | |
| PennyMac Financial Services, Inc. | | | | | | | | | | | | | |
| 5.375%, due 10/15/25 | | | | $ | 6,000 | | | | | $ | 5,664 | | |
| Rocket Mortgage LLC / Rocket Mortgage Co.-Issuer, Inc. | | | | | | | | | | | | | |
| 3.625%, due 3/1/29 | | | | | 9,000 | | | | | | 7,609 | | |
| | | | | | | | | | | | 264,516 | | |
| Electric — 4.2% | |
| AEP Texas, Inc. | | | | | | | | | | | | | |
| 4.700%, due 5/15/32 | | | | | 60,000 | | | | | | 59,054 | | |
| Alabama Power Co. | | | | | | | | | | | | | |
| 3.000%, due 3/15/52 | | | | | 85,000 | | | | | | 58,454 | | |
| Arizona Public Service Co. | | | | | | | | | | | | | |
| 2.200%, due 12/15/31 | | | | | 90,000 | | | | | | 72,369 | | |
| Calpine Corp. | | | | | | | | | | | | | |
| 3.750%, due 3/1/31 | | | | | 12,000 | | | | | | 10,235 | | |
| 4.500%, due 2/15/28 | | | | | 5,000 | | | | | | 4,657 | | |
| 4.625%, due 2/1/29 | | | | | 3,000 | | | | | | 2,608 | | |
| 5.125%, due 3/15/28 | | | | | 6,000 | | | | | | 5,542 | | |
| 5.250%, due 6/1/26 | | | | | 6,000 | | | | | | 5,835 | | |
| Clearway Energy Operating LLC | | | | | | | | | | | | | |
| 3.750%, due 2/15/31 | | | | | 6,000 | | | | | | 5,133 | | |
| 4.750%, due 3/15/28 | | | | | 21,000 | | | | | | 19,901 | | |
| Dominion Energy, Inc. | | | | | | | | | | | | | |
Series C, 4.350%, (US 5 Year CMT T-Note + 3.20%), due 4/15/72(a) | | | | | 120,000 | | | | | | 100,800 | | |
| Edison International | | | | | | | | | | | | | |
Series B, 5.000%, (US 5 Year CMT T-Note + 3.90%), due 3/15/72(a) | | | | | 125,000 | | | | | | 106,852 | | |
| FirstEnergy Corp. | | | | | | | | | | | | | |
| Series B, 4.150%, due 7/15/27 | | | | | 9,000 | | | | | | 8,752 | | |
| Jersey Central Power & Light Co. | | | | | | | | | | | | | |
| 2.750%, due 3/1/32 | | �� | | | 90,000 | | | | | | 76,347 | | |
| NextEra Energy Operating Partners LP | | | | | | | | | | | | | |
| 4.250%, due 7/15/24 | | | | | 4,000 | | | | | | 3,940 | | |
| Ohio Power Co. | | | | | | | | | | | | | |
| Series R, 2.900%, due 10/1/51 | | | | | 40,000 | | | | | | 27,450 | | |
| Pacific Gas and Electric Co. | | | | | | | | | | | | | |
| 3.500%, due 8/1/50 | | | | | 75,000 | | | | | | 48,882 | | |
| Pattern Energy Operations LP / Pattern Energy Operations, Inc. | | | | | | | | | | | | | |
| 4.500%, due 8/15/28 | | | | | 9,000 | | | | | | 8,373 | | |
| PG&E Corp. | | | | | | | | | | | | | |
| 5.000%, due 7/1/28 | | | | | 9,000 | | | | | | 8,469 | | |
| Puget Energy, Inc. | | | | | | | | | | | | | |
| 4.224%, due 3/15/32 | | | | | 65,000 | | | | | | 60,487 | | |
| San Diego Gas & Electric Co. | | | | | | | | | | | | | |
| 5.350%, due 4/1/53 | | | | | 30,000 | | | | | | 31,084 | | |
| Sempra Energy | | | | | | | | | | | | | |
4.125%, (US 5 Year CMT T-Note + 2.87%), due 4/1/52(a) | | | | | 125,000 | | | | | | 101,230 | | |
| Southern California Edison Co. | | | | | | | | | | | | | |
| 4.000%, due 4/1/47 | | | | | 60,000 | | | | | | 49,589 | | |
| Southwestern Electric Power Co. | | | | | | | | | | | | | |
| 3.250%, due 11/1/51 | | | | | 65,000 | | | | | | 45,204 | | |
| Virginia Electric and Power Co. | | | | | | | | | | | | | |
| 2.950%, due 11/15/51 | | | | | 65,000 | | | | | | 44,710 | | |
| 5.450%, due 4/1/53 | | | | | 25,000 | | | | | | 25,608 | | |
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Electric (continued) | |
| Vistra Corp. | | | | | | | | | | | | | |
8.000%, (US 5 Year CMT T-Note + 6.93%), due 4/15/72(a) | | | | $ | 31,000 | | | | | $ | 29,217 | | |
| Vistra Operations Co. LLC | | | | | | | | | | | | | |
| 4.375%, due 5/1/29 | | | | | 8,000 | | | | | | 7,152 | | |
| 5.625%, due 2/15/27 | | | | | 6,000 | | | | | | 5,852 | | |
| | | | | | | | | | | | 1,033,786 | | |
| Electrical Components & Equipment — 0.1% | |
| Energizer Holdings, Inc. | | | | | | | | | | | | | |
| 4.375%, due 3/31/29 | | | | | 12,000 | | | | | | 10,493 | | |
| EnerSys | | | | | | | | | | | | | |
| 4.375%, due 12/15/27 | | | | | 6,000 | | | | | | 5,610 | | |
| WESCO Distribution, Inc. | | | | | | | | | | | | | |
| 7.125%, due 6/15/25 | | | | | 8,000 | | | | | | 8,135 | | |
| 7.250%, due 6/15/28 | | | | | 6,000 | | | | | | 6,159 | | |
| | | | | | | | | | | | 30,397 | | |
| Electronics — 0.0%(f) | |
| Imola Merger Corp. | | | | | | | | | | | | | |
| 4.750%, due 5/15/29 | | | | | 6,000 | | | | | | 5,196 | | |
| Sensata Technologies BV | | | | | | | | | | | | | |
| 4.000%, due 4/15/29 | | | | | 6,000 | | | | | | 5,422 | | |
| | | | | | | | | | | | 10,618 | | |
| Engineering & Construction — 0.2% | |
| Artera Services LLC | | | | | | | | | | | | | |
| 9.033%, due 12/4/25 | | | | | 14,000 | | | | | | 12,024 | | |
| Brundage-Bone Concrete Pumping Holdings, Inc. | | | | | | | | | | | | | |
| 6.000%, due 2/1/26 | | | | | 6,000 | | | | | | 5,640 | | |
| Dycom Industries, Inc. | | | | | | | | | | | | | |
| 4.500%, due 4/15/29 | | | | | 14,000 | | | | | | 12,779 | | |
| Great Lakes Dredge & Dock Corp. | | | | | | | | | | | | | |
| 5.250%, due 6/1/29 | | | | | 6,000 | | | | | | 4,720 | | |
| TopBuild Corp. | | | | | | | | | | | | | |
| 4.125%, due 2/15/32 | | | | | 9,000 | | | | | | 7,734 | | |
| Weekley Homes LLC / Weekley Finance Corp. | | | | | | | | | | | | | |
| 4.875%, due 9/15/28 | | | | | 9,000 | | | | | | 7,813 | | |
| | | | | | | | | | | | 50,710 | | |
| Entertainment — 0.7% | |
| Affinity Interactive | | | | | | | | | | | | | |
| 6.875%, due 12/15/27 | | | | | 12,000 | | | | | | 10,794 | | |
| Caesars Entertainment, Inc. | | | | | | | | | | | | | |
| 6.250%, due 7/1/25 | | | | | 6,000 | | | | | | 6,007 | | |
| Caesars Resort Collection LLC / CRC Finco, Inc. | | | | | | | | | | | | | |
| 5.750%, due 7/1/25 | | | | | 6,000 | | | | | | 6,049 | | |
| CDI Escrow Issuer, Inc. | | | | | | | | | | | | | |
| 5.750%, due 4/1/30 | | | | | 9,000 | | | | | | 8,678 | | |
| Everi Holdings, Inc. | | | | | | | | | | | | | |
| 5.000%, due 7/15/29 | | | | | 6,000 | | | | | | 5,348 | | |
| International Game Technology PLC | | | | | | | | | | | | | |
| 5.250%, due 1/15/29 | | | | | 6,000 | | | | | | 5,753 | | |
| Penn Entertainment, Inc. | | | | | | | | | | | | | |
| 4.125%, due 7/1/29 | | | | | 6,000 | | | | | | 5,055 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Multi-Sector Income ETF (continued)
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Entertainment (continued) | |
| Scientific Games Holdings LP/Scientific Games US FinCo, Inc. | | | | | | | | | | | | | |
| 6.625%, due 3/1/30 | | | | $ | 6,000 | | | | | $ | 5,323 | | |
| Scientific Games International, Inc. | | | | | | | | | | | | | |
| 7.000%, due 5/15/28 | | | | | 9,000 | | | | | | 8,978 | | |
| Warnermedia Holdings, Inc. | | | | | | | | | | | | | |
| 3.755%, due 3/15/27 | | | | | 21,000 | | | | | | 19,791 | | |
| 4.279%, due 3/15/32 | | | | | 70,000 | | | | | | 62,171 | | |
| WMG Acquisition Corp. | | | | | | | | | | | | | |
| 3.750%, due 12/1/29 | | | | | 10,000 | | | | | | 8,800 | | |
Wynn Resorts Finance LLC / Wynn Resorts
Capital Corp. | | | | | | | | | | | | | |
| 5.125%, due 10/1/29 | | | | | 10,000 | | | | | | 9,208 | | |
| | | | | | | | | | | | 161,955 | | |
| Environmental Control — 0.2% | |
| Clean Harbors, Inc. | | | | | | | | | | | | | |
| 4.875%, due 7/15/27 | | | | | 6,000 | | | | | | 5,808 | | |
| 5.125%, due 7/15/29 | | | | | 8,000 | | | | | | 7,687 | | |
| Covanta Holding Corp. | | | | | | | | | | | | | |
| 4.875%, due 12/1/29 | | | | | 9,000 | | | | | | 8,010 | | |
| Stericycle, Inc. | | | | | | | | | | | | | |
| 3.875%, due 1/15/29 | | | | | 9,000 | | | | | | 8,097 | | |
| Waste Pro USA, Inc. | | | | | | | | | | | | | |
| 5.500%, due 2/15/26 | | | | | 14,000 | | | | | | 13,014 | | |
| | | | | | | | | | | | 42,616 | | |
| Food — 0.4% | |
| Albertsons Cos., Inc. / Safeway, Inc. / New Albertsons LP / Albertsons LLC | | | | | | | | | | | | | |
| 3.500%, due 3/15/29 | | | | | 11,000 | | | | | | 9,746 | | |
| 6.500%, due 2/15/28 | | | | | 5,000 | | | | | | 5,062 | | |
JBS USA LUX SA / JBS USA Food Co. / JBS
USA Finance, Inc. | | | | | | | | | | | | | |
| 5.750%, due 4/1/33 | | | | | 65,000 | | | | | | 62,280 | | |
| Performance Food Group, Inc. | | | | | | | | | | | | | |
| 4.250%, due 8/1/29 | | | | | 9,000 | | | | | | 8,193 | | |
| Post Holdings, Inc. | | | | | | | | | | | | | |
| 5.750%, due 3/1/27 | | | | | 9,000 | | | | | | 8,946 | | |
| Simmons Foods, Inc./Simmons Prepared Foods, Inc./Simmons Pet Food, Inc./Simmons Feed | | | | | | | | | | | | | |
| 4.625%, due 3/1/29 | | | | | 6,000 | | | | | | 4,958 | | |
| US Foods, Inc. | | | | | | | | | | | | | |
| 4.625%, due 6/1/30 | | | | | 6,000 | | | | | | 5,487 | | |
| | | | | | | | | | | | 104,672 | | |
| Food Service — 0.0%(f) | |
| Aramark Services, Inc. | | | | | | | | | | | | | |
| 5.000%, due 2/1/28 | | | | | 6,000 | | | | | | 5,714 | | |
| 6.375%, due 5/1/25 | | | | | 6,000 | | | | | | 6,000 | | |
| | | | | | | | | | | | 11,714 | | |
| Gas — 1.0% | |
| Boston Gas Co. | | | | | | | | | | | | | |
| 3.150%, due 8/1/27 | | | | | 70,000 | | | | | | 64,643 | | |
| National Fuel Gas Co. | | | | | | | | | | | | | |
| 2.950%, due 3/1/31 | | | | | 75,000 | | | | | | 60,747 | | |
| Piedmont Natural Gas Co., Inc. | | | | | | | | | | | | | |
| 5.050%, due 5/15/52 | | | | | 65,000 | | | | | | 61,398 | | |
| | | | Principal
Amount | | | Value | | |
| Corporate Bonds (continued) | | |
| Gas (continued) | | |
| Southern Co. Gas Capital Corp. | | | | | | | | | | | | | | |
| Series 21A, 3.150%, due 9/30/51 | | | | $ | 70,000 | | | | | $ | 48,453 | | | |
| | | | | | | | | | | | 235,241 | | | |
| Healthcare-Products — 0.8% | | |
| Avantor Funding, Inc. | | | | | | | | | | | | | | |
| 3.875%, due 11/1/29 | | | | | 17,000 | | | | | | 14,975 | | | |
| Exact Sciences Corp. | | | | | | | | | | | | | | |
| 0.375%, due 3/15/27 | | | | | 162,000 | | | | | | 147,587 | | | |
| Hologic, Inc. | | | | | | | | | | | | | | |
| 3.250%, due 2/15/29 | | | | | 17,000 | | | | | | 15,280 | | | |
| Teleflex, Inc. | | | | | | | | | | | | | | |
| 4.250%, due 6/1/28 | | | | | 9,000 | | | | | | 8,437 | | | |
| 4.625%, due 11/15/27 | | | | | 9,000 | | | | | | 8,662 | | | |
| | | | | | | | | | | | 194,941 | | | | | |
| Healthcare-Services — 0.3% | | |
| Catalent Pharma Solutions, Inc. | | | | | | | | | | | | | | |
| 3.125%, due 2/15/29 | | | | | 6,000 | | | | | | 5,106 | | | |
| 3.500%, due 4/1/30 | | | | | 7,000 | | | | | | 5,935 | | | |
| Centene Corp. | | | | | | | | | | | | | | |
| 4.625%, due 12/15/29 | | | | | 22,000 | | | | | | 20,735 | | | |
| CHS/Community Health Systems, Inc. | | | | | | | | | | | | | | |
| 5.250%, due 5/15/30 | | | | | 6,000 | | | | | | 5,001 | | | |
| 6.000%, due 1/15/29 | | | | | 10,000 | | | | | | 8,863 | | | |
| HealthEquity, Inc. | | | | | | | | | | | | | | |
| 4.500%, due 10/1/29 | | | | | 9,000 | | | | | | 8,048 | | | |
| Tenet Healthcare Corp. | | | | | | | | | | | | | | |
| 4.375%, due 1/15/30 | | | | | 11,000 | | | | | | 10,107 | | | |
| 6.125%, due 6/15/30 | | | | | 6,000 | | | | | | 5,935 | | | |
| | | | | | | | | | | | 69,730 | | | |
| Home Builders — 0.1% | | |
| LGI Homes, Inc. | | | | | | | | | | | | | | |
| 4.000%, due 7/15/29 | | | | | 9,000 | | | | | | 7,349 | | | |
| Thor Industries, Inc. | | | | | | | | | | | | | | |
| 4.000%, due 10/15/29 | | | | | 3,000 | | | | | | 2,460 | | | |
TRI Pointe Group, Inc. / TRI Pointe Homes,
Inc. | | | | | | | | | | | | | | |
| 5.875%, due 6/15/24 | | | | | 9,000 | | | | | | 8,977 | | | |
| | | | | | | | | | | | 18,786 | | | |
| Housewares — 0.1% | | |
| CD&R Smokey Buyer, Inc. | | | | | | | | | | | | | | |
| 6.750%, due 7/15/25 | | | | | 9,000 | | | | | | 7,897 | | | |
| Newell Brands, Inc. | | | | | | | | | | | | | | |
| 6.375%, due 9/15/27 | | | | | 5,000 | | | ��� | | | 4,925 | | | |
| | | | | | | | | | | | 12,822 | | | |
| Insurance — 0.4% | | |
| NMI Holdings, Inc. | | | | | | | | | | | | | | |
| 7.375%, due 6/1/25 | | | | | 6,000 | | | | | | 6,084 | | | |
| Prudential Financial, Inc. | | | | | | | | | | | | | | |
5.125%, (US 5 Year CMT T-Note + 3.16%), due 3/1/52(a) | | | | | 95,000 | | | | | | 85,949 | | | |
| | | | | | | | | | | | 92,033 | | | |
| Internet — 0.8% | | |
| Amazon.com, Inc. | | | | | | | | | | | | | | |
| 3.600%, due 4/13/32 | | | | | 65,000 | | | | | | 61,803 | | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Multi-Sector Income ETF (continued)
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Internet (continued) | |
| Arches Buyer, Inc. | | | | | | | | | | | | | |
| 4.250%, due 6/1/28 | | | | $ | 9,000 | | | | | $ | 7,746 | | |
| 6.125%, due 12/1/28 | | | | | 12,000 | | | | | | 10,410 | | |
| Cablevision Lightpath LLC | | | | | | | | | | | | | |
| 3.875%, due 9/15/27 | | | | | 6,000 | | | | | | 5,008 | | |
| Cogent Communications Group, Inc. | | | | | | | | | | | | | |
| 3.500%, due 5/1/26 | | | | | 6,000 | | | | | | 5,578 | | |
| 7.000%, due 6/15/27 | | | | | 6,000 | | | | | | 5,940 | | |
| Expedia Group, Inc. | | | | | | | | | | | | | |
| 3.250%, due 2/15/30 | | | | | 60,000 | | | | | | 52,730 | | |
| Match Group Holdings II LLC | | | | | | | | | | | | | |
| 4.625%, due 6/1/28 | | | | | 17,000 | | | | | | 15,683 | | |
| 5.625%, due 2/15/29 | | | | | 12,000 | | | | | | 11,283 | | |
| TripAdvisor, Inc. | | | | | | | | | | | | | |
| 7.000%, due 7/15/25 | | | | | 12,000 | | | | | | 12,075 | | |
| Uber Technologies, Inc. | | | | | | | | | | | | | |
| 7.500%, due 5/15/25 | | | | | 6,000 | | | | | | 6,090 | | |
| 7.500%, due 9/15/27 | | | | | 9,000 | | | | | | 9,283 | | |
| | | | | | | | | | | | 203,629 | | |
| Investment Companies — 0.1% | |
| Icahn Enterprises LP / Icahn Enterprises Finance Corp. | | | | | | | | | | | | | |
| 5.250%, due 5/15/27 | | | | | 14,000 | | | | | | 13,193 | | |
| Iron/Steel — 0.0%(f) | |
| Carpenter Technology Corp. | | | | | | | | | | | | | |
| 7.625%, due 3/15/30 | | | | | 6,000 | | | | | | 6,137 | | |
| Leisure Time — 0.4% | |
| Carnival Corp. | | | | | | | | | | | | | |
| 5.750%, due 3/1/27 | | | | | 3,000 | | | | | | 2,469 | | |
| 6.000%, due 5/1/29 | | | | | 16,000 | | | | | | 12,558 | | |
| Carnival Holdings Bermuda Ltd. | | | | | | | | | | | | | |
| 10.375%, due 5/1/28 | | | | | 10,000 | | | | | | 10,751 | | |
| NCL Corp Ltd. | | | | | | | | | | | | | |
| 5.875%, due 3/15/26 | | | | | 15,000 | | | | | | 12,921 | | |
| NCL Corp. Ltd. | | | | | | | | | | | | | |
| 5.875%, due 2/15/27 | | | | | 9,000 | | | | | | 8,489 | | |
| 7.750%, due 2/15/29 | | | | | 5,000 | | | | | | 4,234 | | |
| 8.375%, due 2/1/28 | | | | | 5,000 | | | | | | 5,030 | | |
| NCL Finance Ltd. | | | | | | | | | | | | | |
| 6.125%, due 3/15/28 | | | | | 12,000 | | | | | | 9,690 | | |
| Royal Caribbean Cruises Ltd. | | | | | | | | | | | | | |
| 5.375%, due 7/15/27 | | | | | 16,000 | | | | | | 14,205 | | |
| 7.250%, due 1/15/30 | | | | | 5,000 | | | | | | 5,014 | | |
| | | | | | | | | | | | 85,361 | | |
| Lodging — 0.8% | |
| Boyd Gaming Corp. | | | | | | | | | | | | | |
| 4.750%, due 12/1/27 | | | | | 9,000 | | | | | | 8,686 | | |
| Hilton Domestic Operating Co., Inc. | | | | | | | | | | | | | |
| 4.000%, due 5/1/31 | | | | | 9,000 | | | | | | 7,960 | | |
| 4.875%, due 1/15/30 | | | | | 9,000 | | | | | | 8,545 | | |
| Hyatt Hotels Corp. | | | | | | | | | | | | | |
| 5.375%, due 4/23/25 | | | | | 85,000 | | | | | | 85,320 | | |
| Marriott International, Inc. | | | | | | | | | | | | | |
| Series GG, 3.500%, due 10/15/32 | | | | | 85,000 | | | | | | 74,508 | | |
| Station Casinos LLC | | | | | | | | | | | | | |
| 4.625%, due 12/1/31 | | | | | 6,000 | | | | | | 5,138 | | |
| | | | | | | | | | | | 190,157 | | |
| |
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Machinery-Diversified — 0.0%(f) | |
| Chart Industries, Inc. | | | | | | | | | | | | | |
| 7.500%, due 1/1/30 | | | | $ | 4,000 | | | | | $ | 4,120 | | |
| Media — 0.7% | |
| Cable One, Inc. | | | | | | | | | | | | | |
| 4.000%, due 11/15/30 | | | | | 12,000 | | | | | | 9,758 | | |
| CCO Holdings LLC / CCO Holdings Capital Corp. | | | | | | | | | | | | | |
| 4.250%, due 2/1/31 | | | | | 43,000 | | | | | | 35,217 | | |
| 4.750%, due 3/1/30 | | | | | 36,000 | | | | | | 30,974 | | |
| 6.375%, due 9/1/29 | | | | | 10,000 | | | | | | 9,504 | | |
| CSC Holdings LLC | | | | | | | | | | | | | |
| 4.625%, due 12/1/30 | | | | | 12,000 | | | | | | 5,858 | | |
| 5.500%, due 4/15/27 | | | | | 34,000 | | | | | | 29,070 | | |
Directv Financing LLC / Directv Financing
Co.-Obligor, Inc. | | | | | | | | | | | | | |
| 5.875%, due 8/15/27 | | | | | 12,000 | | | | | | 10,531 | | |
| DISH DBS Corp. | | | | | | | | | | | | | |
| 5.250%, due 12/1/26 | | | | | 3,000 | | | | | | 2,292 | | |
| 7.375%, due 7/1/28 | | | | | 3,000 | | | | | | 1,503 | | |
| iHeartCommunications, Inc. | | | | | | | | | | | | | |
| 4.750%, due 1/15/28 | | | | | 3,000 | | | | | | 2,335 | | |
| 5.250%, due 8/15/27 | | | | | 6,000 | | | | | | 4,739 | | |
| News Corp. | | | | | | | | | | | | | |
| 3.875%, due 5/15/29 | | | | | 6,000 | | | | | | 5,327 | | |
| 5.125%, due 2/15/32 | | | | | 8,000 | | | | | | 7,366 | | |
| Nexstar Media, Inc. | | | | | | | | | | | | | |
| 5.625%, due 7/15/27 | | | | | 9,000 | | | | | | 8,453 | | |
| Sirius XM Radio, Inc. | | | | | | | | | | | | | |
| 4.125%, due 7/1/30 | | | | | 12,000 | | | | | | 9,625 | | |
| Univision Communications, Inc. | | | | | | | | | | | | | |
| 4.500%, due 5/1/29 | | | | | 6,000 | | | | | | 5,171 | | |
| | | | | | | | | | | | 177,723 | | |
| Mining — 0.1% | |
| Compass Minerals International, Inc. | | | | | | | | | | | | | |
| 4.875%, due 7/15/24 | | | | | 6,000 | | | | | | 5,940 | | |
| 6.750%, due 12/1/27 | | | | | 7,000 | | | | | | 6,713 | | |
| Novelis Corp. | | | | | | | | | | | | | |
| 3.875%, due 8/15/31 | | | | | 6,000 | | | | | | 5,024 | | |
| | | | | | | | | | | | 17,677 | | |
| Miscellaneous Manufacturing — 0.4% | |
| Gates Global LLC / Gates Corp. | | | | | | | | | | | | | |
| 6.250%, due 1/15/26 | | | | | 16,000 | | | | | | 15,840 | | |
| Textron Financial Corp. | | | | | | | | | | | | | |
6.599%, (3-Month LIBOR + 1.74%), due 2/15/42(a) | | | | | 100,000 | | | | | | 72,250 | | |
| | | | | | | | | | | | 88,090 | | |
| Office/Business Equipment — 0.0%(f) | |
| CDW LLC / CDW Finance Corp. | | | | | | | | | | | | | |
| 5.500%, due 12/1/24 | | | | | 6,000 | | | | | | 5,987 | | |
| Oil & Gas — 1.2% | |
| Aethon United BR LP / Aethon United Finance Corp. | | | | | | | | | | | | | |
| 8.250%, due 2/15/26 | | | | | 9,000 | | | | | | 8,740 | | |
| Apache Corp. | | | | | | | | | | | | | |
| 5.100%, due 9/1/40 | | | | | 6,000 | | | | | | 5,142 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Multi-Sector Income ETF (continued)
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Oil & Gas (continued) | |
| Ascent Resources Utica Holdings LLC / ARU Finance Corp. | | | | | | | | | | | | | |
| 5.875%, due 6/30/29 | | | | $ | 18,000 | | | | | $ | 16,166 | | |
| 7.000%, due 11/1/26 | | | | | 12,000 | | | | | | 11,612 | | |
| Callon Petroleum Co. | | | | | | | | | | | | | |
| 6.375%, due 7/1/26 | | | | | 6,000 | | | | | | 5,797 | | |
| 7.500%, due 6/15/30 | | | | | 6,000 | | | | | | 5,699 | | |
| CNX Resources Corp. | | | | | | | | | | | | | |
| 6.000%, due 1/15/29 | | | | | 9,000 | | | | | | 8,325 | | |
| 7.250%, due 3/14/27 | | | | | 2,000 | | | | | | 1,977 | | |
| CrownRock LP / CrownRock Finance, Inc. | | | | | | | | | | | | | |
| 5.000%, due 5/1/29 | | | | | 6,000 | | | | | | 5,668 | | |
| Hilcorp Energy I LP / Hilcorp Finance Co. | | | | | | | | | | | | | |
| 5.750%, due 2/1/29 | | | | | 12,000 | | | | | | 11,211 | | |
| 6.000%, due 2/1/31 | | | | | 12,000 | | | | | | 11,059 | | |
| Matador Resources Co. | | | | | | | | | | | | | |
| 6.875%, due 4/15/28 | | | | | 10,000 | | | | | | 10,063 | | |
| Moss Creek Resources Holdings, Inc. | | | | | | | | | | | | | |
| 7.500%, due 1/15/26 | | | | | 16,000 | | | | | | 14,957 | | |
| Nabors Industries, Inc. | | | | | | | | | | | | | |
| 7.375%, due 5/15/27 | | | | | 6,000 | | | | | | 5,820 | | |
| Occidental Petroleum Corp. | | | | | | | | | | | | | |
| 6.125%, due 1/1/31 | | | | | 22,000 | | | | | | 22,998 | | |
| 6.375%, due 9/1/28 | | | | | 6,000 | | | | | | 6,258 | | |
| 6.625%, due 9/1/30 | | | | | 12,000 | | | | | | 12,810 | | |
| 8.500%, due 7/15/27 | | | | | 5,000 | | | | | | 5,506 | | |
| PBF Holding Co. LLC / PBF Finance Corp. | | | | | | | | | | | | | |
| 6.000%, due 2/15/28 | | | | | 6,000 | | | | | | 5,519 | | |
| Permian Resources Operating LLC | | | | | | | | | | | | | |
| 6.875%, due 4/1/27 | | | | | 17,000 | | | | | | 16,830 | | |
| Rockcliff Energy II LLC | | | | | | | | | | | | | |
| 5.500%, due 10/15/29 | | | | | 6,000 | | | | | | 5,426 | | |
| SM Energy Co. | | | | | | | | | | | | | |
| 5.625%, due 6/1/25 | | | | | 9,000 | | | | | | 8,792 | | |
| 6.500%, due 7/15/28 | | | | | 9,000 | | | | | | 8,528 | | |
| Southwestern Energy Co. | | | | | | | | | | | | | |
| 4.750%, due 2/1/32 | | | | | 8,000 | | | | | | 7,054 | | |
| 5.375%, due 3/15/30 | | | | | 16,000 | | | | | | 14,890 | | |
| 5.700%, due 1/23/25 | | | | | 9,000 | | | | | | 8,982 | | |
| 8.375%, due 9/15/28 | | | | | 6,000 | | | | | | 6,282 | | |
| Tap Rock Resources LLC | | | | | | | | | | | | | |
| 7.000%, due 10/1/26 | | | | | 6,000 | | | | | | 5,765 | | |
| Transocean Titan Financing Ltd. | | | | | | | | | | | | | |
| 8.375%, due 2/1/28 | | | | | 3,000 | | | | | | 3,058 | | |
| Transocean, Inc. | | | | | | | | | | | | | |
| 8.750%, due 2/15/30 | | | | | 9,000 | | | | | | 9,081 | | |
| Valaris Ltd. | | | | | | | | | | | | | |
| 8.375%, due 4/30/30 | | | | | 2,000 | | | | | | 2,001 | | |
| Vital Energy, Inc. | | | | | | | | | | | | | |
| 7.750%, due 7/31/29 | | | | | 4,000 | | | | | | 3,531 | | |
| 9.500%, due 1/15/25 | | | | | 6,000 | | | | | | 6,034 | | |
| 10.125%, due 1/15/28 | | | | | 9,000 | | | | | | 9,048 | | |
| | | | | | | | | | | | 290,629 | | |
| Oil & Gas Services — 1.4% | |
| Helix Energy Solutions Group, Inc. | | | | | | | | | | | | | |
| 6.750%, due 2/15/26 | | | | | 132,000 | | | | | | 173,506 | | |
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Oil & Gas Services (continued) | |
| Oil States International, Inc. | | | | | | | | | | | | | |
| 4.750%, due 4/1/26 | | | | $ | 171,000 | | | | | $ | 178,106 | | |
| | | | | | | | | | | | 351,612 | | |
| Packaging & Containers — 0.4% | |
| Ardagh Metal Packaging Finance USA LLC / Ardagh Metal Packaging Finance PLC | | | | | | | | | | | | | |
| 3.250%, due 9/1/28 | | | | | 8,000 | | | | | | 7,004 | | |
| 6.000%, due 6/15/27 | | | | | 6,000 | | | | | | 5,970 | | |
| Ardagh Packaging Finance PLC / Ardagh Holdings USA, Inc. | | | | | | | | | | | | | |
| 5.250%, due 4/30/25 | | | | | 6,000 | | | | | | 5,901 | | |
| Ball Corp. | | | | | | | | | | | | | |
| 6.875%, due 3/15/28 | | | | | 20,000 | | | | | | 20,797 | | |
| Crown Americas LLC | | | | | | | | | | | | | |
| 5.250%, due 4/1/30 | | | | | 9,000 | | | | | | 8,754 | | |
| Graphic Packaging International LLC | | | | | | | | | | | | | |
| 3.750%, due 2/1/30 | | | | | 6,000 | | | | | | 5,364 | | |
| OI European Group BV | | | | | | | | | | | | | |
| 4.750%, due 2/15/30 | | | | | 6,000 | | | | | | 5,509 | | |
| Owens-Brockway Glass Container, Inc. | | | | | | | | | | | | | |
| 6.625%, due 5/13/27 | | | | | 6,000 | | | | | | 6,021 | | |
| Sealed Air Corp. | | | | | | | | | | | | | |
| 5.125%, due 12/1/24 | | | | | 12,000 | | | | | | 11,907 | | |
| 6.125%, due 2/1/28 | | | | | 5,000 | | | | | | 5,074 | | |
| TriMas Corp. | | | | | | | | | | | | | |
| 4.125%, due 4/15/29 | | | | | 9,000 | | | | | | 8,010 | | |
| | | | | | | | | | | | 90,311 | | |
| Pharmaceuticals — 0.1% | |
| Elanco Animal Health, Inc. | | | | | | | | | | | | | |
| 6.650%, due 8/28/28 | | | | | 11,000 | | | | | | 10,710 | | |
| PRA Health Sciences, Inc. | | | | | | | | | | | | | |
| 2.875%, due 7/15/26 | | | | | 6,000 | | | | | | 5,476 | | |
| Prestige Brands, Inc. | | | | | | | | | | | | | |
| 3.750%, due 4/1/31 | | | | | 6,000 | | | | | | 5,086 | | |
| 5.125%, due 1/15/28 | | | | | 13,000 | | | | | | 12,608 | | |
| | | | | | | | | | | | 33,880 | | |
| Pipelines — 2.4% | |
| Cheniere Energy Partners LP | | | | | | | | | | | | | |
| 4.500%, due 10/1/29 | | | | | 17,000 | | | | | | 15,994 | | |
| Cheniere Energy, Inc. | | | | | | | | | | | | | |
| 4.625%, due 10/15/28 | | | | | 6,000 | | | | | | 5,719 | | |
| CNX Midstream Partners LP | | | | | | | | | | | | | |
| 4.750%, due 4/15/30 | | | | | 14,000 | | | | | | 11,721 | | |
| Delek Logistics Partners LP / Delek Logistics Finance Corp. | | | | | | | | | | | | | |
| 7.125%, due 6/1/28 | | | | | 12,000 | | | | | | 10,930 | | |
| DT Midstream, Inc. | | | | | | | | | | | | | |
| 4.300%, due 4/15/32 | | | | | 55,000 | | | | | | 49,822 | | |
| Energy Transfer LP | | | | | | | | | | | | | |
| 4.400%, due 3/15/27 | | | | | 50,000 | | | | | | 48,757 | | |
Series H, 6.500%, (US 5 Year CMT T-Note + 5.69%), due 11/15/71(a) | | | | | 70,000 | | | | | | 61,950 | | |
| EnLink Midstream LLC | | | | | | | | | | | | | |
| 5.375%, due 6/1/29 | | | | | 26,000 | | | | | | 25,099 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Multi-Sector Income ETF (continued)
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Pipelines (continued) | |
| Enterprise Products Operating LLC | | | | | | | | | | | | | |
| 3.950%, due 1/31/60 | | | | $ | 25,000 | | | | | $ | 19,486 | | |
| 4.200%, due 1/31/50 | | | | | 60,000 | | | | | | 50,219 | | |
| EQM Midstream Partners LP | | | | | | | | | | | | | |
| 4.750%, due 1/15/31 | | | | | 22,000 | | | | | | 18,031 | | |
| 5.500%, due 7/15/28 | | | | | 6,000 | | | | | | 5,469 | | |
| 6.500%, due 7/1/27 | | | | | 12,000 | | | | | | 11,700 | | |
| 7.500%, due 6/1/30 | | | | | 6,000 | | | | | | 5,824 | | |
| Flex Intermediate Holdco LLC | | | | | | | | | | | | | |
| 3.363%, due 6/30/31 | | | | | 60,000 | | | | | | 49,402 | | |
| Hess Midstream Operations LP | | | | | | | | | | | | | |
| 4.250%, due 2/15/30 | | | | | 6,000 | | | | | | 5,335 | | |
| 5.625%, due 2/15/26 | | | | | 6,000 | | | | | | 5,906 | | |
| Holly Energy Partners LP / Holly Energy Finance Corp. | | | | | | | | | | | | | |
| 6.375%, due 4/15/27 | | | | | 6,000 | | | | | | 5,910 | | |
| MPLX LP | | | | | | | | | | | | | |
| 2.650%, due 8/15/30 | | | | | 75,000 | | | | | | 64,081 | | |
| Plains All American Pipeline LP | | | | | | | | | | | | | |
Series B, 8.974%, (3-Month LIBOR + 4.11%), due 11/15/71(a) | | | | | 70,000 | | | | | | 61,600 | | |
| Venture Global Calcasieu Pass LLC | | | | | | | | | | | | | |
| 3.875%, due 8/15/29 | | | | | 9,000 | | | | | | 8,084 | | |
| 3.875%, due 11/1/33 | | | | | 6,000 | | | | | | 5,059 | | |
| 4.125%, due 8/15/31 | | | | | 11,000 | | | | | | 9,745 | | |
| 6.250%, due 1/15/30 | | | | | 12,000 | | | | | | 12,168 | | |
| Western Midstream Operating LP | | | | | | | | | | | | | |
| 4.300%, due 2/1/30 | | | | | 17,000 | | | | | | 15,518 | | |
| 5.500%, due 2/1/50 | | | | | 9,000 | | | | | | 7,635 | | |
| | | | | | | | | | | | 591,164 | | |
| REITS — 1.6% | |
| American Homes 4 Rent LP | | | | | | | | | | | | | |
| 2.375%, due 7/15/31 | | | | | 80,000 | | | | | | 64,246 | | |
| Digital Realty Trust LP | | | | | | | | | | | | | |
| 4.450%, due 7/15/28 | | | | | 65,000 | | | | | | 61,901 | | |
| GLP Capital LP / GLP Financing II, Inc. | | | | | | | | | | | | | |
| 4.000%, due 1/15/30 | | | | | 55,000 | | | | | | 48,782 | | |
| 5.250%, due 6/1/25 | | | | | 65,000 | | | | | | 63,786 | | |
| Host Hotels & Resorts LP | | | | | | | | | | | | | |
| Series I, 3.500%, due 9/15/30 | | | | | 60,000 | | | | | | 51,086 | | |
| Iron Mountain, Inc. | | | | | | | | | | | | | |
| 5.250%, due 3/15/28 | | | | | 12,000 | | | | | | 11,542 | | |
| 5.250%, due 7/15/30 | | | | | 8,000 | | | | | | 7,368 | | |
| 5.625%, due 7/15/32 | | | | | 6,000 | | | | | | 5,449 | | |
| Park Intermediate Holdings LLC / PK Domestic Property LLC / PK Finance Co-Issuer | | | | | | | | | | | | | |
| 4.875%, due 5/15/29 | | | | | 17,000 | | | | | | 14,705 | | |
| SBA Communications Corp. | | | | | | | | | | | | | |
| 3.875%, due 2/15/27 | | | | | 26,000 | | | | | | 24,250 | | |
| Service Properties Trust | | | | | | | | | | | | | |
| 3.950%, due 1/15/28 | | | | | 2,000 | | | | | | 1,566 | | |
| 4.950%, due 2/15/27 | | | | | 6,000 | | | | | | 5,084 | | |
| 7.500%, due 9/15/25 | | | | | 11,000 | | | | | | 10,773 | | |
| Uniti Group LP / Uniti Group Finance, Inc. / CSL Capital LLC | | | | | | | | | | | | | |
| 10.500%, due 2/15/28 | | | | | 10,000 | | | | | | 9,569 | | |
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| REITS (continued) | |
| XHR LP | | | | | | | | | | | | | |
| 4.875%, due 6/1/29 | | | | $ | 3,000 | | | | | $ | 2,604 | | |
| | | | | | | | | | | | 382,711 | | |
| Retail — 1.2% | |
| Arko Corp. | | | | | | | | | | | | | |
| 5.125%, due 11/15/29 | | | | | 12,000 | | | | | | 9,724 | | |
| Asbury Automotive Group, Inc. | | | | | | | | | | | | | |
| 4.500%, due 3/1/28 | | | | | 9,000 | | | | | | 8,176 | | |
| AutoNation, Inc. | | | | | | | | | | | | | |
| 4.750%, due 6/1/30 | | | | | 50,000 | | | | | | 47,007 | | |
| Bath & Body Works, Inc. | | | | | | | | | | | | | |
| 6.625%, due 10/1/30 | | | | | 2,000 | | | | | | 1,920 | | |
| 7.500%, due 6/15/29 | | | | | 3,000 | | | | | | 3,047 | | |
| 9.375%, due 7/1/25 | | | | | 6,000 | | | | | | 6,420 | | |
| Burlington Stores, Inc. | | | | | | | | | | | | | |
| 2.250%, due 4/15/25 | | | | | 95,000 | | | | | | 106,519 | | |
| Foundation Building Materials, Inc. | | | | | | | | | | | | | |
| 6.000%, due 3/1/29 | | | | | 10,000 | | | | | | 7,989 | | |
| Group 1 Automotive, Inc. | | | | | | | | | | | | | |
| 4.000%, due 8/15/28 | | | | | 6,000 | | | | | | 5,324 | | |
| IRB Holding Corp. | | | | | | | | | | | | | |
| 7.000%, due 6/15/25 | | | | | 17,000 | | | | | | 17,209 | | |
| LCM Investments Holdings II LLC | | | | | | | | | | | | | |
| 4.875%, due 5/1/29 | | | | | 6,000 | | | | | | 5,115 | | |
| Lithia Motors, Inc. | | | | | | | | | | | | | |
| 3.875%, due 6/1/29 | | | | | 2,000 | | | | | | 1,731 | | |
| Macy’s Retail Holdings LLC | | | | | | | | | | | | | |
| 5.875%, due 4/1/29 | | | | | 16,000 | | | | | | 14,656 | | |
| Michaels Cos., Inc. (The) | | | | | | | | | | | | | |
| 5.250%, due 5/1/28 | | | | | 2,000 | | | | | | 1,648 | | |
| 7.875%, due 5/1/29 | | | | | 6,000 | | | | | | 4,022 | | |
| Nordstrom, Inc. | | | | | | | | | | | | | |
| 4.375%, due 4/1/30 | | | | | 3,000 | | | | | | 2,346 | | |
| Sonic Automotive, Inc. | | | | | | | | | | | | | |
| 4.625%, due 11/15/29 | | | | | 6,000 | | | | | | 5,033 | | |
| 4.875%, due 11/15/31 | | | | | 5,000 | | | | | | 4,038 | | |
| Victoria’s Secret & Co. | | | | | | | | | | | | | |
| 4.625%, due 7/15/29 | | | | | 12,000 | | | | | | 9,705 | | |
| White Cap Buyer LLC | | | | | | | | | | | | | |
| 6.875%, due 10/15/28 | | | | | 6,000 | | | | | | 5,203 | | |
| Yum! Brands, Inc. | | | | | | | | | | | | | |
| 3.625%, due 3/15/31 | | | | | 9,000 | | | | | | 7,950 | | |
| 4.750%, due 1/15/30 | | | | | 9,000 | | | | | | 8,706 | | |
| 5.375%, due 4/1/32 | | | | | 9,000 | | | | | | 8,779 | | |
| | | | | | | | | | | | 292,267 | | |
| Semiconductors — 0.6% | |
| Entegris, Inc. | | | | | | | | | | | | | |
| 4.375%, due 4/15/28 | | | | | 12,000 | | | | | | 10,945 | | |
| Microchip Technology, Inc. | | | | | | | | | | | | | |
| 0.125%, due 11/15/24 | | | | | 121,000 | | | | | | 128,184 | | |
| ON Semiconductor Corp. | | | | | | | | | | | | | |
| 0.500%, due 3/1/29 | | | | | 10,000 | | | | | | 9,631 | | |
| | | | | | | | | | | | 148,760 | | |
| Software — 0.5% | |
| Boxer Parent Co., Inc. | | | | | | | | | | | | | |
| 7.125%, due 10/2/25 | | | | | 6,000 | | | | | | 5,982 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Multi-Sector Income ETF (continued)
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Software (continued) | |
| Central Parent, Inc. / CDK Global, Inc. | | | | | | | | | | | | | |
| 7.250%, due 6/15/29 | | | | $ | 9,000 | | | | | $ | 8,911 | | |
| Clarivate Science Holdings Corp. | | | | | | | | | | | | | |
| 3.875%, due 7/1/28 | | | | | 6,000 | | | | | | 5,399 | | |
| Cloud Software Group, Inc. | | | | | | | | | | | | | |
| 6.500%, due 3/31/29 | | | | | 2,000 | | | | | | 1,801 | | |
| Fair Isaac Corp. | | | | | | | | | | | | | |
| 4.000%, due 6/15/28 | | | | | 12,000 | | | | | | 11,179 | | |
| Fiserv, Inc. | | | | | | | | | | | | | |
| 3.200%, due 7/1/26 | | | | | 65,000 | | | | | | 61,977 | | |
| MSCI, Inc. | | | | | | | | | | | | | |
| 4.000%, due 11/15/29 | | | | | 12,000 | | | | | | 10,812 | | |
| SS&C Technologies, Inc. | | | | | | | | | | | | | |
| 5.500%, due 9/30/27 | | | | | 6,000 | | | | | | 5,808 | | |
| | | | | | | | | | | | 111,869 | | |
| Telecommunications — 0.6% | |
| AT&T, Inc. | | | | | | | | | | | | | |
| 3.500%, due 9/15/53 | | | | | 95,000 | | | | | | 68,136 | | |
| 3.650%, due 9/15/59 | | | | | 10,000 | | | | | | 7,076 | | |
| CommScope, Inc. | | | | | | | | | | | | | |
| 6.000%, due 3/1/26 | | | | | 8,000 | | | | | | 7,641 | | |
| 8.250%, due 3/1/27 | | | | | 6,000 | | | | | | 4,639 | | |
| Level 3 Financing, Inc. | | | | | | | | | | | | | |
| 3.625%, due 1/15/29 | | | | | 6,000 | | | | | | 3,356 | | |
| 3.750%, due 7/15/29 | | | | | 8,000 | | | | | | 4,502 | | |
| Sprint LLC | | | | | | | | | | | | | |
| 7.625%, due 3/1/26 | | | | | 14,000 | | | | | | 14,825 | | |
| 7.875%, due 9/15/23 | | | | | 9,000 | | | | | | 9,073 | | |
| T-Mobile USA, Inc. | | | | | | | | | | | | | |
| 2.625%, due 4/15/26 | | | | | 9,000 | | | | | | 8,441 | | |
| Viavi Solutions, Inc. | | | | | | | | | | | | | |
| 3.750%, due 10/1/29 | | | | | 12,000 | | | | | | 10,020 | | |
| | | | | | | | | | | | 137,709 | | |
| Toys/Games/Hobbies — 0.1% | |
| Mattel, Inc. | | | | | | | | | | | | | |
| 3.375%, due 4/1/26 | | | | | 9,000 | | | | | | 8,513 | | |
| 5.875%, due 12/15/27 | | | | | 14,000 | | | | | | 14,017 | | |
| | | | | | | | | | | | 22,530 | | |
Total Corporate Bonds
(Cost $8,141,134) | | | | | | | | | | | 7,992,140 | | |
| Foreign Bonds — 11.9% | |
| Aerospace/Defense — 0.1% | |
| Bombardier, Inc., (Canada) | | | | | | | | | | | | | |
| 7.125%, due 6/15/26 | | | | | 8,000 | | | | | | 7,975 | | |
| 7.500%, due 2/1/29 | | | | | 16,000 | | | | | | 15,736 | | |
| | | | | | | | | | | | 23,711 | | |
| Agriculture — 0.2% | |
| BAT International Finance PLC, (United Kingdom) | | | | | | | | | | | | | |
| 4.448%, due 3/16/28 | | | | | 55,000 | | | | | | 52,833 | | |
| Airlines — 0.4% | |
| Air Canada, (Canada) | | | | | | | | | | | | | |
| 3.875%, due 8/15/26 | | | | | 6,000 | | | | | | 5,554 | | |
| | | | Principal
Amount | | | Value | |
| Foreign Bonds (continued) | |
| Airlines (continued) | |
Air Canada 2020-1 Class C Pass-Through
Trust, (Canada) | | | | | | | | | | | | | |
Series 2020-1C, C10.500%, due
7/15/26 | | | | $ | 18,000 | | | | | $ | 19,080 | | |
| British Airways 2021-1 Class A Pass-Through Trust, (United Kingdom) | | | | | | | | | | | | | |
| Series 2021-1, 2.900%, due 3/15/35 | | | | | 96,947 | | | | | | 82,734 | | |
| | | | | | | | | | | | 107,368 | | |
| Auto Manufacturers — 0.3% | |
| Volkswagen Group of America Finance LLC, (Germany) | | | | | | | | | | | | | |
| 4.600%, due 6/8/29 | | | | | 65,000 | | | | | | 63,644 | | |
| Banks — 3.6% | |
| Barclays PLC, (United Kingdom) | | | | | | | | | | | | | |
4.375%, (US 5 Year CMT T-Note + 3.41%), due 12/15/71(a) | | | | | 125,000 | | | | | | 82,803 | | |
| BNP Paribas SA, (France) | | | | | | | | | | | | | |
3.052%, (SOFR + 1.51%), due
1/13/31(a) | | | | | 55,000 | | | | | | 47,566 | | |
4.625%, (US 5 Year CMT T-Note + 3.34%), due 8/25/71(a) | | | | | 135,000 | | | | | | 95,769 | | |
| BPCE SA, (France) | | | | | | | | | | | | | |
2.045%, (SOFR + 1.09%), due
10/19/27(a) | | | | | 115,000 | | | | | | 101,639 | | |
| Credit Agricole SA, (France) | | | | | | | | | | | | | |
4.750%, (US 5 Year CMT T-Note + 3.24%), due 3/23/72(a) | | | | | 130,000 | | | | | | 99,970 | | |
| Credit Suisse Group AG, (Switzerland) | | | | | | | | | | | | | |
3.091%, (SOFR + 1.73%), due
5/14/32(a) | | | | | 65,000 | | | | | | 52,053 | | |
| Deutsche Bank AG/New York NY, (Germany) | | | | | | | | | | | | | |
3.035%, (SOFR + 1.72%), due
5/28/32(a) | | | | | 80,000 | | | | | | 63,812 | | |
| NatWest Group PLC, (United Kingdom) | | | | | | | | | | | | | |
4.600%, (US 5 Year CMT T-Note + 3.10%), due 9/30/71(a) | | | | | 120,000 | | | | | | 84,587 | | |
| Societe Generale SA, (France) | | | | | | | | | | | | | |
5.375%, (US 5 Year CMT T-Note + 4.51%), due 5/18/71(a) | | | | | 130,000 | | | | | | 91,000 | | |
| UBS Group AG, (Switzerland) | | | | | | | | | | | | | |
4.875%, (US 5 Year CMT T-Note + 3.40%), due 8/12/71(a) | | | | | 105,000 | | | | | | 81,637 | | |
| Westpac Banking Corp., (Australia) | | | | | | | | | | | | | |
3.020%, (US 5 Year CMT T-Note + 1.53%), due 11/18/36(a) | | | | | 110,000 | | | | | | 86,746 | | |
| | | | | | | | | | | | 887,582 | | |
| Beverages — 0.1% | |
| Primo Water Holdings, Inc., (Canada) | | | | | | | | | | | | | |
| 4.375%, due 4/30/29 | | | | | 17,000 | | | | | | 14,993 | | |
| Chemicals — 0.1% | |
| SPCM SA, (France) | | | | | | | | | | | | | |
| 3.375%, due 3/15/30 | | | | | 22,000 | | | | | | 18,202 | | |
| Commercial Services — 0.1% | |
| Garda World Security Corp., (Canada) | | | | | | | | | | | | | |
| 4.625%, due 2/15/27 | | | | | 9,000 | | | | | | 8,267 | | |
| 9.500%, due 11/1/27 | | | | | 17,000 | | | | | | 16,291 | | |
| | | | | | | | | | | | 24,558 | | |
| |
See notes to financial statements.
Schedule of Investments — IQ MacKay Multi-Sector Income ETF (continued)
| | | | Principal
Amount | | | Value | |
| Foreign Bonds (continued) | |
| Diversified Financial Services — 0.3% | |
| Avolon Holdings Funding Ltd., (Ireland) | | | | | | | | | | | | | |
| 3.250%, due 2/15/27 | | | | $ | 85,000 | | | | | $ | 75,905 | | |
| Electric — 0.5% | |
| EnfraGen Energia Sur SA / EnfraGen Spain SA / Prime Energia SpA, (Colombia) | | | | | | | | | | | | | |
| 5.375%, due 12/30/30 | | | | | 200,000 | | | | | | 126,700 | | |
| Environmental Control — 0.1% | |
| GFL Environmental, Inc., (Canada) | | | | | | | | | | | | | |
| 3.750%, due 8/1/25 | | | | | 6,000 | | | | | | 5,801 | | |
| 4.000%, due 8/1/28 | | | | | 11,000 | | | | | | 10,040 | | |
| 4.250%, due 6/1/25 | | | | | 3,000 | | | | | | 2,918 | | |
| 4.750%, due 6/15/29 | | | | | 6,000 | | | | | | 5,584 | | |
| 5.125%, due 12/15/26 | | | | | 6,000 | | | | | | 5,902 | | |
| | | | | | | | | | | | 30,245 | | |
| Food — 1.5% | |
| Cencosud SA, (Chile) | | | | | | | | | | | | | |
| 4.375%, due 7/17/27 | | | | | 200,000 | | | | | | 193,496 | | |
| Indofood CBP Sukses Makmur Tbk PT, (Indonesia) | | | | | | | | | | | | | |
| 3.398%, due 6/9/31 | | | | | 200,000 | | | | | | 170,015 | | |
| | | | | | | | | | | | 363,511 | | |
| Forest Products & Paper — 0.0%(f) | |
| Ahlstrom Holding 3 Oy, (Finland) | | | | | | | | | | | | | |
| 4.875%, due 2/4/28 | | | | | 9,000 | | | | | | 7,621 | | |
| Household Products/Wares — 0.1% | |
| Kronos Acquisition Holdings, Inc. / KIK Custom Products, Inc., (Canada) | | | | | | | | | | | | | |
| 5.000%, due 12/31/26 | | | | | 14,000 | | | | | | 12,956 | | |
| 7.000%, due 12/31/27 | | | | | 17,000 | | | | | | 14,942 | | |
| | | | | | | | | | | | 27,898 | | |
| Internet — 0.8% | |
| Prosus NV, (China) | | | | | | | | | | | | | |
| 3.257%, due 1/19/27 | | | | | 200,000 | | | | | | 182,901 | | |
| Investment Companies — 0.8% | |
| Gaci First Investment Co., (Saudi Arabia) | | | | | | | | | | | | | |
| 5.000%, due 10/13/27 | | | | | 200,000 | | | | | | 204,250 | | |
| Machinery-Diversified — 0.1% | |
Titan Acquisition Ltd. / Titan Co.-Borrower
LLC, (Canada) | | | | | | | | | | | | | |
| 7.750%, due 4/15/26 | | | | | 10,000 | | | | | | 8,900 | | |
| TK Elevator US Newco, Inc., (Germany) | | | | | | | | | | | | | |
| 5.250%, due 7/15/27 | | | | | 12,000 | | | | | | 11,218 | | |
| | | | | | | | | | | | 20,118 | | |
| Media — 0.3% | |
| UPC Holding BV, (Netherlands) | | | | | | | | | | | | | |
| 5.500%, due 1/15/28 | | | | | 12,000 | | | | | | 10,740 | | |
| Virgin Media Finance PLC, (United Kingdom) | | | | | | | | | | | | | |
| 5.000%, due 7/15/30 | | | | | 34,000 | | | | | | 28,651 | | |
| VZ Secured Financing BV, (Netherlands) | | | | | | | | | | | | | |
| 5.000%, due 1/15/32 | | | | | 9,000 | | | | | | 7,511 | | |
| | | | Principal
Amount | | | Value | |
| Foreign Bonds (continued) | |
| Media (continued) | |
| Ziggo Bond Co. BV, (Netherlands) | | | | | | | | | | | | | |
| 5.125%, due 2/28/30 | | | | $ | 22,000 | | | | | $ | 17,876 | | |
| | | | | | | | | | | | 64,778 | | |
| Oil & Gas — 1.0% | |
| Baytex Energy Corp., (Canada) | | | | | | | | | | | | | |
| 8.500%, due 4/30/30 | | | | | 5,000 | | | | | | 5,027 | | |
| Petroleos Mexicanos, (Mexico) | | | | | | | | | | | | | |
| 5.350%, due 2/12/28 | | | | | 100,000 | | | | | | 83,056 | | |
| Qatar Energy, (Qatar) | | | | | | | | | | | | | |
| 3.125%, due 7/12/41 | | | | | 200,000 | | | | | | 157,250 | | |
| | | | | | | | | | | | 245,333 | | |
| Packaging & Containers — 0.0%(f) | |
| Cascades, Inc./Cascades USA, Inc., (Canada) | | | | | | | | | | | | | |
| 5.375%, due 1/15/28 | | | | | 9,000 | | | | | | 8,539 | | |
| Pharmaceuticals — 0.1% | |
| Teva Pharmaceutical Finance Netherlands III BV, (Israel) | | | | | | | | | | | | | |
| 3.150%, due 10/1/26 | | | | | 6,000 | | | | | | 5,422 | | |
| 5.125%, due 5/9/29 | | | | | 8,000 | | | | | | 7,421 | | |
| | | | | | | | | | | | 12,843 | | |
| Retail — 0.1% | |
1011778 BC ULC / New Red Finance, Inc.,
(Canada) | | | | | | | | | | | | | |
| 3.500%, due 2/15/29 | | | | | 12,000 | | | | | | 10,787 | | |
| 3.875%, due 1/15/28 | | | | | 6,000 | | | | | | 5,627 | | |
| | | | | | | | | | | | 16,414 | | |
| Software — 0.0%(f) | |
| Open Text Corp., (Canada) | | | | | | | | | | | | | |
| 3.875%, due 2/15/28 | | | | | 3,000 | | | | | | 2,658 | | |
| Telecommunications — 1.3% | |
| Altice France SA/France, (France) | | | | | | | | | | | | | |
| 5.125%, due 7/15/29 | | | | | 6,000 | | | | | | 4,436 | | |
| 5.500%, due 1/15/28 | | | | | 17,000 | | | | | | 13,383 | | |
| 8.125%, due 2/1/27 | | | | | 4,000 | | | | | | 3,572 | | |
| Axiata SPV2 Bhd, (Malaysia) | | | | | | | | | | | | | |
| 2.163%, due 8/19/30 | | | | | 200,000 | | | | | | 172,273 | | |
| Iliad Holding SASU, (France) | | | | | | | | | | | | | |
| 6.500%, due 10/15/26 | | | | | 12,000 | | | | | | 11,546 | | |
| Nice Ltd., (Israel) | | | | | | | | | | | | | |
0.000%, due 9/15/25(c) | | | | | 125,000 | | | | | | 116,000 | | |
| | | | | | | | | | | | 321,210 | | |
Total Foreign Bonds
(Cost $3,025,714) | | | | | | | | | | | 2,903,815 | | |
| Municipal Bonds — 9.7% | |
| California — 1.0% | |
| California State University, | | | | | | | | | | | | | |
| 1.690%, due 11/1/29 | | | | | 290,000 | | | | | | 246,126 | | |
| Colorado — 1.0% | |
| Metro Wastewater Reclamation District, | | | | | | | | | | | | | |
| 5.775%, due 4/1/29 | | | | | 225,000 | | | | | | 236,792 | | |
| |
See notes to financial statements.
Schedule of Investments — IQ MacKay Multi-Sector Income ETF (continued)
| | | | Principal
Amount | | | Value | | | |
| Municipal Bonds (continued) | | | |
| Florida — 0.9% | | | |
| County of Miami-Dade FL Transit System, | | | | | | | | | | | | | | | |
| 2.600%, due 7/1/42 | | | | $ | 300,000 | | | | | $ | 227,743 | | | | |
| Illinois — 1.1% | | | |
| State of Illinois, | | | | | | | | | | | | | | | |
| 5.100%, due 6/1/33 | | | | | 275,000 | | | | | | 276,139 | | | | |
| New Jersey — 1.0% | | | |
| New Jersey Turnpike Authority, | | | | | | | | | | | | | | | |
| 7.102%, due 1/1/41 | | | | | 200,000 | | | | | | 250,058 | | | | |
| New York — 1.0% | | | |
| City of New York NY, | | | | | | | | | | | | | | | |
| 2.360%, due 8/1/31 | | | | | 275,000 | | | | | | 235,140 | | | | |
| North Carolina — 0.9% | | | |
| Charlotte-Mecklenburg Hospital Authority (The), | | | | | | | | | | | | | | | |
| 3.204%, due 1/15/51 | | | | | 300,000 | | | | | | 211,056 | | | | |
| Oregon — 0.8% | | | |
| Port of Morrow OR, | | | | | | | | | | | | | | | |
| 2.543%, due 9/1/40 | | | | | 250,000 | | | | | | 188,715 | | | | |
| Texas — 1.0% | | | |
| Dallas Fort Worth International Airport, | | | | | | | | | | | | | | | |
| 3.089%, due 11/1/40 | | | | | 300,000 | | | | | | 243,276 | | | | |
| Washington — 1.0% | | | |
| State of Washington, | | | | | | | | | | | | | | | |
| 5.090%, due 8/1/33 | | | | | 235,000 | | | | | | 246,237 | | | | |
Total Municipal Bonds
(Cost $2,469,693) | | | | | | | | | | | 2,361,282 | | | | |
| U.S. Treasury Bonds — 5.9% | | | |
U.S. Treasury Bond, 3.625%, due
2/15/53 | | | | | 775,000 | | | | | | 768,461 | | | | |
U.S. Treasury Bond, 3.875%, due
2/15/43 | | | | | 665,000 | | | | | | 672,066 | | | | |
| | | | | | | | | | | | 1,440,527 | | | | |
Total U.S. Treasury Bonds
(Cost $1,394,385) | | | | | | | | | | | 1,440,527 | | | | |
| U.S. Treasury Notes — 7.5% | | | | | | | |
| U.S. Treasury Note, 3.500%, due 4/30/30 | | | | | 380,000 | | | | | | 380,653 | | | | |
| U.S. Treasury Note, 3.500%, due 2/15/33 | | | | | 1,295,000 | | | | | | 1,302,689 | | | | |
| U.S. Treasury Note, 3.750%, due 4/15/26 | | | | | 100,000 | | | | | | 100,031 | | | | |
| U.S. Treasury Note, 3.875%, due 4/30/25 | | | | | 40,000 | | | | | | 39,885 | | | | |
| | | | | | | | | | | | 1,823,258 | | | | |
Total U.S. Treasury Notes
(Cost $1,790,512) | | | | | | | | | | | 1,823,258 | | | | |
United States Government Agency Mortgage-Backed
Securities — 5.5% | | | |
| Mortgage Securities — 5.5% | | | |
| Fannie Mae Pool | | | | | | | | | | | | | | | |
Series 2022-FS3643 5.500% due
11/1/52 | | | | | 24,239 | | | | | | 24,440 | | | | |
Series 2022-MA4626 4.000% due
6/1/52 | | | | | 165,976 | | | | | | 158,664 | | | | |
Series 2022-MA4656 4.500% due
7/1/52 | | | | | 151,867 | | | | | | 148,475 | | | | |
Series 2022-MA4709 5.000% due
7/1/52 | | | | | 149,414 | | | | | | 148,612 | | | | |
| | | | Principal
Amount | | | Value | |
United States Government Agency Mortgage-Backed
Securities (continued) | |
| Mortgage Securities (continued) | |
Series 2022-MA4806 5.000% due
11/1/52 | | | | $ | 257,012 | | | | | $ | 255,589 | | |
Series 2023-MA4919 5.500% due
2/1/53 | | | | | 92,895 | | | | | | 93,665 | | |
Series 2023-MA4942 6.000% due
3/1/53 | | | | | 29,228 | | | | | | 29,775 | | |
| Fannie Mae REMICS | | | | | | | | | | | | | |
Series 2020-47 BD, 1.500% due
7/25/50 | | | | | 9,953 | | | | | | 7,818 | | |
| Federal National Mortgage Association | | | | | | | | | | | | | |
Series 2023-FS3904 5.000% due
3/1/53 | | | | | 14,959 | | | | | | 14,883 | | |
Series 2023-MA4940 5.000% due
3/1/53 | | | | | 34,649 | | | | | | 34,453 | | |
| Freddie Mac Pool | | | | | | | | | | | | | |
Series 2022-SD8257 4.500% due
10/1/52 | | | | | 72,239 | | | | | | 70,622 | | |
| Freddie Mac REMICS | | | | | | | | | | | | | |
Series 2020-4988 BA, 1.500% due
6/25/50 | | | | | 11,053 | | | | | | 8,681 | | |
| Government National Mortgage Association | | | | | | | | | | | | | |
Series 2022-10 IC, 2.000% due 11/20/51(b) | | | | | 93,066 | | | | | | 11,322 | | |
Series 2023-19 IO, 2.500% due
2/20/51(b) | | | | | 221,460 | | | | | | 29,275 | | |
Series 2023-55 CG, 7.486% due 7/20/51(a)(e) | | | | | 105,000 | | | | | | 119,683 | | |
Series 2023-56, 0.000%, due
7/20/52(c)(d) | | | | | 100,000 | | | | | | 89,972 | | |
Series 2023-59 YC, 6.897% due 9/20/51(a)(e) | | | | | 75,000 | | | | | | 83,319 | | |
| | | | | | | | | | | | 1,329,248 | | |
Total United States Government Agency Mortgage-Backed Securities
(Cost $1,335,756) | | | | | | | | | | | 1,329,248 | | |
| |
| | | | Shares | | | | | | | |
| Short-Term Investment — 2.2% | |
| Money Market Fund — 2.2% | |
Dreyfus Government Cash Management Fund, Institutional Shares, 4.76%(g)
(Cost $530,282) | | | | | 530,282 | | | | | | 530,282 | | |
Total Investments — 99.2%
(Cost $24,481,548) | | | | | | | | | | | 24,137,942 | | |
Other Assets and Liabilities,
Net — 0.8% | | | | | | | | | | | 194,050 | | |
| Net Assets — 100.0% | | | | | | | | | | $ | 24,331,992 | | |
(a)
Variable rate securities that may be tendered back to the issuer at any time prior to maturity at par. Rate shown is the rate in effect as of April 30, 2023.
(b)
Interest only security. An interest only security is the interest only portion of a fixed income security, which is separated and sold individually from the principal portion of the security.
(c)
The security was issued on a discount basis with no stated coupon rate. Rate shown reflects the effective yield.
See notes to financial statements.
Schedule of Investments — IQ MacKay Multi-Sector Income ETF (continued)
(d)
A principal only security is the principal only portion of a fixed income security, which is separated and sold individually from the interest portion of the security.
(e)
Adjustable rate security with an interest rate that is not based on a published reference index and spread. The rate is based on the structure of the agreement and current market conditions.
(f)
Less than 0.05%.
(g)
Reflects the 7-day yield at April 30, 2023.
Abbreviations
| | CMT | | | — | | | Constant Maturity Treasury Index | |
| | FREMF | | | — | | | Freddie MAC Multifamily Securities | |
| | LIBOR | | | — | | | London InterBank Offered Rate | |
| | SOFR | | | — | | | Secured Financing Overnight Rate | |
Open futures contracts outstanding at April 30, 2023:
| Type | | | Broker | | | Expiration
Date | | | Number of
Contracts
Purchased
(Sold) | | | Notional
Value at
Trade
Date | | | Notional
Value at
April 30,
2023 | | | Unrealized
Appreciation
(Depreciation) | |
| U.S. 10 Year Ultra Note | | | Citigroup Global Markets Inc. | | | June 2023 | | | | | 20 | | | | | $ | 2,342,233 | | | | | $ | 2,429,063 | | | | | $ | 86,830 | | |
| U.S. 10 Year Note (CBT) | | | Citigroup Global Markets Inc. | | | June 2023 | | | | | 11 | | | | | | 1,228,072 | | | | | | 1,267,235 | | | | | | 39,163 | | |
| U.S. 5 Year Note (CBT) | | | Citigroup Global Markets Inc. | | | June 2023 | | | | | 1 | | | | | | 107,143 | | | | | | 109,742 | | | | | | 2,599 | | |
| U.S. Long Bond (CBT) | | | Citigroup Global Markets Inc. | | | June 2023 | | | | | 1 | | | | | | 126,080 | | | | | | 131,656 | | | | | | 5,576 | | |
| U.S. Ultra Bond (CBT) | | | Citigroup Global Markets Inc. | | | June 2023 | | | | | 1 | | | | | | 136,065 | | | | | | 141,406 | | | | | | 5,341 | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | $ | 139,509 | | |
CBT — Chicago Board of Trade
Cash posted as collateral to broker for futures contracts was $99,150 at April 30, 2023.
The following is a summary of the inputs used to value the Fund’s investments as of April 30, 2023. For more information on the valuation techniques, and their aggregation into the levels used in the table below, please refer to Note 2.
| Description | | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
| Asset Valuation Inputs | | | |
| Investments in Securities:(h) | | | | | | | | | | | | | | | | | | | | |
| Collateralized Mortgage Obligations | | | | $ | — | | | | | $ | 2,023,213 | | | | | $ | — | | | | | $ | 2,023,213 | | |
| Commercial Asset-Backed Securities | | | | | — | | | | | | 2,094,265 | | | | | | — | | | | | | 2,094,265 | | |
| Commercial Mortgage-Backed Securities | | | | | — | | | | | | 1,639,912 | | | | | | — | | | | | | 1,639,912 | | |
| Corporate Bonds | | | | | — | | | | | | 7,992,140 | | | | | | — | | | | | | 7,992,140 | | |
| Foreign Bonds | | | | | — | | | | | | 2,903,815 | | | | | | — | | | | | | 2,903,815 | | |
| Municipal Bonds | | | | | — | | | | | | 2,361,282 | | | | | | — | | | | | | 2,361,282 | | |
| U.S. Treasury Bonds | | | | | — | | | | | | 1,440,527 | | | | | | — | | | | | | 1,440,527 | | |
| U.S. Treasury Notes | | | | | — | | | | | | 1,823,258 | | | | | | — | | | | | | 1,823,258 | | |
| United States Government Agency Mortgage-Backed Securities | | | | | — | | | | | | 1,329,248 | | | | | | — | | | | | | 1,329,248 | | |
| Short-Term Investment: | | | | | | | | | | | | | | | | | | | | | | | | | |
| Money Market Fund | | | | | 530,282 | | | | | | — | | | | | | — | | | | | | 530,282 | | |
| Total Investments in Securities | | | | | 530,282 | | | | | | 23,607,660 | | | | | | — | | | | | | 24,137,942 | | |
| Other Financial Instruments:(i) | | | | | | | | | | | | | | | | | | | | | | | | | |
| Futures Contracts | | | | | 139,509 | | | | | | — | | | | | | — | | | | | | 139,509 | | |
| Total Investments in Securities and Other Financial Instruments | | | | $ | 669,791 | | | | | $ | 23,607,660 | | | | | $ | — | | | | | $ | 24,277,451 | | |
(h)
For a complete listing of investments and their states, see the Schedule of Investments.
(i)
Reflects the unrealized appreciation (depreciation) of the instruments.
For the year ended April 30, 2023 the Fund did not have any transfers into or out of Level 3 within the fair value hierarchy. (See Note 2)
See notes to financial statements.
Schedule of Investments — IQ MacKay ESG High Income ETF
| | | | Principal
Amount | | | Value | |
| Long-Term Bonds — 97.3% | |
| Corporate Bonds — 81.5% | |
| Advertising — 0.8% | |
| Lamar Media Corp. | | | | | | | | | | | | | |
| 4.000%, due 2/15/30 | | | | $ | 107,000 | | | | | $ | 95,995 | | |
| Outfront Media Capital LLC / Outfront Media Capital Corp. | | | | | | | | | | | | | |
| 4.250%, due 1/15/29 | | | | | 122,000 | | | | | | 104,493 | | |
| | | | | | | | | | | | 200,488 | | |
| Aerospace & Defense — 1.3% | |
| TransDigm, Inc. | | | | | | | | | | | | | |
| 4.625%, due 1/15/29 | | | | | 82,000 | | | | | | 74,210 | | |
| 4.875%, due 5/1/29 | | | | | 106,000 | | | | | | 96,328 | | |
| 6.250%, due 3/15/26 | | | | | 90,000 | | | | | | 90,425 | | |
| 6.750%, due 8/15/28 | | | | | 85,000 | | | | | | 86,321 | | |
| | | | | | | | | | | | 347,284 | | |
| Agriculture — 1.0% | |
| Darling Ingredients, Inc. | | | | | | | | | | | | | |
| 5.250%, due 4/15/27 | | | | | 267,000 | | | | | | 261,632 | | |
| Airlines — 1.4% | |
| Delta Air Lines, Inc. | | | | | | | | | | | | | |
| 4.375%, due 4/19/28 | | | | | 75,000 | | | | | | 70,688 | | |
| 7.375%, due 1/15/26 | | | | | 62,000 | | | | | | 65,346 | | |
| United Airlines, Inc. | | | | | | | | | | | | | |
| 4.375%, due 4/15/26 | | | | | 97,000 | | | | | | 92,637 | | |
| 4.625%, due 4/15/29 | | | | | 115,000 | | | | | | 104,078 | | |
| | | | | | | | | | | | 332,749 | | |
| Apparel — 0.7% | |
| Hanesbrands, Inc. | | | | | | | | | | | | | |
| 4.875%, due 5/15/26 | | | | | 200,000 | | | | | | 188,482 | | |
| Auto Manufacturers — 2.7% | |
| Ford Motor Co. | | | | | | | | | | | | | |
| 3.250%, due 2/12/32 | | | | | 145,000 | | | | | | 112,450 | | |
| Ford Motor Credit Co. LLC | | | | | | | | | | | | | |
| 3.375%, due 11/13/25 | | | | | 136,000 | | | | | | 126,298 | | |
| 3.815%, due 11/2/27 | | | | | 128,000 | | | | | | 114,764 | | |
| 4.000%, due 11/13/30 | | | | | 136,000 | | | | | | 116,615 | | |
| 4.950%, due 5/28/27 | | | | | 132,000 | | | | | | 124,831 | | |
| 7.350%, due 3/6/30 | | | | | 125,000 | | | | | | 128,395 | | |
| | | | | | | | | | | | 723,353 | | |
| Auto Parts & Equipment — 2.0% | |
| Clarios Global LP / Clarios US Finance Co. | | | | | | | | | | | | | |
| 6.250%, due 5/15/26 | | | | | 250,000 | | | | | | 248,768 | | |
| Dana, Inc. | | | | | | | | | | | | | |
| 4.500%, due 2/15/32 | | | | | 94,000 | | | | | | 75,177 | | |
| Goodyear Tire & Rubber Co. (The) | | | | | | | | | | | | | |
| 5.000%, due 7/15/29 | | | | | 200,000 | | | | | | 176,792 | | |
| | | | | | | | | | | | 500,737 | | |
| Banks — 0.1% | |
| Fifth Third Bancorp | | | | | | | | | | | | | |
4.772%, (SOFRINDX + 2.13%), due 7/28/30(a) | | | | | 18,000 | | | | | | 17,130 | | |
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Beverages — 0.1% | |
| Triton Water Holdings, Inc. | | | | | | | | | | | | | |
| 6.250%, due 4/1/29 | | | | $ | 33,000 | | | | | $ | 27,720 | | |
| Building Materials — 1.3% | |
| Camelot Return Merger Sub, Inc. | | | | | | | | | | | | | |
| 8.750%, due 8/1/28 | | | | | 55,000 | | | | | | 52,113 | | |
| MIWD Holdco II LLC / MIWD Finance Corp. | | | | | | | | | | | | | |
| 5.500%, due 2/1/30 | | | | | 110,000 | | | | | | 92,400 | | |
| Standard Industries, Inc. | | | | | | | | | | | | | |
| 4.375%, due 7/15/30 | | | | | 200,000 | | | | | | 172,630 | | |
| | | | | | | | | | | | 317,143 | | |
| Chemicals — 1.9% | |
| Avient Corp. | | | | | | | | | | | | | |
| 7.125%, due 8/1/30 | | | | | 112,000 | | | | | | 114,465 | | |
| Olin Corp. | | | | | | | | | | | | | |
| 5.000%, due 2/1/30 | | | | | 104,000 | | | | | | 97,098 | | |
| 5.625%, due 8/1/29 | | | | | 95,000 | | | | | | 92,625 | | |
| Olympus Water US Holding Corp. | | | | | | | | | | | | | |
| 4.250%, due 10/1/28 | | | | | 171,000 | | | | | | 145,876 | | |
| Rain CII Carbon LLC / CII Carbon Corp. | | | | | | | | | | | | | |
| 7.250%, due 4/1/25 | | | | | 35,000 | | | | | | 33,920 | | |
| | | | | | | | | | | | 483,984 | | |
| Commercial Services — 5.4% | |
| ADT Security Corp. (The) | | | | | | | | | | | | | |
| 4.125%, due 8/1/29 | | | | | 99,000 | | | | | | 86,006 | | |
| Allied Universal Holdco LLC / Allied Universal Finance Corp. | | | | | | | | | | | | | |
| 9.750%, due 7/15/27 | | | | | 53,000 | | | | | | 49,302 | | |
| Allied Universal Holdco LLC / Allied Universal Finance Corp./Atlas Luxco 4 Sarl | | | | | | | | | | | | | |
| 4.625%, due 6/1/28 | | | | | 200,000 | | | | | | 174,106 | | |
| AMN Healthcare, Inc. | | | | | | | | | | | | | |
| 4.000%, due 4/15/29 | | | | | 79,000 | | | | | | 69,520 | | |
| Avis Budget Car Rental LLC / Avis Budget Finance, Inc. | | | | | | | | | | | | | |
| 5.375%, due 3/1/29 | | | | | 100,000 | | | | | | 90,711 | | |
| Brink’s Co. (The) | | | | | | | | | | | | | |
| 4.625%, due 10/15/27 | | | | | 71,000 | | | | | | 67,111 | | |
| Carriage Services, Inc. | | | | | | | | | | | | | |
| 4.250%, due 5/15/29 | | | | | 75,000 | | | | | | 62,164 | | |
| Gartner, Inc. | | | | | | | | | | | | | |
| 4.500%, due 7/1/28 | | | | | 120,000 | | | | | | 112,773 | | |
| Herc Holdings, Inc. | | | | | | | | | | | | | |
| 5.500%, due 7/15/27 | | | | | 76,000 | | | | | | 72,579 | | |
| Hertz Corp. (The) | | | | | | | | | | | | | |
| 4.625%, due 12/1/26 | | | | | 116,000 | | | | | | 104,477 | | |
| 5.000%, due 12/1/29 | | | | | 134,000 | | | | | | 109,628 | | |
| Prime Security Services Borrower LLC / Prime Finance, Inc. | | | | | | | | | | | | | |
| 3.375%, due 8/31/27 | | | | | 160,000 | | | | | | 142,983 | | |
| Service Corp. International | | | | | | | | | | | | | |
| 3.375%, due 8/15/30 | | | | | 124,000 | | | | | | 105,057 | | |
| Sotheby’s | | | | | | | | | | | | | |
| 7.375%, due 10/15/27 | | | | | 80,000 | | | | | | 75,003 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay ESG High Income ETF (continued)
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Commercial Services (continued) | |
| Williams Scotsman International, Inc. | | | | | | | | | | | | | |
| 4.625%, due 8/15/28 | | | | $ | 72,000 | | | | | $ | 66,111 | | |
| | | | | | | | | | | | 1,387,531 | | |
| Computers — 2.3% | |
| NCR Corp. | | | | | | | | | | | | | |
| 5.125%, due 4/15/29 | | | | | 200,000 | | | | | | 173,000 | | |
| Seagate HDD Cayman | | | | | | | | | | | | | |
| 4.091%, due 6/1/29 | | | | | 177,000 | | | | | | 153,466 | | |
Tempo Acquisition LLC / Tempo Acquisition
Finance Corp. | | | | | | | | | | | | | |
| 5.750%, due 6/1/25 | | | | | 248,000 | | | | | | 249,347 | | |
| | | | | | | | | | | | 575,813 | | |
| Diversified Financial Services — 1.8% | |
| OneMain Finance Corp. | | | | | | | | | | | | | |
| 6.625%, due 1/15/28 | | | | | 221,000 | | | | | | 204,978 | | |
| PennyMac Financial Services, Inc. | | | | | | | | | | | | | |
| 4.250%, due 2/15/29 | | | | | 140,000 | | | | | | 115,048 | | |
| 5.375%, due 10/15/25 | | | | | 54,000 | | | | | | 50,975 | | |
Rocket Mortgage LLC / Rocket Mortgage
Co.-Issuer, Inc. | | | | | | | | | | | | | |
| 3.625%, due 3/1/29 | | | | | 137,000 | | | | | | 115,836 | | |
| | | | | | | | | | | | 486,837 | | |
| Electric — 1.8% | |
| Calpine Corp. | | | | | | | | | | | | | |
| 4.500%, due 2/15/28 | | | | | 141,000 | | | | | | 131,314 | | |
| 4.625%, due 2/1/29 | | | | | 40,000 | | | | | | 34,768 | | |
| Edison International | | | | | | | | | | | | | |
Series B, 5.000%, (5 Year US CMT T-Note +
3.90%), due 3/15/72(a) | | | | | 100,000 | | | | | | 85,482 | | |
| Vistra Corp. | | | | | | | | | | | | | |
8.000%, (5 Year US CMT T-Note + 6.93%),
due 4/15/72(a) | | | | | 260,000 | | | | | | 245,050 | | |
| | | | | | | | | | | | 496,614 | | |
| Electrical Component & Equipment — 0.4% | |
| Energizer Holdings, Inc. | | | | | | | | | | | | | |
| 4.750%, due 6/15/28 | | | | | 129,000 | | | | | | 116,009 | | |
| Engineering & Construction — 0.3% | |
| Artera Services LLC | | | | | | | | | | | | | |
| 9.033%, due 12/4/25 | | | | | 85,000 | | | | | | 73,004 | | |
| Entertainment — 3.8% | |
| Affinity Interactive | | | | | | | | | | | | | |
| 6.875%, due 12/15/27 | | | | | 140,000 | | | | | | 125,928 | | |
| Caesars Entertainment, Inc. | | | | | | | | | | | | | |
| 4.625%, due 10/15/29 | | | | | 171,000 | | | | | | 150,018 | | |
| CDI Escrow Issuer, Inc. | | | | | | | | | | | | | |
| 5.750%, due 4/1/30 | | | | | 126,000 | | | | | | 121,493 | | |
| Churchill Downs, Inc. | | | | | | | | | | | | | |
| 4.750%, due 1/15/28 | | | | | 138,000 | | | | | | 130,685 | | |
| Scientific Games Holdings LP/Scientific Games US FinCo, Inc. | | | | | | | | | | | | | |
| 6.625%, due 3/1/30 | | | | | 120,000 | | | | | | 106,468 | | |
| WMG Acquisition Corp. | | | | | | | | | | | | | |
| 3.750%, due 12/1/29 | | | | | 280,000 | | | | | | 246,400 | | |
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Entertainment (continued) | |
| Wynn Resorts Finance LLC / Wynn Resorts Capital Corp. | | | | | | | | | | | | | |
| 5.125%, due 10/1/29 | | | | $ | 102,000 | | | | | $ | 93,916 | | |
| | | | | | | | | | | | 974,908 | | |
| Environmental Control — 0.7% | |
| Covanta Holding Corp. | | | | | | | | | | | | | |
| 4.875%, due 12/1/29 | | | | | 100,000 | | | | | | 89,000 | | |
| Waste Pro USA, Inc. | | | | | | | | | | | | | |
| 5.500%, due 2/15/26 | | | | | 110,000 | | | | | | 102,249 | | |
| | | | | | | | | | | | 191,249 | | |
| Food — 3.4% | |
Albertsons Cos., Inc. / Safeway, Inc. / New
Albertsons LP / Albertsons LLC | | | | | | | | | | | | | |
| 4.625%, due 1/15/27 | | | | | 213,000 | | | | | | 205,906 | | |
| 6.500%, due 2/15/28 | | | | | 65,000 | | | | | | 65,813 | | |
| B&G Foods, Inc. | | | | | | | | | | | | | |
| 5.250%, due 9/15/27 | | | | | 218,000 | | | | | | 190,930 | | |
| Lamb Weston Holdings, Inc. | | | | | | | | | | | | | |
| 4.875%, due 5/15/28 | | | | | 13,000 | | | | | | 12,753 | | |
| Performance Food Group, Inc. | | | | | | | | | | | | | |
| 4.250%, due 8/1/29 | | | | | 120,000 | | | | | | 109,242 | | |
| Post Holdings, Inc. | | | | | | | | | | | | | |
| 4.625%, due 4/15/30 | | | | | 133,000 | | | | | | 120,128 | | |
| 5.500%, due 12/15/29 | | | | | 81,000 | | | | | | 77,042 | | |
| US Foods, Inc. | | | | | | | | | | | | | |
| 4.625%, due 6/1/30 | | | | | 108,000 | | | | | | 98,768 | | |
| | | | | | | | | | | | 880,582 | | |
| Food Service — 0.6% | |
| Aramark Services, Inc. | | | | | | | | | | | | | |
| 5.000%, due 2/1/28 | | | | | 151,000 | | | | | | 143,812 | | |
| Healthcare-Products — 1.1% | |
| Hologic, Inc. | | | | | | | | | | | | | |
| 4.625%, due 2/1/28 | | | | | 167,000 | | | | | | 162,371 | | |
| Teleflex, Inc. | | | | | | | | | | | | | |
| 4.625%, due 11/15/27 | | | | | 135,000 | | | | | | 129,938 | | |
| | | | | | | | | | | | 292,309 | | |
| Healthcare-Services — 5.6% | |
| Centene Corp. | | | | | | | | | | | | | |
| 2.450%, due 7/15/28 | | | | | 125,000 | | | | | | 108,628 | | |
| 2.500%, due 3/1/31 | | | | | 94,000 | | | | | | 76,600 | | |
| 4.250%, due 12/15/27 | | | | | 163,000 | | | | | | 155,766 | | |
| 4.625%, due 12/15/29 | | | | | 124,000 | | | | | | 116,870 | | |
| CHS/Community Health Systems, Inc. | | | | | | | | | | | | | |
| 8.000%, due 3/15/26 | | | | | 158,000 | | | | | | 156,569 | | |
| Encompass Health Corp. | | | | | | | | | | | | | |
| 4.750%, due 2/1/30 | | | | | 76,000 | | | | | | 70,085 | | |
| 5.750%, due 9/15/25 | | | | | 219,000 | | | | | | 218,478 | | |
| HealthEquity, Inc. | | | | | | | | | | | | | |
| 4.500%, due 10/1/29 | | | | | 79,000 | | | | | | 70,642 | | |
| IQVIA, Inc. | | | | | | | | | | | | | |
| 5.000%, due 5/15/27 | | | | | 96,000 | | | | | | 93,665 | | |
| Tenet Healthcare Corp. | | | | | | | | | | | | | |
| 4.250%, due 6/1/29 | | | | | 127,000 | | | | | | 116,516 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay ESG High Income ETF (continued)
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Healthcare-Services (continued) | |
| 4.625%, due 6/15/28 | | | | $ | 149,000 | | | | | $ | 141,197 | | |
| 6.125%, due 6/15/30 | | | | | 131,000 | | | | | | 129,574 | | |
| | | | | | | | | | | | 1,454,590 | | |
| Home Builders — 1.0% | |
| Beazer Homes USA, Inc. | | | | | | | | | | | | | |
| 7.250%, due 10/15/29 | | | | | 92,000 | | | | | | 87,722 | | |
| Meritage Homes Corp. | | | | | | | | | | | | | |
| 3.875%, due 4/15/29 | | | | | 86,000 | | | | | | 77,398 | | |
| Thor Industries, Inc. | | | | | | | | | | | | | |
| 4.000%, due 10/15/29 | | | | | 47,000 | | | | | | 38,540 | | |
| Tri Pointe Homes, Inc. | | | | | | | | | | | | | |
| 5.700%, due 6/15/28 | | | | | 79,000 | | | | | | 77,519 | | |
| | | | | | | | | | | | 281,179 | | |
| Housewares — 0.8% | |
| CD&R Smokey Buyer, Inc. | | | | | | | | | | | | | |
| 6.750%, due 7/15/25 | | | | | 250,000 | | | | | | 219,375 | | |
| Insurance — 0.3% | |
| Global Atlantic Fin Co. | | | | | | | | | | | | | |
4.700%, (5 Year US CMT T-Note + 3.80%),
due 10/15/51(a) | | | | | 96,000 | | | | | | 76,714 | | |
| Internet — 2.0% | |
| Arches Buyer, Inc. | | | | | | | | | | | | | |
| 6.125%, due 12/1/28 | | | | | 200,000 | | | | | | 173,500 | | |
| Cogent Communications Group, Inc. | | | | | | | | | | | | | |
| 3.500%, due 5/1/26 | | | | | 85,000 | | | | | | 79,025 | | |
| Match Group Holdings II LLC | | | | | | | | | | | | | |
| 4.125%, due 8/1/30 | | | | | 120,000 | | | | | | 102,568 | | |
| Uber Technologies, Inc. | | | | | | | | | | | | | |
| 4.500%, due 8/15/29 | | | | | 158,000 | | | | | | 145,294 | | |
| | | | | | | | | | | | 500,387 | | |
| Leisure Time — 1.6% | |
| Carnival Corp. | | | | | | | | | | | | | |
| 5.750%, due 3/1/27 | | | | | 154,000 | | | | | | 126,742 | | |
| NCL Corp Ltd. | | | | | | | | | | | | | |
| 5.875%, due 3/15/26 | | | | | 235,000 | | | | | | 202,421 | | |
| NCL Corp. Ltd. | | | | | | | | | | | | | |
| 8.375%, due 2/1/28 | | | | | 35,000 | | | | | | 35,209 | | |
| NCL Finance Ltd. | | | | | | | | | | | | | |
| 6.125%, due 3/15/28 | | | | | 75,000 | | | | | | 60,563 | | |
| | | | | | | | | | | | 424,935 | | |
| Machinery-Diversified — 0.1% | |
| Chart Industries, Inc. | | | | | | | | | | | | | |
| 7.500%, due 1/1/30 | | | | | 24,000 | | | | | | 24,720 | | |
| Media — 5.9% | |
| Cable One, Inc. | | | | | | | | | | | | | |
| 4.000%, due 11/15/30 | | | | | 96,000 | | | | | | 78,067 | | |
CCO Holdings LLC / CCO Holdings Capital
Corp. | | | | | | | | | | | | | |
| 4.250%, due 2/1/31 | | | | | 119,000 | | | | | | 97,462 | | |
| 4.250%, due 1/15/34 | | | | | 121,000 | | | | | | 92,171 | | |
| 4.500%, due 8/15/30 | | | | | 96,000 | | | | | | 80,611 | | |
| 4.500%, due 5/1/32 | | | | | 155,000 | | | | | | 124,089 | | |
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Media (continued) | |
| 4.750%, due 3/1/30 | | | | $ | 280,000 | | | | | $ | 240,911 | | |
| 6.375%, due 9/1/29 | | | | | 65,000 | | | | | | 61,773 | | |
| CSC Holdings LLC | | | | | | | | | | | | | |
| 5.750%, due 1/15/30 | | | | | 140,000 | | | | | | 71,448 | | |
| Directv Financing LLC / Directv Financing Co-Obligor, Inc. | | | | | | | | | | | | | |
| 5.875%, due 8/15/27 | | | | | 197,000 | | | | | | 172,881 | | |
| iHeartCommunications, Inc. | | | | | | | | | | | | | |
| 6.375%, due 5/1/26 | | | | | 60,000 | | | | | | 51,470 | | |
| Nexstar Media, Inc. | | | | | | | | | | | | | |
| 4.750%, due 11/1/28 | | | | | 131,000 | | | | | | 115,137 | | |
| Sirius XM Radio, Inc. | | | | | | | | | | | | | |
| 3.875%, due 9/1/31 | | | | | 84,000 | | | | | | 63,476 | | |
| 4.000%, due 7/15/28 | | | | | 107,000 | | | | | | 90,345 | | |
| 4.125%, due 7/1/30 | | | | | 90,000 | | | | | | 72,189 | | |
| Univision Communications, Inc. | | | | | | | | | | | | | |
| 4.500%, due 5/1/29 | | | | | 139,000 | | | | | | 119,799 | | |
| | | | | | | | | | | | 1,531,829 | | |
| Mining — 1.0% | |
| Novelis Corp. | | | | | | | | | | | | | |
| 3.250%, due 11/15/26 | | | | | 102,000 | | | | | | 93,377 | | |
| 4.750%, due 1/30/30 | | | | | 163,000 | | | | | | 147,494 | | |
| | | | | | | | | | | | 240,871 | | |
| Miscellaneous Manufacturing — 0.3% | |
| Gates Global LLC / Gates Corp. | | | | | | | | | | | | | |
| 6.250%, due 1/15/26 | | | | | 75,000 | | | | | | 74,250 | | |
| Office/Business Equipment — 1.1% | |
| Xerox Corp. | | | | | | | | | | | | | |
| 3.800%, due 5/15/24 | | | | | 139,000 | | | | | | 135,949 | | |
| Xerox Holdings Corp. | | | | | | | | | | | | | |
| 5.500%, due 8/15/28 | | | | | 177,000 | | | | | | 152,570 | | |
| | | | | | | | | | | | 288,519 | | |
| Oil & Gas — 6.4% | |
Ascent Resources Utica Holdings LLC / ARU
Finance Corp. | | | | | | | | | | | | | |
| 7.000%, due 11/1/26 | | | | | 130,000 | | | | | | 125,797 | | |
| Callon Petroleum Co. | | | | | | | | | | | | | |
| 6.375%, due 7/1/26 | | | | | 87,000 | | | | | | 84,055 | | |
| 7.500%, due 6/15/30 | | | | | 103,000 | | | | | | 97,831 | | |
| 8.000%, due 8/1/28 | | | | | 81,000 | | | | | | 79,916 | | |
| CNX Resources Corp. | | | | | | | | | | | | | |
| 6.000%, due 1/15/29 | | | | | 88,000 | | | | | | 81,405 | | |
| Occidental Petroleum Corp. | | | | | | | | | | | | | |
| 2.900%, due 8/15/24 | | | | | 272,000 | | | | | | 263,671 | | |
| 5.550%, due 3/15/26 | | | | | 110,000 | | | | | | 110,923 | | |
| 7.500%, due 5/1/31 | | | | | 81,000 | | | | | | 90,374 | | |
| 8.875%, due 7/15/30 | | | | | 112,000 | | | | | | 131,600 | | |
| Range Resources Corp. | | | | | | | | | | | | | |
| 4.750%, due 2/15/30 | | | | | 76,000 | | | | | | 69,920 | | |
| Rockcliff Energy II LLC | | | | | | | | | | | | | |
| 5.500%, due 10/15/29 | | | | | 89,000 | | | | | | 80,485 | | |
| Southwestern Energy Co. | | | | | | | | | | | | | |
| 5.375%, due 3/15/30 | | | | | 114,000 | | | | | | 106,093 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay ESG High Income ETF (continued)
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Oil & Gas (continued) | |
| Sunoco LP / Sunoco Finance Corp. | | | | | | | | | | | | | |
| 5.875%, due 3/15/28 | | | | $ | 117,000 | | | | | $ | 114,368 | | |
| Tap Rock Resources LLC | | | | | | | | | | | | | |
| 7.000%, due 10/1/26 | | | | | 76,000 | | | | | | 73,022 | | |
| Transocean Titan Financing Ltd. | | | | | | | | | | | | | |
| 8.375%, due 2/1/28 | | | | | 45,000 | | | | | | 45,865 | | |
| Vital Energy, Inc. | | | | | | | | | | | | | |
| 7.750%, due 7/31/29 | | | | | 126,000 | | | | | | 111,233 | | |
| 10.125%, due 1/15/28 | | | | | 37,000 | | | | | | 37,197 | | |
| | | | | | | | | | | | 1,703,755 | | |
| Oil & Gas Services — 2.0% | |
| Archrock Partners LP / Archrock Partners Finance Corp. | | | | | | | | | | | | | |
| 6.250%, due 4/1/28 | | | | | 127,000 | | | | | | 121,912 | | |
| 6.875%, due 4/1/27 | | | | | 127,000 | | | | | | 124,785 | | |
| USA Compression Partners LP / USA Compression Finance Corp. | | | | | | | | | | | | | |
| 6.875%, due 4/1/26 | | | | | 112,000 | | | | | | 110,790 | | |
| 6.875%, due 9/1/27 | | | | | 163,000 | | | | | | 158,630 | | |
| | | | | | | | | | | | 516,117 | | |
| Packaging & Containers — 2.5% | |
Ardagh Packaging Finance PLC / Ardagh
Holdings USA, Inc. | | | | | | | | | | | | | |
| 4.125%, due 8/15/26 | | | | | 95,000 | | | | | | 89,493 | | |
| 5.250%, due 8/15/27 | | | | | 200,000 | | | | | | 171,040 | | |
| Ball Corp. | | | | | | | | | | | | | |
| 6.875%, due 3/15/28 | | | | | 97,000 | | | | | | 100,864 | | |
| Mauser Packaging Solutions Holding Co. | | | | | | | | | | | | | |
| 9.250%, due 4/15/27 | | | | | 56,000 | | | | | | 53,144 | | |
| Owens-Brockway Glass Container, Inc. | | | | | | | | | | | | | |
| 6.375%, due 8/15/25 | | | | | 200,000 | | | | | | 203,750 | | |
| Sealed Air Corp/Sealed Air Corp US | | | | | | | | | | | | | |
| 6.125%, due 2/1/28 | | | | | 25,000 | | | | | | 25,368 | | |
| | | | | | | | | | | | 643,659 | | |
| Pharmaceuticals — 1.5% | |
| Elanco Animal Health, Inc. | | | | | | | | | | | | | |
| 6.650%, due 8/28/28 | | | | | 133,000 | | | | | | 129,493 | | |
| PRA Health Sciences, Inc. | | | | | | | | | | | | | |
| 2.875%, due 7/15/26 | | | | | 284,000 | | | | | | 259,209 | | |
| | | | | | | | | | | | 388,702 | | |
| Pipelines — 3.6% | |
| Cheniere Energy Partners LP | | | | | | | | | | | | | |
| 4.500%, due 10/1/29 | | | | | 140,000 | | | | | | 131,717 | | |
| Cheniere Energy, Inc. | | | | | | | | | | | | | |
| 4.625%, due 10/15/28 | | | | | 87,000 | | | | | | 82,928 | | |
| CNX Midstream Partners LP | | | | | | | | | | | | | |
| 4.750%, due 4/15/30 | | | | | 120,000 | | | | | | 100,468 | | |
| EnLink Midstream LLC | | | | | | | | | | | | | |
| 5.625%, due 1/15/28 | | | | | 90,000 | | | | | | 88,641 | | |
| Genesis Energy LP / Genesis Energy Finance Corp. | | | | | | | | | | | | | |
| 7.750%, due 2/1/28 | | | | | 291,000 | | | | | | 286,412 | | |
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Pipelines (continued) | |
| Venture Global Calcasieu Pass LLC | | | | | | | | | | | | | |
| 3.875%, due 8/15/29 | | | | $ | 137,000 | | | | | $ | 123,053 | | |
| 6.250%, due 1/15/30 | | | | | 60,000 | | | | | | 60,840 | | |
| Western Midstream Operating LP | | | | | | | | | | | | | |
| 4.750%, due 8/15/28 | | | | | 90,000 | | | | | | 86,354 | | |
| | | | | | | | | | | | 960,413 | | |
| REITS — 2.7% | |
| Iron Mountain Information Management Services, Inc. | | | | | | | | | | | | | |
| 5.000%, due 7/15/32 | | | | | 79,000 | | | | | | 69,204 | | |
| Iron Mountain, Inc. | | | | | | | | | | | | | |
| 4.500%, due 2/15/31 | | | | | 88,000 | | | | | | 76,515 | | |
| 5.250%, due 7/15/30 | | | | | 110,000 | | | | | | 101,313 | | |
| Park Intermediate Holdings LLC / PK Domestic Property LLC / PK Finance Co-Issuer | | | | | | | | | | | | | |
| 4.875%, due 5/15/29 | | | | | 107,000 | | | | | | 92,555 | | |
| SBA Communications Corp. | | | | | | | | | | | | | |
| 3.125%, due 2/1/29 | | | | | 124,000 | | | | | | 106,082 | | |
Uniti Group LP / Uniti Group Finance, Inc. /
CSL Capital LLC | | | | | | | | | | | | | |
| 10.500%, due 2/15/28 | | | | | 132,000 | | | | | | 126,310 | | |
| VICI Properties LP / VICI Note Co., Inc. | | | | | | | | | | | | | |
| 4.250%, due 12/1/26 | | | | | 40,000 | | | | | | 38,116 | | |
| XHR LP | | | | | | | | | | | | | |
| 4.875%, due 6/1/29 | | | | | 84,000 | | | | | | 72,904 | | |
| | | | | | | | | | | | 682,999 | | |
| Retail — 4.9% | |
| Arko Corp. | | | | | | | | | | | | | |
| 5.125%, due 11/15/29 | | | | | 62,000 | | | | | | 50,239 | | |
| Asbury Automotive Group, Inc. | | | | | | | | | | | | | |
| 4.750%, due 3/1/30 | | | | | 126,000 | | | | | | 111,823 | | |
| Bath & Body Works, Inc. | | | | | | | | | | | | | |
| 6.950%, due 3/1/33 | | | | | 207,000 | | | | | | 182,628 | | |
| Foot Locker, Inc. | | | | | | | | | | | | | |
| 4.000%, due 10/1/29 | | | | | 112,000 | | | | | | 94,755 | | |
| Group 1 Automotive, Inc. | | | | | | | | | | | | | |
| 4.000%, due 8/15/28 | | | | | 122,000 | | | | | | 108,258 | | |
| Lithia Motors, Inc. | | | | | | | | | | | | | |
| 3.875%, due 6/1/29 | | | | | 35,000 | | | | | | 30,297 | | |
| 4.375%, due 1/15/31 | | | | | 124,000 | | | | | | 106,490 | | |
| Macy’s Retail Holdings LLC | | | | | | | | | | | | | |
| 6.125%, due 3/15/32 | | | | | 99,000 | | | | | | 86,658 | | |
| Nordstrom, Inc. | | | | | | | | | | | | | |
| 4.375%, due 4/1/30 | | | | | 103,000 | | | | | | 80,552 | | |
| QVC, Inc. | | | | | | | | | | | | | |
| 4.850%, due 4/1/24 | | | | | 93,000 | | | | | | 79,800 | | |
| Sonic Automotive, Inc. | | | | | | | | | | | | | |
| 4.625%, due 11/15/29 | | | | | 112,000 | | | | | | 93,953 | | |
| 4.875%, due 11/15/31 | | | | | 94,000 | | | | | | 75,905 | | |
| White Cap Buyer LLC | | | | | | | | | | | | | |
| 6.875%, due 10/15/28 | | | | | 30,000 | | | | | | 26,015 | | |
| Yum! Brands, Inc. | | | | | | | | | | | | | |
| 4.625%, due 1/31/32 | | | | | 167,000 | | | | | | 155,723 | | |
| | | | | | | | | | | | 1,283,096 | | |
| |
See notes to financial statements.
Schedule of Investments — IQ MacKay ESG High Income ETF (continued)
| | | | Principal
Amount | | | Value | |
| Corporate Bonds (continued) | |
| Software — 1.8% | |
| MSCI, Inc. | | | | | | | | | | | | | |
| 4.000%, due 11/15/29 | | | | $ | 196,000 | | | | | $ | 176,602 | | |
| PTC, Inc. | | | | | | | | | | | | | |
| 3.625%, due 2/15/25 | | | | | 157,000 | | | | | | 151,408 | | |
| 4.000%, due 2/15/28 | | | | | 135,000 | | | | | | 125,526 | | |
| | | | | | | | | | | | 453,536 | | |
| Telecommunications — 0.8% | |
| CommScope, Inc. | | | | | | | | | | | | | |
| 4.750%, due 9/1/29 | | | | | 200,000 | | | | | | 161,509 | | |
| Level 3 Financing, Inc. | | | | | | | | | | | | | |
| 3.400%, due 3/1/27 | | | | | 70,000 | | | | | | 54,767 | | |
| | | | | | | | | | | | 216,276 | | |
| Transportation — 0.7% | |
First Student Bidco, Inc. / First Transit Parent,
Inc. | | | | | | | | | | | | | |
| 4.000%, due 7/31/29 | | | | | 223,000 | | | | | | 193,259 | | |
Total Corporate Bonds
(Cost $20,625,803) | | | | | | | | | | | 21,178,551 | | |
| Foreign Bonds — 15.8% | |
| Aerospace & Defense — 1.2% | |
| Bombardier, Inc., (Canada) | | | | | | | | | | | | | |
| 7.500%, due 2/1/29 | | | | | 36,000 | | | | | | 35,407 | | |
| 7.875%, due 4/15/27 | | | | | 288,000 | | | | | | 287,153 | | |
| | | | | | | | | | | | 322,560 | | |
| Banks — 1.5% | |
| Intesa Sanpaolo SpA, (Italy) | | | | | | | | | | | | | |
| 5.710%, due 1/15/26 | | | | | 83,000 | | | | | | 79,926 | | |
| UniCredit SpA, (Italy) | | | | | | | | | | | | | |
7.296%, (USD 5 Year Swap + 4.91%), due
4/2/34(a) | | | | | 330,000 | | | | | | 315,737 | | |
| | | | | | | | | | | | 395,663 | | |
| Beverages — 0.5% | |
| Primo Water Holdings, Inc., (Canada) | | | | | | | | | | | | | |
| 4.375%, due 4/30/29 | | | | | 137,000 | | | | | | 120,824 | | |
| Chemicals — 1.4% | |
| INEOS Quattro Finance 2 PLC, (United Kingdom) | | | | | | | | | | | | | |
| 3.375%, due 1/15/26 | | | | | 139,000 | | | | | | 127,546 | | |
| SPCM SA, (France) | | | | | | | | | | | | | |
| 3.125%, due 3/15/27 | | | | | 264,000 | | | | | | 235,726 | | |
| | | | | | | | | | | | 363,272 | | |
| Commercial Services — 0.8% | |
| Garda World Security Corp., (Canada) | | | | | | | | | | | | | |
| 4.625%, due 2/15/27 | | | | | 140,000 | | | | | | 128,602 | | |
| 9.500%, due 11/1/27 | | | | | 78,000 | | | | | | 74,747 | | |
| | | | | | | | | | | | 203,349 | | |
| Distribution/Wholesale — 0.1% | |
| Ritchie Bros Holdings, Inc., (Canada) | | | | | | | | | | | | | |
| 7.750%, due 3/15/31 | | | | | 15,000 | | | | | | 15,937 | | |
| |
| | | | Principal
Amount | | | Value | |
| Foreign Bonds (continued) | |
| Environmental Control — 0.3% | |
| GFL Environmental, Inc., (Canada) | | | | | | | | | | | | | |
| 3.500%, due 9/1/28 | | | | $ | 90,000 | | | | | $ | 81,797 | | |
| Forest Products & Paper — 0.4% | |
| Ahlstrom Holding 3 Oy, (Finland) | | | | | | | | | | | | | |
| 4.875%, due 2/4/28 | | | | | 123,000 | | | | | | 104,149 | | |
| Home Builders — 0.6% | |
| Mattamy Group Corp., (Canada) | | | | | | | | | | | | | |
| 5.250%, due 12/15/27 | | | | | 171,000 | | | | | | 159,081 | | |
| Household Products/Wares — 0.8% | |
| Kronos Acquisition Holdings, Inc. / KIk Custom Products, Inc., (Canada) | | | | | | | | | | | | | |
| 7.000%, due 12/31/27 | | | | | 130,000 | | | | | | 114,261 | | |
| Kronos Acquisition Holdings, Inc. / KIK Custom Products, Inc., (Canada) | | | | | | | | | | | | | |
| 5.000%, due 12/31/26 | | | | | 120,000 | | | | | | 111,053 | | |
| | | | | | | | | | | | 225,314 | | |
| Machinery-Diversified — 0.4% | |
| Husky III Holding Ltd., (Canada) | | | | | | | | | | | | | |
| 13.000%, due 2/15/25 | | | | | 113,000 | | | | | | 102,830 | | |
| Media — 2.4% | |
| UPC Broadband Finco BV, (Netherlands) | | | | | | | | | | | | | |
| 4.875%, due 7/15/31 | | | | | 104,000 | | | | | | 89,746 | | |
| Virgin Media Finance PLC, (United Kingdom) | | | | | | | | | | | | | |
| 5.000%, due 7/15/30 | | | | | 98,000 | | | | | | 82,582 | | |
| Virgin Media Secured Finance PLC, (United Kingdom) | | | | | | | | | | | | | |
| 5.500%, due 5/15/29 | | | | | 135,000 | | | | | | 123,958 | | |
| Virgin Media Vendor Financing Notes IV DAC, (United Kingdom) | | | | | | | | | | | | | |
| 5.000%, due 7/15/28 | | | | | 79,000 | | | | | | 70,823 | | |
| VZ Secured Financing BV, (Netherlands) | | | | | | | | | | | | | |
| 5.000%, due 1/15/32 | | | | | 114,000 | | | | | | 95,135 | | |
| Ziggo Bond Co. BV, (Netherlands) | | | | | | | | | | | | | |
| 5.125%, due 2/28/30 | | | | | 83,000 | | | | | | 67,442 | | |
| Ziggo BV, (Netherlands) | | | | | | | | | | | | | |
| 4.875%, due 1/15/30 | | | | | 101,000 | | | | | | 86,954 | | |
| | | | | | | | | | | | 616,640 | | |
| Pharmaceuticals — 0.6% | |
| Teva Pharmaceutical Finance Netherlands III BV, (Israel) | | | | | | | | | | | | | |
| 3.150%, due 10/1/26 | | | | | 90,000 | | | | | | 81,322 | | |
| 5.125%, due 5/9/29 | | | | | 90,000 | | | | | | 83,486 | | |
| | | | | | | | | | | | 164,808 | | |
| Retail — 0.7% | |
| 1011778 BC ULC / New Red Finance, Inc., (Canada) | | | | | | | | | | | | | |
| 4.000%, due 10/15/30 | | | | | 202,000 | | | | | | 176,342 | | |
| Software — 0.6% | |
| Open Text Corp., (Canada) | | | | | | | | | | | | | |
| 3.875%, due 12/1/29 | | | | | 179,000 | | | | | | 150,439 | | |
| |
See notes to financial statements.
Schedule of Investments — IQ MacKay ESG High Income ETF (continued)
| | | | Principal
Amount | | | Value | |
| Foreign Bonds (continued) | |
| Telecommunications — 3.5% | |
| Altice France SA, (France) | | | | | | | | | | | | | |
| 8.125%, due 2/1/27 | | | | $ | 197,000 | | | | | $ | 175,904 | | |
| Iliad Holding SASU, (France) | | | | | | | | | | | | | |
| 6.500%, due 10/15/26 | | | | | 100,000 | | | | | | 96,221 | | |
| 7.000%, due 10/15/28 | | | | | 150,000 | | | | | | 141,925 | | |
| Telecom Italia Capital SA, (Italy) | | | | | | | | | | | | | |
| 7.721%, due 6/4/38 | | | | | 226,000 | | | | | | 211,281 | | |
| Vmed O2 UK Financing I PLC, (United Kingdom) | | | | | | | | | | | | | |
| 4.750%, due 7/15/31 | | | | | 149,000 | | | | | | 126,969 | | |
| Vodafone Group PLC, (United Kingdom) | | | | | | | | | | | | | |
7.000%, (USD 5 Year Swap + 4.87%), due
4/4/79(a) | | | | | 148,000 | | | | | | 151,700 | | |
| | | | | | | | | | | | 904,000 | | |
Total Foreign Bonds
(Cost $4,003,725) | | | | | | | | | | | 4,107,005 | | |
| |
| | | | Shares | | | Value | |
| Short-Term Investment — 2.0% | | | | | | | | | | | | | |
| Money Market Fund — 2.0% | | | | | | | | | | | | | |
BlackRock Liquidity Funds Treasury Trust
Fund Portfolio, Institutional Class, 4.72%(b) | | | | | | | | | | | | | |
| (Cost $508,113) | | | | | 508,113 | | | | | $ | 508,113 | | |
Total Investments — 99.3%
(Cost $25,137,641) | | | | | | | | | | | 25,793,669 | | |
Other Assets and Liabilities,
Net — 0.7% | | | | | | | | | | | 191,221 | | |
| Net Assets — 100.0% | | | | | | | | | | $ | 25,984,890 | | |
(a)
Variable rate securities that may be tendered back to the issuer at any time prior to maturity at par. Rate shown is the rate in effect as of April 30, 2023.
(b)
Reflects the 7-day yield at April 30, 2023.
Abbreviations
| | CMT | | | — | | | Constant Maturity Treasury Index | |
| | SOFR | | | — | | | Secured Financing Overnight Rate | |
The following is a summary of the inputs used to value the Fund’s investments as of April 30, 2023. For more information on the valuation techniques, and their aggregation into the levels used in the table below, please refer to Note 2.
| Description | | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
| Asset Valuation Inputs | | | | | | | | | | | | | | | | | | | | | | | | | |
| Investments in Securities:(c) | | | | | | | | | | | | | | | | | | | | | | | | | |
| Corporate Bonds | | | | $ | — | | | | | $ | 21,178,551 | | | | | $ | — | | | | | $ | 21,178,551 | | |
| Foreign Bonds | | | | | — | | | | | | 4,107,005 | | | | | | — | | | | | | 4,107,005 | | |
| Short-Term Investment: | | | | | | | | | | | | | | | | | | | | | | | | | |
| Money Market Fund | | | | | 508,113 | | | | | | — | | | | | | — | | | | | | 508,113 | | |
| Total Investments in Securities | | | | $ | 508,113 | | | | | $ | 25,285,556 | | | | | $ | — | | | | | $ | 25,793,669 | | |
(c)
For a complete listing of investments and their states, see the Schedule of Investments.
For the year ended April 30, 2023 the Fund did not have any transfers into or out of Level 3 within the fair value hierarchy. (See Note 2)
See notes to financial statements.
Schedule of Investments — IQ MacKay Municipal Insured ETF
| | | | Principal
Amount | | | Value | |
| Municipal Bonds — 98.3% | |
| Alabama — 3.1% | |
Black Belt Energy Gas District, Revenue Bonds Series C-2
4.210%, (Municipal Swap Index + 0.35%), due 10/1/52(a) | | | | $ | 2,500,000 | | | | | $ | 2,409,447 | | |
City of Albertville AL, General Obligation
Bonds Series D Insured: BAM
5.000%, due 6/1/48 | | | | | 4,350,000 | | | | | | 4,679,373 | | |
Mobile County Board of School Commissioners, Special Tax
Insured: BAM
5.000%, due 3/1/26 | | | | | 1,325,000 | | | | | | 1,397,896 | | |
Series B Insured: BAM
5.000%, due 3/1/40 | | | | | 2,645,000 | | | | | | 2,906,076 | | |
| | | | | | | | | | | | 11,392,792 | | |
| Alaska — 0.4% | |
University of Alaska, Revenue Bonds
Insured: AGM-CR
5.000%, due 10/1/44 | | | | | 1,365,000 | | | | | | 1,413,885 | | |
| Arizona — 0.6% | |
Maricopa County Unified School District
No 60 Higley, Certificates of
Participation Insured: AGM
4.125%, due 6/1/42 | | | | | 500,000 | | | | | | 499,547 | | |
| 4.250%, due 6/1/47 | | | | | 1,500,000 | | | | | | 1,490,081 | | |
| | | | | | | | | | | | 1,989,628 | | |
| California — 8.7% | |
Bay Area Toll Authority, Revenue Bonds
Series A
2.700%, due 4/1/55(a)(b) | | | | | 2,500,000 | | | | | | 2,500,000 | | |
California Health Facilities Financing Authority, Revenue Bonds
5.000%, due 11/15/49 | | | | | 1,850,000 | | | | | | 1,894,184 | | |
City of Long Beach CA Airport System Revenue, Revenue Bonds
Series C Insured: AGM
5.000%, due 6/1/42 | | | | | 1,000,000 | | | | | | 1,064,378 | | |
City of San Mateo CA, Special Tax
Insured: BAM
5.250%, due 9/1/37 | | | | | 4,460,000 | | | | | | 4,961,755 | | |
Coast Community College District, General Obligation Bonds
Insured: AGM
2.800%, due 8/1/26(c) | | | | | 930,000 | | | | | | 849,524 | | |
Fontana Unified School District, General
Obligation Bonds Insured: AGM
2.375%, due 8/1/44 | | | | | 2,500,000 | | | | | | 1,780,797 | | |
Foothill-De Anza Community College District, General Obligation Bonds
Insured: NATL-IBC FGIC
2.910%, due 8/1/29(c) | | | | | 1,050,000 | | | | | | 876,356 | | |
Grossmont Union High School District, General Obligation Bonds
Series F Insured: AGM
3.500%, due 8/1/34(c) | | | | | 2,445,000 | | | | | | 1,447,009 | | |
Indian Wells Redevelopment Agency Successor Agency, Tax Allocation
Series A Insured: NATL
5.000%, due 9/1/33 | | | | | 1,140,000 | | | | | | 1,223,186 | | |
Indio Finance Authority, Revenue Bonds
Series A Insured: BAM
5.250%, due 11/1/42 | | | | | 1,500,000 | | | | | | 1,690,948 | | |
Kelseyville Unified School District, General Obligation Bonds
Series C Insured: AGM
3.400%, due 8/1/31(c) | | | | | 155,000 | | | | | | 116,818 | | |
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| California (continued) | |
Ontario Montclair School District, General Obligation Bonds
Series B Insured: NATL
3.230%, due 8/1/29(c) | | | | $ | 390,000 | | | | | $ | 319,158 | | |
Poway Unified School District, Special Tax Insured: BAM
4.125%, due 9/1/47 | | | | | 100,000 | | | | | | 100,156 | | |
Riverbank Unified School District, General Obligation Bonds
Series B Insured: AGC
4.640%, due 8/1/48(c) | | | | | 50,000 | | | | | | 15,706 | | |
Sacramento City Financing Authority, Tax Allocation Series A Insured: NATL
3.500%, due 12/1/23(c) | | | | | 4,945,000 | | | | | | 4,845,205 | | |
Sacramento City Unified School District, General Obligation Bonds Insured: AGM
3.390%, due 7/1/24(c) | | | | | 310,000 | | | | | | 298,022 | | |
Series A Insured: BAM
5.000%, due 8/1/41 | | | | | 1,865,000 | | | | | | 2,059,202 | | |
Sweetwater Union High School District, General Obligation Bonds
4.000%, due 8/1/42 | | | | | 965,000 | | | | | | 943,521 | | |
Vista Unified School District, General Obligation Bonds
Series B Insured: BAM
5.250%, due 8/1/41 | | | | | 3,000,000 | | | | | | 3,424,806 | | |
Washington Unified School District/Yolo
County CA, General Obligation Bonds | | | |
Series A Insured: NATL
3.260%, due 8/1/26(c) | | | | | 1,100,000 | | | | | | 990,137 | | |
| | | | | | | | | | | | 31,400,868 | | |
| Colorado — 3.0% | |
BNC Metropolitan District No 1, General
Obligation Bonds
Series A Insured: BAM
5.000%, due 12/1/37 | | | | | 395,000 | | | | | | 425,771 | | |
Castle Oaks Metropolitan District No 3, General Obligation Bonds
Insured: AGM
4.000%, due 12/1/45 | | | | | 3,000,000 | | | | | | 2,898,258 | | |
Crystal Valley Metropolitan District No 2,
General Obligation Bonds
Series A Insured: AGM
4.000%, due 12/1/44 | | | | | 1,700,000 | | | | | | 1,628,486 | | |
Gold Hill Mesa Metropolitan District No 2,
General Obligation Bonds
Series A Insured: BAM
5.500%, due 12/1/47 | | | | | 600,000 | | | | | | 657,691 | | |
Grand Junction Regional Airport Authority, Revenue Bonds
Series A Insured: NATL
5.000%, due 12/1/26 | | | | | 500,000 | | | | | | 533,371 | | |
Grand River Hospital District, General Obligation Bonds Insured: AGM
5.250%, due 12/1/37 | | | | | 425,000 | | | | | | 449,282 | | |
Northern Colorado Water Conservancy
District, Certificates of Participation
5.000%, due 7/1/42 | | | | | 625,000 | | | | | | 685,847 | | |
Park 70 Metropolitan District, General Obligation Bonds
5.000%, due 12/1/46 | | | | | 450,000 | | | | | | 454,576 | | |
Park Creek Metropolitan District, Revenue Bonds
Series A Insured: AGM
4.000%, due 12/1/46 | | | | | 3,255,000 | | | | | | 3,112,215 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Municipal Insured ETF (continued)
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Colorado (continued) | |
Vauxmont Metropolitan District, General
Obligation Bonds Insured: AGM
5.000%, due 12/15/31 | | | | $ | 135,000 | | | | | $ | 143,059 | | |
| | | | | | | | | | | | 10,988,556 | | |
| Connecticut — 0.7% | |
City of Hartford CT, General Obligation Bonds Series A Insured: AGM
4.000%, due 7/1/34 | | | | | 25,000 | | | | | | 25,494 | | |
| 5.000%, due 7/1/24 | | | | | 20,000 | | | | | | 20,423 | | |
| 5.000%, due 7/1/27 | | | | | 60,000 | | | | | | 62,915 | | |
| Series B Insured: AGM | | | |
| 5.000%, due 10/1/23 | | | | | 15,000 | | | | | | 15,106 | | |
| Series C Insured: AGM | | | |
| 5.000%, due 7/15/32 | | | | | 20,000 | | | | | | 21,007 | | |
City of New Britain CT, General Obligation Bonds
Series B Insured: AGM
5.250%, due 9/1/30 | | | | | 100,000 | | | | | | 111,713 | | |
City of New Haven CT, General Obligation Bonds
Series A Insured: AGM
5.000%, due 8/1/28 | | | | | 1,000,000 | | | | | | 1,025,359 | | |
| 5.000%, due 8/1/39 | | | | | 1,100,000 | | | | | | 1,175,230 | | |
| | | | | | | | | | | | 2,457,247 | | |
| District of Columbia — 0.7% | |
Metropolitan Washington Airports Authority Dulles Toll Road Revenue, Revenue Bonds Insured: BAM-TCRS
4.450%, due 10/1/37(c) | | | | | 1,500,000 | | | | | | 794,644 | | |
| Series B Insured: AGM | | | |
| 4.000%, due 10/1/53 | | | | | 2,000,000 | | | | | | 1,916,218 | | |
| | | | | | | | | | | | 2,710,862 | | |
| Florida — 3.2% | |
County of Miami-Dade Seaport Department, Revenue Bonds
Series A-2 Insured: AGM
3.000%, due 10/1/50 | | | | | 4,685,000 | | | | | | 3,412,066 | | |
County of Pasco FL, Revenue Bonds
Insured: AGM
5.250%, due 9/1/28 | | | | | 1,000,000 | | | | | | 1,106,605 | | |
| 5.250%, due 9/1/29 | | | | | 1,000,000 | | | | | | 1,125,424 | | |
Fort Pierce Utilities Authority, Revenue Bonds Series A Insured: AGM
5.000%, due 10/1/41 | | | | | 500,000 | | | | | | 554,284 | | |
| 5.000%, due 10/1/42 | | | | | 400,000 | | | | | | 443,635 | | |
Miami-Dade County Expressway Authority, Revenue Bonds
Insured: BAM-TCRS
5.000%, due 7/1/26 | | | | | 3,180,000 | | | | | | 3,236,318 | | |
School Board of Miami-Dade County (The), General Obligation Bonds
Series A
5.000%, due 3/15/39 | | | | | 1,645,000 | | | | | | 1,709,368 | | |
| | | | | | | | | | | | 11,587,700 | | |
| Georgia — 0.6% | |
DeKalb, Newton & Gwinnett Counties
Joint Development Authority,
Revenue Bonds Series A Insured: AGM
5.000%, due 7/1/39 | | | | | 2,250,000 | | | | | | 2,252,433 | | |
| |
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Idaho — 0.5% | |
Idaho Housing & Finance Association, Revenue Bonds
Insured: SCH BD GTY
5.000%, due 5/1/52 | | | | $ | 1,000,000 | | | | | $ | 1,016,701 | | |
| 5.250%, due 5/1/42 | | | | | 800,000 | | | | | | 850,387 | | |
| | | | | | | | | | | | 1,867,088 | | |
| Illinois — 22.5% | |
Boone, Mchenry & Dekalb Counties Community Unit School District 100, General Obligation Bonds
Insured: BHAC-CR NATL
3.420%, due 12/1/23(c) | | | | | 395,000 | | | | | | 387,192 | | |
Chicago Board of Education, General Obligation Bonds
Series A Insured: AGC-ICC FGIC
5.500%, due 12/1/26 | | | | | 1,575,000 | | | | | | 1,676,892 | | |
Series A Insured: AGM
5.000%, due 12/1/31 | | | | | 500,000 | | | | | | 537,643 | | |
Chicago Board of Education Dedicated
Capital Improvement Tax, Revenue
Bonds
5.250%, due 4/1/35 | | | | | 2,750,000 | | | | | | 3,054,782 | | |
Chicago O’Hare International Airport, Revenue Bonds
Series A Insured: AGM
5.250%, due 1/1/45 | | | | | 3,585,000 | | | | | | 3,845,594 | | |
Chicago Park District, General Obligation Bonds
Series E Insured: BAM
4.000%, due 11/15/32 | | | | | 1,000,000 | | | | | | 1,026,781 | | |
Chicago Transit Authority Sales Tax Receipts Fund, Revenue Bonds
Insured: BAM-TCRS
4.000%, due 12/1/50 | | | | | 4,750,000 | | | | | | 4,596,881 | | |
City of Calumet City IL, General Obligation Bonds
Series A Insured: AGM
4.500%, due 3/1/43 | | | | | 1,000,000 | | | | | | 997,383 | | |
City of Chicago IL, General Obligation Bonds Series A
4.000%, due 1/1/35 | | | | | 775,000 | | | | | | 762,910 | | |
| 4.000%, due 1/1/36 | | | | | 2,500,000 | | | | | | 2,408,861 | | |
City of Chicago IL Wastewater
Transmission Revenue, Revenue Bonds
Series A Insured: NATL
3.570%, due 1/1/27(c) | | | | | 1,300,000 | | | | | | 1,141,600 | | |
City of Chicago IL Waterworks Revenue,
Revenue Bonds Insured: BAM-TCRS
5.000%, due 11/1/44 | | | | | 3,220,000 | | | | | | 3,252,392 | | |
City of Decatur IL, General Obligation Bonds Insured: BAM
4.000%, due 3/1/40 | | | | | 2,705,000 | | | | | | 2,711,490 | | |
| 4.000%, due 3/1/42 | | | | | 3,000,000 | | | | | | 2,996,269 | | |
City of Joliet IL, General Obligation Bonds Insured: BAM
5.500%, due 12/15/44 | | | | | 3,805,000 | | | | | | 4,276,594 | | |
City of Kankakee IL, General Obligation
Bonds Series A Insured: BAM
4.000%, due 1/1/35 | | | | | 715,000 | | | | | | 738,777 | | |
City of Rock Island IL, General Obligation
Bonds Insured: BAM
4.000%, due 12/1/36 | | | | | 1,435,000 | | | | | | 1,457,360 | | |
City of Waukegan IL, General Obligation
Bonds Series A Insured: BAM
4.000%, due 12/30/36 | | | | | 1,015,000 | | | | | | 1,041,275 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Municipal Insured ETF (continued)
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Illinois (continued) | |
Cook County Township High School District No 220 Reavis, General Obligation Bonds Insured: BAM
4.000%, due 6/1/40 | | | | $ | 1,250,000 | | | | | $ | 1,214,524 | | |
County of Cook IL Sales Tax Revenue, Revenue Bonds
Series A Insured: BAM
4.000%, due 11/15/40 | | | | | 780,000 | | | | | | 768,898 | | |
Crawford Hospital District, General Obligation Bonds Insured: AGM
4.000%, due 1/1/34 | | | | | 675,000 | | | | | | 700,895 | | |
Illinois Sports Facilities Authority (The), Revenue Bonds Insured: AMBAC
4.250%, due 6/15/23(c) | | | | | 500,000 | | | | | | 497,327 | | |
La Salle County Community Unit School
District No 2 Serena, General
Obligation Bonds Insured: BAM
5.500%, due 12/1/38 | | | | | 1,825,000 | | | | | | 2,090,544 | | |
| 5.500%, due 10/1/42 | | | | | 1,260,000 | | | | | | 1,426,115 | | |
Macon County School District No 61 Decatur, General Obligation Bonds
Insured: AGM
5.000%, due 12/1/40 | | | | | 1,305,000 | | | | | | 1,370,987 | | |
Madison County Community Unit School
District No 7 Edwardsville, General
Obligation Bonds Insured: BAM
5.000%, due 12/1/30 | | | | | 275,000 | | | | | | 288,588 | | |
Madison-Macoupin Etc Counties Community College District No 536, General Obligation Bonds
Series A Insured: AGM
5.000%, due 11/1/32 | | | | | 225,000 | | | | | | 240,302 | | |
Metropolitan Pier & Exposition Authority,
Revenue Bonds Insured: AGM
4.720%, due 6/15/45(c) | | | | | 720,000 | | | | | | 256,668 | | |
Northern Illinois University, Revenue Bonds Insured: BAM
4.000%, due 10/1/32 | | | | | 500,000 | | | | | | 514,174 | | |
| 4.000%, due 10/1/37 | | | | | 550,000 | | | | | | 540,423 | | |
| 4.000%, due 10/1/39 | | | | | 425,000 | | | | | | 402,973 | | |
| 4.000%, due 10/1/40 | | | | | 400,000 | | | | | | 374,213 | | |
| 4.000%, due 10/1/41 | | | | | 400,000 | | | | | | 372,467 | | |
| Series B Insured: BAM | | | | | | | | | | | | | |
| 4.000%, due 4/1/37 | | | | | 1,425,000 | | | | | | 1,409,763 | | |
Sales Tax Securitization Corp., Revenue Bonds Series C Insured: BAM-TCRS
5.250%, due 1/1/48 | | | | | 2,500,000 | | | | | | 2,640,361 | | |
Sangamon & Christian Counties
Community Unit School District No 3A
Rochester, General Obligation Bonds
Insured: BAM
5.500%, due 2/1/47 | | | | | 1,590,000 | | | | | | 1,752,856 | | |
Sangamon & Morgan Counties
Community Unit School District No 16
New Berlin, General Obligation Bonds
Series A Insured: AGM
5.000%, due 12/1/43 | | | | | 1,440,000 | | | | | | 1,543,705 | | |
| 5.000%, due 12/1/46 | | | | | 1,800,000 | | | | | | 1,916,542 | | |
Sangamon County School District
No 186 Springfield, General Obligation Bonds Insured: AGM
4.000%, due 2/1/29 | | | | | 3,000,000 | | | | | | 3,188,011 | | |
Southern Illinois University, Revenue Bonds Insured: BAM
4.000%, due 4/1/40 | | | | | 1,000,000 | | | | | | 944,291 | | |
| Series A Insured: NATL | | | | | | | | | | | | | |
4.330%, due 4/1/25(c) | | | | | 390,000 | | | | | | 359,198 | | |
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Illinois (continued) | |
State of Illinois, General Obligation Bonds
5.750%, due 5/1/45 | | | | $ | 1,000,000 | | | | | $ | 1,095,005 | | |
Insured: BAM
4.000%, due 6/1/41 | | | | | 3,300,000 | | | | | | 3,200,664 | | |
Insured: NATL
6.000%, due 11/1/26 | | | | | 500,000 | | | | | | 526,558 | | |
Town of Cicero IL, General Obligation Bonds Insured: BAM
5.000%, due 1/1/30 | | | | | 475,000 | | | | | | 510,167 | | |
Union Alexander Massac Pulaski Etc Counties Community College District No 531, General Obligation Bonds
Series A Insured: BAM
5.000%, due 12/1/24 | | | | | 1,115,000 | | | | | | 1,142,968 | | |
Village of Bourbonnais IL, General Obligation Bonds Insured: AGM
4.000%, due 12/1/32 | | | | | 520,000 | | | | | | 544,026 | | |
Village of McCook IL, General Obligation Bonds
Series A Insured: AGM
5.000%, due 12/1/25 | | | | | 1,575,000 | | | | | | 1,646,831 | | |
| Series B Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 12/1/26 | | | | | 1,875,000 | | | | | | 1,977,960 | | |
Will County Community Unit School District No 201-U Crete-Monee, General Obligation Bonds
Series 201-U Insured: AGM
5.250%, due 9/1/42 | | | | | 3,735,000 | | | | | | 4,099,150 | | |
Will County School District No 114 Manhattan, General Obligation Bonds Insured: BAM
5.500%, due 1/1/45 | | | | | 3,765,000 | | | | | | 4,253,087 | | |
Williamson County Community Unit School District No 1 Johnston City, General Obligation Bonds
Insured: AGM
3.500%, due 12/1/26(c) | | | | | 590,000 | | | | | | 520,913 | | |
3.610%, due 12/1/25(c) | | | | | 590,000 | | | | | | 537,761 | | |
| | | | | | | | | | | | 81,779,591 | | |
| Indiana — 0.9% | |
Evansville Waterworks District, Revenue Bonds Series A Insured: BAM
4.250%, due 1/1/49 | | | | | 1,000,000 | | | | | | 1,002,674 | | |
| 5.000%, due 7/1/47 | | | | | 2,000,000 | | | | | | 2,158,171 | | |
| | | | | | | | | | | | 3,160,845 | | |
| Iowa — 3.5% | |
Burlington Community School District
Infrastructure Sales Services & Use Tax,
Revenue Bonds Insured: BAM
4.000%, due 6/1/41 | | | | | 1,940,000 | | | | | | 1,913,424 | | |
City of Orange City IA Water Revenue, Revenue Bonds
Series B Insured: AGM
4.000%, due 6/1/37 | | | | | 650,000 | | | | | | 654,564 | | |
| 4.250%, due 6/1/42 | | | | | 1,165,000 | | | | | | 1,173,087 | | |
Clinton Community School District
Infrastructure Sales Services & Use Tax,
Revenue Bonds Insured: AGM
4.000%, due 7/1/41 | | | | | 2,100,000 | | | | | | 2,070,756 | | |
College Community School District
Infrastructure Sales Services & Use Tax,
Revenue Bonds Insured: BAM
4.000%, due 6/1/41 | | | | | 750,000 | | | | | | 736,547 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Municipal Insured ETF (continued)
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Iowa (continued) | |
Jesup Community School District, General Obligation Bonds
Insured: AGM
3.000%, due 6/1/31 | | | | $ | 580,000 | | | | | $ | 581,805 | | |
| 3.250%, due 6/1/32 | | | | | 600,000 | | | | | | 606,908 | | |
| 3.375%, due 6/1/33 | | | | | 620,000 | | | | | | 630,321 | | |
| 4.000%, due 6/1/40 | | | | | 805,000 | | | | | | 797,612 | | |
| 4.000%, due 6/1/41 | | | | | 835,000 | | | | | | 827,367 | | |
| 4.000%, due 6/1/42 | | | | | 870,000 | | | | | | 855,661 | | |
Sioux City Community School District
Infrastructure Sales Services & Use Tax,
Revenue Bonds Insured: BAM
3.000%, due 10/1/23 | | | | | 840,000 | | | | | | 838,495 | | |
West Delaware County Community School District Sales & Services Tax Revenue, Revenue Bonds
Insured: BAM
4.125%, due 6/1/41 | | | | | 325,000 | | | | | | 325,039 | | |
| 5.000%, due 6/1/26 | | | | | 170,000 | | | | | | 180,172 | | |
| 5.000%, due 6/1/27 | | | | | 350,000 | | | | | | 378,380 | | |
| | | | | | | | | | | | 12,570,138 | | |
| Kentucky — 1.1% | |
Kentucky Bond Development Corp., Revenue Bonds Insured: BAM
5.000%, due 9/1/38 | | | | | 1,045,000 | | | | | | 1,147,217 | | |
| 5.000%, due 9/1/49 | | | | | 1,000,000 | | | | | | 1,074,991 | | |
Kentucky Economic Development Finance Authority, Revenue Bonds
Series A Insured: AGM
4.000%, due 6/1/37 | | | | | 500,000 | | | | | | 481,837 | | |
Louisville & Jefferson County Visitors and
Convention Commission, Revenue
Bonds Insured: BAM
4.000%, due 6/1/36 | | | | | 100,000 | | | | | | 101,691 | | |
Woodford County School District Finance Corp., Revenue Bonds
Series A Insured: BAM
6.000%, due 8/1/28 | | | | | 1,040,000 | | | | | | 1,204,543 | | |
| | | | | | | | | | | | 4,010,279 | | |
| Louisiana — 0.3% | |
City of Shreveport LA Water & Sewer Revenue, Revenue Bonds
Insured: BAM
5.000%, due 12/1/25 | | | | | 535,000 | | | | | | 560,484 | | |
Series C Insured: BAM
5.000%, due 12/1/31 | | | | | 500,000 | | | | | | 542,126 | | |
| 5.000%, due 12/1/32 | | | | | 125,000 | | | | | | 135,428 | | |
| | | | | | | | | | | | 1,238,038 | | |
| Maine — 0.7% | |
Finance Authority of Maine, Revenue Bonds Series A-1 Insured: AGC
5.000%, due 12/1/26 | | | | | 150,000 | | | | | | 157,978 | | |
Maine Health & Higher Educational Facilities Authority, Revenue Bonds
Insured: AGM State Aid Withholding
5.500%, due 7/1/40 | | | | | 1,180,000 | | | | | | 1,332,977 | | |
| 5.500%, due 7/1/42 | | | | | 1,000,000 | | | | | | 1,119,642 | | |
| | | | | | | | | | | | 2,610,597 | | |
| Massachusetts — 0.2% | |
Commonwealth of Massachusetts, General Obligation Bonds Series A Insured: NATL 3.795%, (3-Month
LIBOR + 0.57%), due 5/1/37(a) | | | | | 85,000 | | | | | | 82,863 | | |
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Massachusetts (continued) | |
Commonwealth of Massachusetts, Revenue Bonds Insured: NATL
5.500%, due 1/1/25 | | | | $ | 580,000 | | | | | $ | 600,749 | | |
| | | | | | | | | | | | 683,612 | | |
| Michigan — 0.7% | |
Grand Rapids Public Schools, General Obligation Bonds Insured: AGM
5.000%, due 11/1/25 | | | | | 785,000 | | | | | | 820,626 | | |
Wayne County Airport Authority, Revenue Bonds Series B
5.000%, due 12/1/46 | | | | | 1,790,000 | | | | | | 1,876,835 | | |
| | | | | | | | | | | | 2,697,461 | | |
| Mississippi — 0.1% | |
Mississippi Development Bank, Revenue
Bonds Insured: BAM
5.250%, due 10/1/38 | | | | | 460,000 | | | | | | 501,190 | | |
| Missouri — 1.9% | |
Hazelwood School District, General Obligation Bonds
Series A Insured: BAM
5.000%, due 3/1/38 | | | | | 2,925,000 | | | | | | 3,297,518 | | |
Hickman Mills C-1 School District, General Obligation Bonds Insured: BAM
5.750%, due 3/1/41 | | | | | 1,960,000 | | | | | | 2,231,186 | | |
Wright City R-II School District, General Obligation Bonds Insured: AGM
6.000%, due 3/1/42 | | | | | 1,000,000 | | | | | | 1,207,075 | | |
| | | | | | | | | | | | 6,735,779 | | |
| Nebraska — 0.1% | |
Ashland-Greenwood Public Schools, General Obligation Bonds Insured: AGM
4.000%, due 12/15/34 | | | | | 490,000 | | | | | | 523,515 | | |
| Nevada — 0.4% | |
City of Reno NV, Revenue Bonds Series A-1 Insured: AGM
4.000%, due 6/1/46 | | | | | 1,150,000 | | | | | | 1,077,175 | | |
| 5.000%, due 6/1/32 | | | | | 265,000 | | | | | | 283,325 | | |
| | | | | | | | | | | | 1,360,500 | | |
| New Jersey — 4.3% | |
Berlin Borough School District, General Obligation Bonds Insured: AGM SCH BD RES FD
4.000%, due 3/1/39 | | | | | 1,210,000 | | | | | | 1,225,662 | | |
| 4.000%, due 3/1/40 | | | | | 1,255,000 | | | | | | 1,265,496 | | |
| 4.000%, due 3/1/41 | | | | | 1,310,000 | | | | | | 1,318,023 | | |
| 4.000%, due 3/1/42 | | | | | 1,360,000 | | | | | | 1,364,047 | | |
City of Union City NJ, General Obligation
Bonds Insured: AGM
0.050%, due 8/1/24 | | | | | 540,000 | | | | | | 508,752 | | |
Kenilworth School District, General Obligation Bonds Insured: BAM SCH BD RES FD
4.000%, due 8/15/39 | | | | | 1,020,000 | | | | | | 1,028,462 | | |
| 4.250%, due 8/15/45 | | | | | 1,450,000 | | | | | | 1,464,938 | | |
New Jersey Building Authority, Revenue Bonds Series A Insured: BAM
5.000%, due 6/15/25 | | | | | 1,500,000 | | | | | | 1,555,695 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Municipal Insured ETF (continued)
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| New Jersey (continued) | |
New Jersey Transportation Trust Fund Authority, Revenue Bonds Series C Insured: BHAC-CR MBIA
2.670%, due 12/15/27(c) | | | | $ | 810,000 | | | | | $ | 716,397 | | |
| Series C Insured: BHAC-CR NATL | | | | | | | | | | | | | |
2.820%, due 12/15/30(c) | | | | | 300,000 | | | | | | 242,272 | | |
North Hudson Sewerage Authority,
Revenue Bonds Series A Insured: NATL
3.110%, due 8/1/25(c) | | | | | 1,450,000 | | | | | | 1,352,418 | | |
South Jersey Transportation Authority, Revenue Bonds Insured: BAM
5.000%, due 11/1/36 | | | | | 500,000 | | | | | | 561,052 | | |
| 5.000%, due 11/1/37 | | | | | 500,000 | | | | | | 555,986 | | |
| 5.250%, due 11/1/52 | | | | | 2,250,000 | | | | | | 2,454,266 | | |
| | | | | | | | | | | | 15,613,466 | | |
| New York — 5.7% | |
Amherst Development Corp., Revenue Bonds Insured: BAM
4.000%, due 10/1/42 | | | | | 3,905,000 | | | | | | 3,760,239 | | |
Canton Central School District, General
Obligation Bonds Insured: AGM State
Aid Withholding
4.000%, due 6/15/28 | | | | | 955,000 | | | | | | 1,015,500 | | |
City of Long Beach NY, General Obligation Bonds Series B Insured: BAM
5.250%, due 7/15/35 | | | | | 400,000 | | | | | | 447,515 | | |
| 5.250%, due 7/15/36 | | | | | 300,000 | | | | | | 331,696 | | |
| 5.250%, due 7/15/37 | | | | | 325,000 | | | | | | 356,441 | | |
| 5.250%, due 7/15/42 | | | | | 1,800,000 | | | | | | 1,924,189 | | |
City of New York NY, General Obligation
Bonds Series A-1 Insured: BAM-TCRS
4.000%, due 8/1/44 | | | | | 1,085,000 | | | | | | 1,080,137 | | |
City of Yonkers NY, General Obligation Bonds Series G Insured: BAM
5.000%, due 11/15/26 | | | | | 335,000 | | | | | | 360,886 | | |
County of Nassau NY, General Obligation Bonds Series A Insured: AGM
4.125%, due 4/1/47 | | | | | 3,525,000 | | | | | | 3,471,696 | | |
Metropolitan Transportation Authority, Revenue Bonds Series A-1
4.000%, due 11/15/46 | | | | | 600,000 | | | | | | 562,772 | | |
| 5.000%, due 11/15/29 | | | | | 500,000 | | | | | | 518,634 | | |
| Series B Insured: AMBAC | | | | | | | | | | | | | |
| 5.250%, due 11/15/23 | | | | | 1,250,000 | | | | | | 1,258,439 | | |
| Series E | | | | | | | | | | | | | |
| 4.000%, due 11/15/45 | | | | | 450,000 | | | | | | 424,551 | | |
New York City Industrial Development
Agency, Revenue Bonds Insured: NATL
5.845%, due 3/1/24(a)(b) | | | | | 1,500,000 | | | | | | 1,526,746 | | |
| Series A Insured: AGM | | | | | | | | | | | | | |
| 3.000%, due 3/1/49 | | | | | 1,265,000 | | | | | | 938,875 | | |
New York Liberty Development Corp., Revenue Bonds Insured: BAM-TCRS
4.000%, due 2/15/43 | | | | | 1,480,000 | | | | | | 1,463,683 | | |
New York State Dormitory Authority,
Revenue Bonds Series A Insured: AGM
4.000%, due 10/1/36 | | | | | 5,000 | | | | | | 5,382 | | |
Oneida County Local Development Corp., Revenue Bonds Series A Insured: AGM
3.000%, due 12/1/44 | | | | | 405,000 | | | | | | 304,147 | | |
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| New York (continued) | |
Port Authority of New York & New Jersey,
Revenue Bonds Series 231
5.500%, due 8/1/52 | | | | $ | 765,000 | | | | | $ | 847,496 | | |
| | | | | | | | | | | | 20,599,024 | | |
| North Carolina — 3.0% | |
Charlotte-Mecklenburg Hospital Authority (The), Revenue Bonds Series H
3.500%, due 1/15/48(a)(b) | | | | | 2,975,000 | | | | | | 2,975,000 | | |
| Greater Asheville Regional Airport Authority, Revenue Bonds | | | |
| Series A Insured: AGM | | | | | | | | | | | | | |
| 5.250%, due 7/1/41 | | | | | 3,250,000 | | | | | | 3,520,571 | | |
North Carolina Eastern Municipal Power
Agency, Revenue Bonds Series B
Insured: NATL
6.000%, due 1/1/25 | | | | | 1,000,000 | | | | | | 1,045,957 | | |
North Carolina Turnpike Authority, Revenue Bonds Insured: AGM
5.000%, due 1/1/49 | | | | | 3,325,000 | | | | | | 3,457,513 | | |
| | | | | | | | | | | | 10,999,041 | | |
| Ohio — 3.1% | |
City of Toledo OH, General Obligation Bonds Insured: AGM
5.500%, due 12/1/42 | | | | | 3,000,000 | | | | | | 3,405,812 | | |
Cloverleaf Local School District, Certificates of Participation Insured: BAM
5.375%, due 12/1/39 | | | | | 1,780,000 | | | | | | 1,927,133 | | |
| 5.500%, due 12/1/42 | | | | | 955,000 | | | | | | 1,034,335 | | |
County of Cuyahoga OH, Revenue Bonds
5.000%, due 2/15/28 | | | | | 500,000 | | | | | | 519,646 | | |
| Green Local School District/Summit County, Certificates of Participation | | | |
| Insured: AGM | | | |
| 5.500%, due 11/1/47 | | | | | 3,000,000 | | | | | | 3,310,640 | | |
State of Ohio, General Obligation Bonds
Series B
5.000%, due 8/1/24 | | | | | 1,065,000 | | | | | | 1,091,421 | | |
| | | | | | | | | | | | 11,288,987 | | |
| Oregon — 0.6% | |
City of Seaside OR Transient Lodging Tax
Revenue, Revenue Bonds | | | |
| Insured: AGM | | | |
| 5.000%, due 12/15/37 | | | | | 400,000 | | | | | | 433,017 | | |
Multnomah County School District No 1 Portland, General Obligation Bonds
Series J Insured: SCH BD GTY
5.000%, due 6/15/24 | | | | | 1,655,000 | | | | | | 1,692,163 | | |
| | | | | | | | | | | | 2,125,180 | | |
| Pennsylvania — 6.3% | |
Bucks County Industrial Development Authority, Revenue Bonds
Insured: AGM-CR
4.000%, due 8/15/44 | | | | | 1,030,000 | | | | | | 1,019,897 | | |
City of Philadelphia PA Airport Revenue,
Revenue Bonds Insured: AGM
4.000%, due 7/1/39 | | | | | 1,335,000 | | | | | | 1,314,563 | | |
Coatesville School District, General Obligation Bonds
Insured: AGM State Aid Withholding
5.000%, due 8/1/25 | | | | | 300,000 | | | | | | 313,501 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Municipal Insured ETF (continued)
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Pennsylvania (continued) | |
County of Luzerne PA, General Obligation Bonds
Series A Insured: AGM
5.000%, due 11/15/24 | | | | $ | 2,480,000 | | | | | $ | 2,547,569 | | |
Delaware Valley Regional Finance Authority, Revenue Bonds
Series B Insured: AMBAC
5.700%, due 7/1/27 | | | | | 1,000,000 | | | | | | 1,107,697 | | |
Erie Sewer Authority, Revenue Bonds
Series B Insured: AGM
5.000%, due 12/1/35 | | | | | 460,000 | | | | | | 517,400 | | |
Indiana County Industrial Development Authority, Revenue Bonds
Insured: BAM
5.000%, due 5/1/31 | | | | | 870,000 | | | | | | 968,332 | | |
| 5.000%, due 5/1/33 | | | | | 575,000 | | | | | | 637,662 | | |
Mckeesport Area School District, General Obligation Bonds
Series C Insured: AMBAC State Aid Withholding
3.690%, due 10/1/25(c) | | | | | 1,100,000 | | | | | | 1,006,842 | | |
Pennsylvania Economic Development Financing Authority, Revenue Bonds
Insured: AGM
5.500%, due 6/30/42 | | | | | 3,000,000 | | | | | | 3,317,885 | | |
Pennsylvania Higher Educational
Facilities Authority, Revenue Bonds
Series A Insured: AGC
4.068%, (3-Month LIBOR + 0.60%), due
7/1/27(a) | | | | | 135,000 | | | | | | 132,784 | | |
Pennsylvania Turnpike Commission, Revenue Bonds
Series A Insured: BAM
5.000%, due 12/1/44 | | | | | 1,595,000 | | | | | | 1,700,783 | | |
| Series B-2 Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 6/1/35 | | | | | 1,000,000 | | | | | | 1,077,097 | | |
Pittsburgh Water & Sewer Authority, Revenue Bonds Insured: AGM
5.000%, due 9/1/37 | | | | | 1,350,000 | | | | | | 1,511,597 | | |
| 5.000%, due 9/1/38 | | | | | 1,420,000 | | | | | | 1,583,053 | | |
School District of Philadelphia (The), General Obligation Bonds
Series F Insured: BAM
5.000%, due 9/1/27 | | | | | 5,000 | | | | | | 5,377 | | |
Sports & Exhibition Authority of Pittsburgh
and Allegheny County, Revenue
Bonds Insured: AGM
5.000%, due 2/1/31 | | | | | 1,165,000 | | | | | | 1,315,546 | | |
State Public School Building Authority, Revenue Bonds Insured: BAM
5.000%, due 10/1/27 | | | | | 375,000 | | | | | | 408,981 | | |
| 5.250%, due 10/1/44 | | | | | 1,205,000 | | | | | | 1,307,283 | | |
Westmoreland County Municipal Authority, Revenue Bonds
Insured: BAM
5.000%, due 8/15/38 | | | | | 1,115,000 | | | | | | 1,151,668 | | |
| | | | | | | | | | | | 22,945,517 | | |
| Puerto Rico — 0.1% | |
Puerto Rico Electric Power Authority, Revenue Bonds
Series PP Insured: NATL
5.000%, due 7/1/24 | | | | | 25,000 | | | | | | 25,021 | | |
| Series UU Insured: AGM | | | | | | | | | | | | | |
3.988%, (3-Month LIBOR + 0.52%), due
7/1/29(a) | | | | | 510,000 | | | | | | 465,807 | | |
| | | | | | | | | | | | 490,828 | | |
| |
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| South Carolina — 1.5% | |
| South Carolina Public Service Authority, Revenue Bonds Insured: AGM | | | |
| 5.250%, due 12/1/37 | | | | $ | 2,000,000 | | | | | $ | 2,254,336 | | |
| 5.750%, due 12/1/52 | | | | | 600,000 | | | | | | 671,859 | | |
Spartanburg County School District No 4,
General Obligation Bonds | | | |
| Insured: SCSDE | | | |
| 5.000%, due 3/1/42 | | | | | 2,205,000 | | | | | | 2,457,529 | | |
| | | | | | | | | | | | 5,383,724 | | |
| South Dakota — 2.6% | |
Baltic School District No 49-1, General Obligation Bonds Insured: AGM
5.250%, due 12/1/47 | | | | | 1,780,000 | | | | | | 1,968,228 | | |
| 5.500%, due 12/1/51 | | | | | 3,080,000 | | | | | | 3,442,749 | | |
City of Brandon SD Water Utility Revenue, Revenue Bonds Insured: BAM
4.250%, due 8/1/42 | | | | | 1,470,000 | | | | | | 1,490,264 | | |
| 5.500%, due 8/1/47 | | | | | 1,000,000 | | | | | | 1,148,760 | | |
De Smet School District No 38-2, General
Obligation Bonds Insured: BAM
5.000%, due 8/1/47 | | | | | 1,300,000 | | | | | | 1,415,936 | | |
| | | | | | | | | | | | 9,465,937 | | |
| Tennessee — 0.2% | |
Chattanooga Health Educational & Housing Facility Board, Revenue Bonds
5.000%, due 10/1/27 | | | | | 550,000 | | | | | | 563,663 | | |
| Texas — 12.1% | |
Belmont Fresh Water Supply District No 1,
General Obligation Bonds Insured:
BAM
4.000%, due 3/1/40 | | | | | 695,000 | | | | | | 679,231 | | |
| 4.000%, due 3/1/43 | | | | | 2,280,000 | | | | | | 2,188,578 | | |
City of Arlington TX Special Tax Revenue,
Special Tax
Series A Insured: AGM
5.000%, due 2/15/37 | | | | | 1,500,000 | | | | | | 1,603,327 | | |
| 5.000%, due 2/15/48 | | | | | 2,000,000 | | | | | | 2,091,799 | | |
Fort Bend County Municipal Utility District
No 134, General Obligation Bonds
Series B Insured: AGM
6.500%, due 3/1/28 | | | | | 390,000 | | | | | | 449,622 | | |
| 6.500%, due 3/1/29 | | | | | 390,000 | | | | | | 461,452 | | |
Galveston County Municipal Utility District No 56, General Obligation Bonds Insured: AGM
6.875%, due 6/1/29 | | | | | 625,000 | | | | | | 752,290 | | |
Guadalupe-Blanco River Authority, Revenue Bonds Insured: BAM
6.000%, due 8/15/42 | | | | | 1,975,000 | | | | | | 2,308,521 | | |
Harris County Municipal Utility District No 171, General Obligation Bonds
Insured: BAM
7.000%, due 12/1/28 | | | | | 930,000 | | | | | | 1,108,699 | | |
| 7.000%, due 12/1/29 | | | | | 905,000 | | | | | | 1,105,506 | | |
Harris County Municipal Utility District No 423, General Obligation Bonds
Series A Insured: BAM
5.000%, due 4/1/44 | | | | | 1,800,000 | | | | | | 1,837,144 | | |
| 6.000%, due 4/1/30 | | | | | 350,000 | | | | | | 386,944 | | |
| 6.000%, due 4/1/31 | | | | | 350,000 | | | | | | 386,921 | | |
| 6.000%, due 4/1/32 | | | | | 375,000 | | | | | | 414,396 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Municipal Insured ETF (continued)
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Texas (continued) | |
Harris County Municipal Utility District No 457, General Obligation Bonds
Insured: AGM
4.125%, due 3/1/47 | | | | $ | 1,725,000 | | | | | $ | 1,582,740 | | |
Harris County Municipal Utility District No 489, General Obligation Bonds
Insured: BAM | | | |
| 6.000%, due 9/1/27 | | | | | 980,000 | | | | | | 1,094,752 | | |
| 6.000%, due 9/1/28 | | | | | 980,000 | | | | | | 1,121,396 | | |
| 6.000%, due 9/1/29 | | | | | 705,000 | | | | | | 824,530 | | |
Harris County Water Control &
Improvement District No 158, General
Obligation Bonds Insured: BAM | | | |
| 5.000%, due 9/1/48 | | | | | 1,500,000 | | | | | | 1,553,609 | | |
| 7.000%, due 9/1/27 | | | | | 340,000 | | | | | | 391,259 | | |
| 7.000%, due 9/1/28 | | | | | 360,000 | | | | | | 426,609 | | |
| 7.000%, due 9/1/29 | | | | | 380,000 | | | | | | 463,225 | | |
Harris County-Houston Sports Authority, Revenue Bonds Series A3 Insured: NATL
4.190%, due 11/15/33(c) | | | | | 1,325,000 | | | | | | 734,589 | | |
Horizon Regional Municipal Utility District,
General Obligation Bonds
Insured: BAM
4.000%, due 2/1/47 | | | | | 2,650,000 | | | | | | 2,520,266 | | |
Kaufman County Municipal Utility District
No 3, General Obligation Bonds
Insured: AGM
5.000%, due 3/1/48 | | | | | 1,560,000 | | | | | | 1,601,125 | | |
| 5.125%, due 3/1/46 | | | | | 1,415,000 | | | | | | 1,462,419 | | |
Lazy Nine Municipal Utility District No 1B,
General Obligation Bonds
Series 1B Insured: BAM
4.125%, due 3/1/39 | | | | | 605,000 | | | | | | 602,361 | | |
Lower Colorado River Authority, Revenue Bonds Insured: AGM
5.500%, due 5/15/48 | | | | | 1,935,000 | | | | | | 2,181,879 | | |
Matagorda County Navigation District No 1, Revenue Bonds
Series A Insured: AMBAC
4.400%, due 5/1/30 | | | | | 500,000 | | | | | | 502,589 | | |
Montgomery County Municipal Utility District No 95, General Obligation Bonds Insured: BAM
5.000%, due 9/1/41 | | | | | 2,000,000 | | | | | | 2,073,184 | | |
New Hope Cultural Education Facilities Finance Corp., Revenue Bonds
Series B-1 Insured: AGM
4.000%, due 7/1/30 | | | | | 155,000 | | | | | | 159,404 | | |
Robstown Independent School District, General Obligation Bonds
Insured: PSF-GTD
4.500%, due 2/15/38 | | | | | 700,000 | | | | | | 715,948 | | |
Texas Municipal Power Agency, Revenue Bonds Insured: AGM
3.000%, due 9/1/35 | | | | | 1,345,000 | | | | | | 1,239,320 | | |
Texas State Technical College, Revenue
Bonds Insured: AGM
5.250%, due 8/1/36 | | | | | 1,015,000 | | | | | | 1,177,911 | | |
| 5.500%, due 8/1/42 | | | | | 4,000,000 | | | | | | 4,565,431 | | |
Williamson County Municipal Utility District No 25, General Obligation Bonds Insured: AGM
4.500%, due 8/15/44 | | | | | 1,190,000 | | | | | | 1,197,351 | | |
| | | | | | | | | | | | 43,966,327 | | |
| |
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Utah — 2.2% | |
City of Salt Lake City UT Airport Revenue,
Revenue Bonds Series A
5.000%, due 7/1/47 | | | | $ | 2,395,000 | | | | | $ | 2,445,871 | | |
Heber Light & Power Co., Revenue Bonds Insured: BAM
5.000%, due 12/15/47 | | | | | 4,450,000 | | | | | | 4,793,358 | | |
Vineyard Redevelopment Agency, Tax Allocation Insured: AGM
5.000%, due 5/1/25 | | | | | 615,000 | | | | | | 638,897 | | |
| | | | | | | | | | | | 7,878,126 | | |
| Washington — 1.1% | |
County of King WA, General Obligation Bonds
3.450%, due 1/1/46(a)(b) | | | | | 3,100,000 | | | | | | 3,100,000 | | |
Klickitat County Public Utility District No 1,
Revenue Bonds Series A Insured: AGM
4.000%, due 12/1/37 | | | | | 750,000 | | | | | | 777,603 | | |
| | | | | | | | | | | | 3,877,603 | | |
| Wisconsin — 1.6% | |
City of Milwaukee WI, General Obligation Bonds Series N3 Insured: BAM
5.000%, due 4/1/30 | | | | | 1,770,000 | | | | | | 1,994,971 | | |
Viroqua Area School District, General Obligation Bonds Insured: AGM
4.000%, due 3/1/40 | | | | | 1,390,000 | | | | | | 1,391,902 | | |
| 4.000%, due 3/1/41 | | | | | 1,455,000 | | | | | | 1,450,103 | | |
Whitehall School District, General Obligation Bonds Insured: AGM
5.000%, due 3/1/27 | | | | | 455,000 | | | | | | 484,513 | | |
Wisconsin Center District, Revenue Bonds Series A Insured: BAM-TCRS
6.510%, due 12/15/37(c) | | | | | 1,150,000 | | | | | | 609,811 | | |
| | | | | | | | | | | | 5,931,300 | | |
Total Municipal Bonds
(Cost $352,508,638) | | | | | | | | | | | 357,061,327 | | |
| |
| | | |
Shares | | | | | | | |
| Short-Term Investment — 0.6% | |
| Money Market Fund — 0.6% | |
Dreyfus Tax Exempt Cash Management — Institutional, 3.32%(d) | | | | | | | | | | | | | |
| (Cost $2,315,775) | | | | | 2,316,014 | | | | | | 2,315,775 | | |
Total Investments — 98.9%
(Cost $354,824,413) | | | | | | | | | | | 359,377,102 | | |
Other Assets and Liabilities,
Net — 1.1% | | | | | | | | | | | 3,698,993 | | |
| Net Assets — 100.0% | | | | | | | | | | $ | 363,076,095 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Municipal Insured ETF (continued)
(a)
Variable rate securities that may be tendered back to the issuer at any time prior to maturity at par. Rate shown is the rate in effect as of April 30, 2023.
(b)
Adjustable rate security with an interest rate that is not based on a published reference index and spread. The rate is based on the structure of the agreement and current market conditions.
(c)
The security was issued on a discount basis with no stated coupon rate. Rate shown reflects the effective yield.
(d)
Reflects the 7-day yield at April 30, 2023.
Abbreviations
| | AGC | | | — | | | Assured Guaranty Corp. | |
| | AGM | | | — | | | Assured Guaranty Municipal Corp. | |
| | AMBAC | | | — | | | Ambac Assurance Corp. | |
| | BAM | | | — | | | Build America Mutual Assurance Co. | |
| | BHAC | | | — | | | Berkshire Hathaway Assurance Corp. | |
| | CR | | | — | | | Custodial Receipts | |
| | FGIC | | | — | | | Financial Guaranty Insurance Co. | |
| | IBC | | | — | | | Insured Bond Certificate | |
| | ICC | | | — | | | Insured Custody Certificate | |
| | LIBOR | | | — | | | London Interbank Offered Rate | |
| | MBIA | | | — | | | MBIA Insurance Corp. | |
| | NATL | | | — | | | National Public Finance Guarantee Corp. | |
| | PSF-GTD | | | — | | | Permanent School Fund Guaranteed | |
| | SCH BD GTY | | | — | | | School Bond Guaranty Program | |
| | SCH BD RES FD | | | — | | | School Board Resolution Fund | |
| | SCSDE | | | — | | | South Carolina Department of Education | |
| | TCRS | | | — | | | Transferable Custodial Receipts | |
The following is a summary of the inputs used to value the Fund’s investments as of April 30, 2023. For more information on the valuation techniques, and their aggregation into the levels used in the table below, please refer to Note 2.
| Description | | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
| Asset Valuation Inputs | | | | | | | | | | | | | | | | | | | | | | | | | |
| Investments in Securities:(e) | | | | | | | | | | | | | | | | | | | | | | | | | |
| Municipal Bonds | | | | $ | — | | | | | $ | 357,061,327 | | | | | $ | — | | | | | $ | 357,061,327 | | |
| Short-Term Investment: | | | | | | | | | | | | | | | | | | | | | | | | | |
| Money Market Fund | | | | | 2,315,775 | | | | | | — | | | | | | — | | | | | | 2,315,775 | | |
| Total Investments in Securities | | | | $ | 2,315,775 | | | | | $ | 357,061,327 | | | | | $ | — | | | | | $ | 359,377,102 | | |
(e)
For a complete listing of investments and their states, see the Schedule of Investments.
For the year ended April 30, 2023, the Fund did not have any transfers into or out of Level 3 within the fair value hierarchy. (See Note 2)
See notes to financial statements.
Schedule of Investments — IQ MacKay Municipal Intermediate ETF
| | | | Principal
Amount | | | Value | |
| Municipal Bonds — 98.7% | |
| Alabama — 3.6% | |
| Alabama Housing Finance Authority, Revenue Bonds Series A | | | |
3.875%, due 12/1/23(a)(b) | | | | $ | 1,500,000 | | | | | $ | 1,498,567 | | |
| Series H | | | | | | | | | | | | | |
5.000%, due 6/1/26(a)(b) | | | | | 500,000 | | | | | | 511,585 | | |
| Birmingham Airport Authority, Revenue Bonds Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 7/1/32 | | | | | 600,000 | | | | | | 686,358 | | |
| Black Belt Energy Gas District, Revenue Bonds | | | | | | | | | | | | | |
4.000%, due 12/1/49(a)(b) | | | | | 600,000 | | | | | | 600,791 | | |
4.000%, due 10/1/52(a)(b) | | | | | 1,760,000 | | | | | | 1,754,901 | | |
| 4.210%, (Municipal Swap Index + | | | |
0.35%), due 10/1/52(a) | | | | | 900,000 | | | | | | 867,401 | | |
| 5.250%, due 6/1/26 | | | | | 1,800,000 | | | | | | 1,868,627 | | |
5.500%, due 11/1/53(a)(b) | | | | | 1,000,000 | | | | | | 1,064,598 | | |
| Montgomery County Public Facilities Authority, Revenue Bonds Series A | | | | | | | | | | | | | |
| 4.000%, due 3/1/33 | | | | | 660,000 | | | | | | 713,906 | | |
| 4.000%, due 3/1/35 | | | | | 1,220,000 | | | | | | 1,290,043 | | |
| Southeast Energy Authority A Cooperative District, Revenue Bonds | | | | | | | | | | | | | |
| Series A-1 | | | | | | | | | | | | | |
5.500%, due 1/1/53(a)(b) | | | | | 3,000,000 | | | | | | 3,241,130 | | |
| State of Alabama, General Obligation Bonds Series A | | | | | | | | | | | | | |
| 3.000%, due 8/1/26 | | | | | 1,000,000 | | | | | | 1,001,172 | | |
| | | | | | | | | | | | 15,099,079 | | |
| Alaska — 0.6% | |
| Alaska Industrial Development & Export Authority, Revenue Bonds Series A | | | | | | | | | | | | | |
| 5.000%, due 6/1/28 | | | | | 100,000 | | | | | | 102,467 | | |
| Alaska Municipal Bond Bank Authority, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 12/1/35 | | | | | 500,000 | | | | | | 577,133 | | |
| 5.000%, due 12/1/37 | | | | | 650,000 | | | | | | 729,682 | | |
| 5.000%, due 12/1/39 | | | | | 1,000,000 | | | | | | 1,109,967 | | |
| | | | | | | | | | | | 2,519,249 | | |
| Arizona — 0.7% | |
| Arizona Industrial Development Authority, Revenue Bonds Series A | | | | | | | | | | | | | |
| 4.000%, due 11/1/39 | | | | | 600,000 | | | | | | 574,070 | | |
| 5.000%, due 11/1/31 | | | | | 550,000 | | | | | | 592,886 | | |
| Series A Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 6/1/31 | | | | | 300,000 | | | | | | 333,706 | | |
| 5.000%, due 6/1/32 | | | | | 325,000 | | | | | | 361,276 | | |
| City of Phoenix Civic Improvement Corp., Revenue Bonds Series A | | | | | | | | | | | | | |
| 5.000%, due 7/1/34 | | | | | 500,000 | | | | | | 530,822 | | |
| Maricopa County Industrial Development Authority, Revenue Bonds Series C Insured: SD CRED PROG | | | | | | | | | | | | | |
| 5.000%, due 7/1/37 | | | | | 300,000 | | | | | | 312,280 | | |
| | | | | | | | | | | | 2,705,040 | | |
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Arkansas — 0.1% | |
| University of Central Arkansas, Revenue Bonds Series A Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 11/1/34 | | | | $ | 400,000 | | | | | $ | 425,871 | | |
| California — 6.8% | |
| Bay Area Toll Authority, Revenue Bonds | | | | | | | | | | | | | |
| Series A | | | | | | | | | | | | | |
2.700%, due 4/1/55(a)(b) | | | | | 4,000,000 | | | | | | 4,000,000 | | |
Benicia Unified School District, General Obligation Bonds Series C
Insured: AGM | | | | | | | | | | | | | |
3.370%, due 8/1/23(c) | | | | | 300,000 | | | | | | 297,424 | | |
California Community Choice Financing
Authority, Revenue Bonds | | | | | | | | | | | | | |
5.250%, due 1/1/54(a)(b) | | | | | 1,650,000 | | | | | | 1,722,581 | | |
| California Health Facilities Financing Authority, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 11/15/49 | | | | | 835,000 | | | | | | 854,942 | | |
| California Municipal Finance Authority, Certificates of Participation | | | | | | | | | | | | | |
| Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 11/1/28 | | | | | 250,000 | | | | | | 269,306 | | |
| 5.000%, due 11/1/29 | | | | | 125,000 | | | | | | 136,459 | | |
| 5.000%, due 11/1/30 | | | | | 410,000 | | | | | | 452,680 | | |
| 5.000%, due 11/1/32 | | | | | 225,000 | | | | | | 253,300 | | |
| 5.000%, due 11/1/33 | | | | | 1,175,000 | | | | | | 1,319,173 | | |
| California Municipal Finance Authority, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 5/15/31 | | | | | 400,000 | | | | | | 426,842 | | |
City of Long Beach CA Airport System Revenue, Revenue Bonds Series A
Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 6/1/27 | | | | | 200,000 | | | | | | 218,961 | | |
| Series B Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 6/1/26 | | | | | 250,000 | | | | | | 267,166 | | |
| 5.000%, due 6/1/27 | | | | | 200,000 | | | | | | 218,961 | | |
| 5.000%, due 6/1/29 | | | | | 150,000 | | | | | | 171,795 | | |
| City of San Mateo CA, Special Tax | | | | | | | | | | | | | |
| Insured: BAM | | | | | | | | | | | | | |
| 5.250%, due 9/1/35 | | | | | 1,000,000 | | | | | | 1,136,830 | | |
| County of Sacramento CA Airport System Revenue, Revenue Bonds | | | | | | | | | | | | | |
| Series B | | | | | | | | | | | | | |
| 5.000%, due 7/1/41 | | | | | 1,000,000 | | | | | | 1,040,921 | | |
| Fresno Unified School District, General Obligation Bonds Series B | | | | | | | | | | | | | |
| 5.000%, due 8/1/37 | | | | | 650,000 | | | | | | 729,156 | | |
| 5.000%, due 8/1/38 | | | | | 500,000 | | | | | | 555,274 | | |
Grossmont Union High School District, General Obligation Bonds Series F
Insured: AGM | | | | | | | | | | | | | |
3.390%, due 8/1/33(c) | | | | | 1,465,000 | | | | | | 912,788 | | |
| Hercules Redevelopment Agency Successor Agency, Tax Allocation | | | | | | | | | | | | | |
| Series A Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 8/1/37 | | | | | 500,000 | | | | | | 564,712 | | |
| Independent Cities Finance Authority, Revenue Bonds Insured: AGM | | | | | | | | | | | | | |
| 4.000%, due 6/1/36 | | | | | 700,000 | | | | | | 716,201 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Municipal Intermediate ETF (continued)
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| California (continued) | |
Kelseyville Unified School District, General
Obligation Bonds Series C
Insured: AGM | | | | | | | | | | | | | |
3.400%, due 8/1/31(c) | | | | $ | 150,000 | | | | | $ | 113,050 | | |
3.600%, due 8/1/33(c) | | | | | 35,000 | | | | | | 24,006 | | |
| Metropolitan Water District of Southern California, Revenue Bonds Series E | | | | | | | | | | | | | |
4.000%, (Municipal Swap Index + 0.14%), due 7/1/37(a) | | | | | 1,200,000 | | | | | | 1,195,874 | | |
Monterey Peninsula Community College
District, General Obligation Bonds | | | | | | | | | | | | | |
3.610%, due 8/1/32(c) | | | | | 975,000 | | | | | | 717,769 | | |
| Riverside County Community Facilities Districts, Special Tax Insured: AGM | | | |
| 4.000%, due 9/1/35 | | | | | 1,060,000 | | | | | | 1,096,362 | | |
| Roseville Natural Gas Financing Authority, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 2/15/24 | | | | | 560,000 | | | | | | 562,697 | | |
Sacramento City Financing Authority, Tax
Allocation Series A Insured: NATL
3.500%, due 12/1/23(c) | | | | | 3,000,000 | | | | | | 2,939,457 | | |
| Sacramento City Unified School District, General Obligation Bonds | | | | | | | | | | | | | |
| Insured: AGM | | | | | | | | | | | | | |
3.390%, due 7/1/24(c) | | | | | 305,000 | | | | | | 293,215 | | |
| San Diego Unified School District, General Obligation Bonds Series I | | | | | | | | | | | | | |
| 5.000%, due 7/1/47 | | | | | 1,000,000 | | | | | | 1,061,424 | | |
| Southern California Public Power Authority, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 7/1/40 | | | | | 1,000,000 | | | | | | 1,146,442 | | |
| State of California, General Obligation Bonds | | | | | | | | | | | | | |
| 4.000%, due 9/1/32 | | | | | 500,000 | | | | | | 518,106 | | |
| University of California, Revenue Bonds | | | | | | | | | | | | | |
| 5.500%, due 5/15/40 | | | | | 1,875,000 | | | | | | 2,258,769 | | |
Westminster School District, General Obligation Bonds Series B
Insured: BAM | | | | | | | | | | | | | |
3.140%, due 8/1/48(c) | | | | | 100,000 | | | | | | 17,762 | | |
| | | | | | | | | | | | 28,210,405 | | |
| Colorado — 2.3% | |
| Adams State University, Revenue Bonds | | | | | | | | | | | | | |
Series A Insured: ST HGR ED INTERCEPT
PROG | | | | | | | | | | | | | |
| 5.000%, due 5/15/35 | | | | | 1,125,000 | | | | | | 1,260,082 | | |
Cherokee Metropolitan District, Revenue
Bonds Insured: BAM | | | | | | | | | | | | | |
| 4.000%, due 8/1/34 | | | | | 200,000 | | | | | | 213,462 | | |
| City & County of Denver CO Pledged Excise Tax Revenue, Revenue Bonds | | | | | | | | | | | | | |
| Series A | | | | | | | | | | | | | |
| 5.000%, due 8/1/42 | | | | | 1,500,000 | | | | | | 1,559,000 | | |
| Colorado Educational & Cultural Facilities Authority, Revenue Bonds | | | | | | | | | | | | | |
| Insured: Moral Obligation Bond | | | | | | | | | | | | | |
| 4.000%, due 12/15/36 | | | | | 475,000 | | | | | | 475,129 | | |
| Series A Insured: Moral Obligation Bond | | | | | | | | | | | | | |
| 4.000%, due 7/1/36 | | | | | 1,000,000 | | | | | | 1,007,070 | | |
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Colorado (continued) | |
| Colorado Health Facilities Authority, Revenue Bonds Series A-1 | | | | | | | | | | | | | |
| 4.000%, due 8/1/44 | | | | $ | 250,000 | | | | | $ | 234,990 | | |
| 5.000%, due 8/1/35 | | | | | 105,000 | | | | | | 111,919 | | |
Crystal Valley Metropolitan District No 2, General Obligation Bonds Series A
Insured: AGM | | | | | | | | | | | | | |
| 4.000%, due 12/1/36 | | | | | 500,000 | | | | | | 520,785 | | |
Gold Hill Mesa Metropolitan District No 2,
General Obligation Bonds Series A | | | |
| Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 12/1/28 | | | | | 145,000 | | | | | | 155,625 | | |
| 5.000%, due 12/1/29 | | | | | 145,000 | | | | | | 157,109 | | |
| 5.250%, due 12/1/37 | | | | | 200,000 | | | | | | 218,177 | | |
| Grand River Hospital District, General Obligation Bonds Insured: AGM | | | | | | | | | | | | | |
| 5.250%, due 12/1/37 | | | | | 425,000 | | | | | | 449,282 | | |
Jefferson County School District, General
Obligation Bonds Series R-1
Insured: BAM | | | | | | | | | | | | | |
| 4.000%, due 12/15/34 | | | | | 3,000,000 | | | | | | 3,240,692 | | |
| | | | | | | | | | | | 9,603,322 | | |
| Connecticut — 3.5% | |
City of Bridgeport CT, General Obligation
Bonds Series A | | | | | | | | | | | | | |
| 5.000%, due 11/1/33 | | | | | 600,000 | | | | | | 653,501 | | |
| 5.000%, due 9/1/38 | | | | | 1,250,000 | | | | | | 1,383,062 | | |
| City of Hartford CT, General Obligation Bonds Series A Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 4/1/30 | | | | | 100,000 | | | | | | 100,157 | | |
City of New Britain CT, General Obligation Bonds Series A
Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 3/1/30 | | | | | 155,000 | | | | | | 174,380 | | |
| 5.000%, due 3/1/36 | | | | | 400,000 | | | | | | 450,344 | | |
| Series B Insured: AGM | | | | | | | | | | | | | |
| 5.250%, due 9/1/30 | | | | | 600,000 | | | | | | 670,279 | | |
| City of West Haven CT, General Obligation Bonds Insured: BAM | | | | | | | | | | | | | |
| 4.000%, due 9/15/27 | | | | | 240,000 | | | | | | 251,370 | | |
| 4.000%, due 9/15/28 | | | | | 290,000 | | | | | | 305,353 | | |
Connecticut State Health & Educational
Facilities Authority, Revenue Bonds | | | | | | | | | | | | | |
| Series I-1 | | | | | | | | | | | | | |
| 5.000%, due 7/1/33 | | | | | 350,000 | | | | | | 375,710 | | |
| Series L | | | | | | | | | | | | | |
| 5.000%, due 7/1/32 | | | | | 1,590,000 | | | | | | 1,649,967 | | |
| State of Connecticut, General Obligation Bonds Series A | | | | | | | | | | | | | |
| 3.130%, due 1/15/24 | | | | | 3,000,000 | | | | | | 2,964,477 | | |
| Series A Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 4/15/34 | | | | | 1,875,000 | | | | | | 2,127,569 | | |
| State of Connecticut Special Tax Revenue, Revenue Bonds Series A | | | | | | | | | | | | | |
| 4.000%, due 5/1/36 | | | | | 500,000 | | | | | | 521,578 | | |
| 4.000%, due 5/1/39 | | | | | 1,500,000 | | | | | | 1,520,371 | | |
| 5.250%, due 7/1/40 | | | | | 1,000,000 | | | | | | 1,154,818 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Municipal Intermediate ETF (continued)
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Connecticut (continued) | |
Town of Hamden CT, General Obligation
Bonds Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 8/15/32 | | | | $ | 350,000 | | | | | $ | 398,960 | | |
| | | | | | | | | | | | 14,701,896 | | |
| District of Columbia — 1.1% | |
District of Columbia, General Obligation
Bonds Series D | | | | | | | | | | | | | |
| 5.000%, due 6/1/42 | | | | | 1,485,000 | | | | | | 1,572,355 | | |
| District of Columbia Housing Finance Agency, Revenue Bonds | | | | | | | | | | | | | |
4.000%, due 9/1/40(a)(b) | | | | | 3,035,000 | | | | | | 3,065,753 | | |
| | | | | | | | | | | | 4,638,108 | | |
| Florida — 5.2% | |
| City of Miami Beach FL Water & Sewer Revenue, Revenue Bonds Series A | | | | | | | | | | | | | |
| 4.000%, due 12/1/34 | | | | | 1,000,000 | | | | | | 1,059,435 | | |
| City of Pompano Beach FL, Revenue Bonds Series B-2 | | | | | | | | | | | | | |
| 1.450%, due 1/1/27 | | | | | 250,000 | | | | | | 219,771 | | |
City of West Palm Beach FL Utility System
Revenue, Revenue Bonds Series A | | | | | | | | | | | | | |
| 5.000%, due 10/1/42 | | | | | 3,500,000 | | | | | | 3,702,365 | | |
| County of Miami-Dade FL Aviation Revenue, Revenue Bonds Series A | | | | | | | | | | | | | |
| 4.000%, due 10/1/38 | | | | | 400,000 | | | | | | 404,772 | | |
County of Miami-Dade FL Transit System,
Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 7/1/43 | | | | | 4,500,000 | | | | | | 4,969,462 | | |
| County of Pasco FL, Revenue Bonds | | | | | | | | | | | | | |
| Insured: AGM | | | | | | | | | | | | | |
| 5.250%, due 9/1/28 | | | | | 1,000,000 | | | | | | 1,106,605 | | |
| 5.250%, due 9/1/29 | | | | | 1,000,000 | | | | | | 1,125,424 | | |
| Florida Development Finance Corp., Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 2/1/34 | | | | | 1,405,000 | | | | | | 1,462,932 | | |
| Series A | | | | | | | | | | | | | |
| 4.000%, due 7/1/24 | | | | | 200,000 | | | | | | 198,577 | | |
Florida Housing Finance Corp., Revenue
Bonds Series G | | | | | | | | | | | | | |
4.500%, due 5/1/26(a)(b) | | | | | 3,000,000 | | | | | | 3,041,668 | | |
| Fort Pierce Utilities Authority, Revenue Bonds Series A Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 10/1/27 | | | | | 700,000 | | | | | | 763,127 | | |
| 5.000%, due 10/1/31 | | | | | 400,000 | | | | | | 464,234 | | |
| 5.000%, due 10/1/33 | | | | | 200,000 | | | | | | 233,521 | | |
| 5.000%, due 10/1/37 | | | | | 425,000 | | | | | | 478,954 | | |
| 5.000%, due 10/1/39 | | | | | 475,000 | | | | | | 529,276 | | |
| North Springs Improvement District, Special Assessment Insured: AGM | | | | | | | | | | | | | |
| 4.000%, due 5/1/28 | | | | | 60,000 | | | | | | 63,328 | | |
| 4.000%, due 5/1/30 | | | | | 45,000 | | | | | | 48,486 | | |
| Tampa Bay Water, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 10/1/39 | | | | | 1,600,000 | | | | | | 1,825,423 | | |
| | | | | | | | | | | | 21,697,360 | | |
| Georgia — 3.5% | |
| City of Atlanta GA Water & Wastewater Revenue, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 11/1/38 | | | | | 1,000,000 | | | | | | 1,076,865 | | |
| 5.000%, due 11/1/40 | | | | | 500,000 | | | | | | 516,201 | | |
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Georgia (continued) | |
| Main Street Natural Gas, Inc., Revenue Bonds Series B | | | | | | | | | | | | | |
4.000%, due 8/1/49(a)(b) | | | | $ | 2,925,000 | | | | | $ | 2,939,411 | | |
| Series G | | | | | | | | | | | | | |
4.000%, due 4/1/48(a)(b) | | | | | 5,300,000 | | | | | | 5,303,938 | | |
| Municipal Electric Authority of Georgia, Revenue Bonds Series A | | | | | | | | | | | | | |
| 5.000%, due 1/1/36 | | | | | 1,000,000 | | | | | | 1,072,877 | | |
| 5.000%, due 1/1/38 | | | | | 500,000 | | | | | | 527,337 | | |
| Private Colleges & Universities Authority, Revenue Bonds | | | | | | | | | | | | | |
| 4.000%, due 4/1/39 | | | | | 450,000 | | | | | | 464,784 | | |
Walton County Water & Sewer Authority,
Revenue Bonds | | | | | | | | | | | | | |
| 5.250%, due 2/1/38 | | | | | 250,000 | | | | | | 293,281 | | |
| 5.250%, due 2/1/39 | | | | | 425,000 | | | | | | 496,082 | | |
| 5.250%, due 2/1/40 | | | | | 450,000 | | | | | | 522,145 | | |
| 5.250%, due 2/1/41 | | | | | 400,000 | | | | | | 462,124 | | |
| 5.250%, due 2/1/42 | | | | | 350,000 | | | | | | 401,537 | | |
| 5.250%, due 2/1/43 | | | | | 425,000 | | | | | | 486,564 | | |
| | | | | | | | | | | | 14,563,146 | | |
| Guam — 0.5% | |
| Guam Government Waterworks Authority, Revenue Bonds | | | | | | | | | | | | | |
| 5.250%, due 7/1/24 | | | | | 775,000 | | | | | | 776,397 | | |
| 5.250%, due 7/1/33 | | | | | 500,000 | | | | | | 501,497 | | |
| Guam Power Authority, Revenue Bonds | | | | | | | | | | | | | |
| Series A | | | | | | | | | | | | | |
| 5.000%, due 10/1/34 | | | | | 600,000 | | | | | | 654,143 | | |
| | | | | | | | | | | | 1,932,037 | | |
| Illinois — 10.3% | |
Carol Stream Park District, General Obligation Bonds Series C
Insured: BAM | | | | | | | | | | | | | |
| 4.000%, due 11/1/26 | | | | | 485,000 | | | | | | 503,498 | | |
| Chicago O’Hare International Airport, Revenue Bonds Series B | | | | | | | | | | | | | |
| 5.000%, due 1/1/39 | | | | | 2,700,000 | | | | | | 2,903,398 | | |
Chicago Park District, General Obligation Bonds Series C
Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 1/1/27 | | | | | 250,000 | | | | | | 252,678 | | |
| Series D | | | | | | | | | | | | | |
| 4.000%, due 1/1/34 | | | | | 1,000,000 | | | | | | 1,021,626 | | |
| 4.000%, due 1/1/35 | | | | | 645,000 | | | | | | 653,756 | | |
| Series E Insured: BAM | | | | | | | | | | | | | |
| 4.000%, due 11/15/31 | | | | | 500,000 | | | | | | 511,492 | | |
| City of Chicago IL, General Obligation Bonds Series A | | | | | | | | | | | | | |
| 4.000%, due 1/1/36 | | | | | 750,000 | | | | | | 722,658 | | |
| 5.000%, due 1/1/32 | | | | | 1,500,000 | | | | | | 1,621,819 | | |
| 5.250%, due 1/1/28 | | | | | 1,000,000 | | | | | | 1,021,662 | | |
| 5.500%, due 1/1/40 | | | | | 1,000,000 | | | | | | 1,082,682 | | |
| City of Joliet IL, General Obligation Bonds Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 12/15/38 | | | | | 1,000,000 | | | | | | 1,114,373 | | |
| 5.250%, due 12/15/39 | | | | | 1,000,000 | | | | | | 1,130,474 | | |
| 5.250%, due 12/15/40 | | | | | 1,000,000 | | | | | | 1,125,321 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Municipal Intermediate ETF (continued)
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Illinois (continued) | |
| Cook County Township High School District No 220 Reavis, General Obligation Bonds Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 12/1/25 | | | | $ | 600,000 | | | | | $ | 627,364 | | |
| Illinois Development Finance Authority, Revenue Bonds | | | | | | | | | | | | | |
3.180%, due 7/15/25(c) | | | | | 500,000 | | | | | | 466,363 | | |
| Illinois Finance Authority, Revenue Bonds | | | | | | | | | | | | | |
| Series A | | | | | | | | | | | | | |
| 4.000%, due 10/1/38 | | | | | 2,000,000 | | | | | | 2,000,592 | | |
| 5.000%, due 8/15/32 | | | | | 1,500,000 | | | | | | 1,725,385 | | |
| Illinois State Toll Highway Authority, Revenue Bonds Series B | | | | | | | | | | | | | |
| 5.000%, due 1/1/37 | | | | | 1,500,000 | | | | | | 1,515,751 | | |
Lake County School District No 112 North
Shore, General Obligation Bonds | | | | | | | | | | | | | |
| 4.000%, due 12/1/37 | | | | | 1,000,000 | | | | | | 1,023,805 | | |
| Macon & De Witt Counties Community Unit School District No 2 Maroa-Forsyth, General Obligation Bonds Insured: AGM | | | | | | | | | | | | | |
| 4.000%, due 12/1/31 | | | | | 500,000 | | | | | | 537,179 | | |
| 4.000%, due 12/1/32 | | | | | 550,000 | | | | | | 588,123 | | |
| 4.000%, due 12/1/40 | | | | | 1,000,000 | | | | | | 1,007,846 | | |
Madison County Community Unit School
District No 8 Bethalto, General
Obligation Bonds Series B Insured: BAM | | | | | | | | | | | | | |
| 4.000%, due 12/1/31 | | | | | 700,000 | | | | | | 731,231 | | |
| Madison-Macoupin Etc Counties Community College District No 536, General Obligation Bonds Series A Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 11/1/32 | | | | | 320,000 | | | | | | 341,764 | | |
| Metropolitan Pier & Exposition Authority, Revenue Bonds Insured: NATL | | | | | | | | | | | | | |
| 5.700%, due 6/15/23 | | | | | 1,000,000 | | | | | | 1,001,760 | | |
| Northern Illinois University, Revenue Bonds Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 10/1/26 | | | | | 250,000 | | | | | | 263,195 | | |
| 5.000%, due 10/1/28 | | | | | 650,000 | | | | | | 704,323 | | |
| 5.000%, due 10/1/30 | | | | | 690,000 | | | | | | 758,742 | | |
| Sales Tax Securitization Corp., Revenue Bonds Series A | | | | | | | | | | | | | |
| 4.000%, due 1/1/38 | | | | | 1,800,000 | | | | | | 1,787,417 | | |
| 5.000%, due 1/1/30 | | | | | 500,000 | | | | | | 559,837 | | |
Sangamon & Morgan Counties
Community Unit School District No 16
New Berlin, General Obligation Bonds | | | | | | | | | | | | | |
| Series A Insured: AGM | | | | | | | | | | | | | |
| 5.500%, due 12/1/36 | | | | | 350,000 | | | | | | 401,778 | | |
| Southwestern Illinois Development Authority, Revenue Bonds | | | | | | | | | | | | | |
| 4.000%, due 4/15/31 | | | | | 450,000 | | | | | | 482,129 | | |
| 4.000%, due 4/15/33 | | | | | 500,000 | | | | | | 531,560 | | |
| Series B | | | | | | | | | | | | | |
| 4.000%, due 10/15/24 | | | | | 165,000 | | | | | | 166,187 | | |
| State of Illinois, General Obligation Bonds | | | | | | | | | | | | | |
| 5.000%, due 2/1/26 | | | | | 500,000 | | | | | | 520,713 | | |
| 5.500%, due 7/1/38 | | | | | 500,000 | | | | | | 502,008 | | |
| Series A | | | | | | | | | | | | | |
| 5.000%, due 12/1/26 | | | | | 780,000 | | | | | | 823,940 | | |
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Illinois (continued) | |
| 5.000%, due 3/1/29 | | | | $ | 1,470,000 | | | | | $ | 1,605,476 | | |
| 5.000%, due 3/1/30 | | | | | 1,000,000 | | | | | | 1,104,958 | | |
| Series A Insured: AGM | | | | | | | | | | | | | |
| 4.125%, due 4/1/33 | | | | | 550,000 | | | | | | 551,168 | | |
| Series C | | | | | | | | | | | | | |
| 4.000%, due 10/1/40 | | | | | 475,000 | | | | | | 456,833 | | |
| Series D | | | | | | | | | | | | | |
| 5.000%, due 11/1/28 | | | | | 1,000,000 | | | | | | 1,073,533 | | |
| State of Illinois Sales Tax Revenue, Revenue Bonds Insured: BAM | | | | | | | | | | | | | |
| 4.000%, due 6/15/27 | | | | | 600,000 | | | | | | 609,739 | | |
| Town of Cicero IL, General Obligation Bonds Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 1/1/30 | | | | | 450,000 | | | | | | 483,317 | | |
| Union Alexander Massac Pulaski Etc Counties Community College District No 531, General Obligation Bonds | | | | | | | | | | | | | |
| Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 12/1/25 | | | | | 1,175,000 | | | | | | 1,225,621 | | |
| Village of Franklin Park IL, Revenue Bonds | | | | | | | | | | | | | |
| Series A Insured: BAM | | | | | | | | | | | | | |
| 4.000%, due 10/1/32 | | | | | 375,000 | | | | | | 399,259 | | |
| Village of Matteson IL, Revenue Bonds | | | | | | | | | | | | | |
| Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 12/1/29 | | | | | 465,000 | | | | | | 515,109 | | |
| Village of Mundelein IL, General Obligation Bonds Insured: AGM | | | | | | | | | | | | | |
| 4.000%, due 12/15/39 | | | | | 100,000 | | | | | | 101,080 | | |
Will County School District No 114
Manhattan, General Obligation Bonds | | | | | | | | | | | | | |
| Insured: AGM | | | | | | | | | | | | | |
| 3.500%, due 1/1/26 | | | | | 840,000 | | | | | | 843,187 | | |
| Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 1/1/36 | | | | | 445,000 | | | | | | 506,881 | | |
| 5.250%, due 1/1/39 | | | | | 555,000 | | | | | | 626,722 | | |
| | | | | | | | | | | | 42,837,312 | | |
| Indiana — 3.0% | |
City of Bloomington IN Waterworks Revenue, Revenue Bonds
Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 7/1/39 | | | | | 2,690,000 | | | | | | 2,966,825 | | |
| 5.000%, due 1/1/42 | | | | | 1,525,000 | | | | | | 1,675,691 | | |
| Greater Clark Building Corp., Revenue Bonds Insured: ST INTERCEPT | | | | | | | | | | | | | |
| 6.000%, due 7/15/34 | | | | | 1,000,000 | | | | | | 1,245,716 | | |
| Indiana Finance Authority, Revenue Bonds Series A | | | | | | | | | | | | | |
| 1.400%, due 8/1/29 | | | | | 1,000,000 | | | | | | 882,486 | | |
| 5.000%, due 10/1/41 | | | | | 1,000,000 | | | | | | 1,045,547 | | |
| Series B | | | | | | | | | | | | | |
3.650%, due 5/1/28(a)(b) | | | | | 2,500,000 | | | | | | 2,499,679 | | |
| Indiana Housing & Community Development Authority, Revenue Bonds | | | | | | | | | | | | | |
5.000%, due 10/1/26(a)(b) | | | | | 2,000,000 | | | | | | 2,049,697 | | |
| MSD of Wash Township School Building Corp., Revenue Bonds | | | | | | | | | | | | | |
| Insured: ST INTERCEPT | | | | | | | | | | | | | |
| 5.000%, due 7/15/35 | | | | | 225,000 | | | | | | 251,944 | | |
| | | | | | | | | | | | 12,617,585 | | |
| |
See notes to financial statements.
Schedule of Investments — IQ MacKay Municipal Intermediate ETF (continued)
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Iowa — 1.2% | |
| City of Coralville IA, General Obligation Bonds Series A | | | | | | | | | | | | | |
| 4.000%, due 5/1/23 | | | | $ | 520,000 | | | | | $ | 520,000 | | |
| 4.000%, due 5/1/24 | | | | | 1,305,000 | | | | | | 1,304,358 | | |
| Iowa Higher Education Loan Authority, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 10/1/34 | | | | | 300,000 | | | | | | 322,302 | | |
| 5.000%, due 10/1/35 | | | | | 360,000 | | | | | | 383,625 | | |
| 5.000%, due 10/1/36 | | | | | 365,000 | | | | | | 385,598 | | |
Jesup Community School District, General Obligation Bonds
Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 6/1/24 | | | | | 420,000 | | | | | | 427,930 | | |
| 5.000%, due 6/1/25 | | | | | 440,000 | | | | | | 457,438 | | |
| 5.000%, due 6/1/26 | | | | | 465,000 | | | | | | 493,952 | | |
| 5.000%, due 6/1/27 | | | | | 490,000 | | | | | | 532,093 | | |
| | | | | | | | | | | | 4,827,296 | | |
| Kansas — 0.7% | |
City of Dodge City KS, General Obligation Bonds Series A
Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 9/1/31 | | | | | 420,000 | | | | | | 480,851 | | |
| Johnson County Unified School District No 233 Olathe, General Obligation Bonds Series A | | | | | | | | | | | | | |
| 4.000%, due 9/1/36 | | | | | 1,700,000 | | | | | | 1,773,136 | | |
Wyandotte County Unified School District
No 500 Kansas City, General
Obligation Bonds Series A | | | | | | | | | | | | | |
| 4.125%, due 9/1/37 | | | | | 500,000 | | | | | | 524,640 | | |
| | | | | | | | | | | | 2,778,627 | | |
| Kentucky — 0.8% | |
| City of Berea KY, Revenue Bonds Series A | | | | | | | | | | | | | |
3.650%, due 6/1/32(a)(b) | | | | | 600,000 | | | | | | 600,000 | | |
| Kentucky Public Energy Authority, Revenue Bonds | | | | | | | | | | | | | |
4.000%, due 2/1/50(a)(b) | | | | | 2,325,000 | | | | | | 2,327,429 | | |
Louisville & Jefferson County Visitors and
Convention Commission, Revenue
Bonds Insured: BAM | | | | | | | | | | | | | |
| 4.000%, due 6/1/36 | | | | | 75,000 | | | | | | 76,269 | | |
Louisville/Jefferson County Metropolitan
Government, Revenue Bonds | | | | | | | | | | | | | |
| Series A | | | | | | | | | | | | | |
| 5.000%, due 10/1/32 | | | | | 500,000 | | | | | | 525,319 | | |
| | | | | | | | | | | | 3,529,017 | | |
| Louisiana — 0.4% | |
| Cameron Parish School District No 15, General Obligation Bonds | | | | | | | | | | | | | |
| 5.000%, due 10/1/23 | | | | | 205,000 | | | | | | 205,936 | | |
| 5.000%, due 10/1/29 | | | | | 290,000 | | | | | | 321,552 | | |
| City of Shreveport LA Water & Sewer Revenue, Revenue Bonds | | | | | | | | | | | | | |
| Series C Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 12/1/31 | | | | | 100,000 | | | | | | 108,425 | | |
City of Youngsville LA Sales Tax Revenue,
Revenue Bonds Insured: BAM | | | | | | | | | | | | | |
| 4.000%, due 5/1/34 | | | | | 300,000 | | | | | | 318,578 | | |
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Louisiana (continued) | |
| State of Louisiana, General Obligation Bonds Series A | | | | | | | | | | | | | |
| 5.000%, due 3/1/38 | | | | $ | 490,000 | | | | | $ | 554,875 | | |
| | | | | | | | | | | | 1,509,366 | | |
| Maine — 0.2% | |
| Finance Authority of Maine, Revenue Bonds Series A-1 Insured: AGC | | | | | | | | | | | | | |
| 5.000%, due 12/1/26 | | | | | 155,000 | | | | | | 163,244 | | |
| Maine Health & Higher Educational Facilities Authority, Revenue Bonds | | | | | | | | | | | | | |
| Series A Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 7/1/32 | | | | | 500,000 | | | | | | 568,791 | | |
| | | | | | | | | | | | 732,035 | | |
| Maryland — 1.2% | |
| City of Baltimore MD, Revenue Bonds | | | | | | | | | | | | | |
| Series A Insured: BAM | | | | | | | | | | | | | |
| 4.000%, due 7/1/38 | | | | | 900,000 | | | | | | 924,553 | | |
| Maryland Community Development Administration, Revenue Bonds | | | | | | | | | | | | | |
| Series A | | | | | | | | | | | | | |
| 5.000%, due 9/1/42 | | | | | 1,000,000 | | | | | | 1,038,536 | | |
| State of Maryland, General Obligation Bonds Series A | | | | | | | | | | | | | |
| 5.000%, due 3/15/32 | | | | | 585,000 | | | | | | 679,739 | | |
| 5.000%, due 6/1/37 | | | | | 2,100,000 | | | | | | 2,450,279 | | |
| | | | | | | | | | | | 5,093,107 | | |
| Massachusetts — 0.8% | |
| Commonwealth of Massachusetts, General Obligation Bonds Series C | | | | | | | | | | | | | |
| 5.000%, due 5/1/46 | | | | | 1,250,000 | | | | | | 1,343,853 | | |
| Massachusetts Development Finance Agency, Revenue Bonds Series E | | | | | | | | | | | | | |
| 5.000%, due 7/1/37 | | | | | 500,000 | | | | | | 509,282 | | |
Massachusetts Housing Finance Agency,
Revenue Bonds Series B | | | | | | | | | | | | | |
| 0.800%, due 12/1/25 | | | | | 540,000 | | | | | | 492,874 | | |
Massachusetts School Building Authority,
Revenue Bonds Series B | | | | | | | | | | | | | |
| 5.000%, due 11/15/34 | | | | | 1,000,000 | | | | | | 1,076,628 | | |
| | | | | | | | | | | | 3,422,637 | | |
| Michigan — 3.3% | |
| County of Genesee MI, General Obligation Bonds Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 6/1/26 | | | | | 190,000 | | | | | | 201,542 | | |
| 5.000%, due 6/1/28 | | | | | 90,000 | | | | | | 99,668 | | |
| 5.000%, due 6/1/30 | | | | | 210,000 | | | | | | 241,174 | | |
| Great Lakes Water Authority Sewage Disposal System Revenue, Revenue Bonds Series C | | | | | | | | | | | | | |
| 5.000%, due 7/1/36 | | | | | 1,000,000 | | | | | | 1,050,712 | | |
| Great Lakes Water Authority Water Supply System Revenue, Revenue Bonds Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 7/1/46 | | | | | 1,000,000 | | | | | | 1,048,272 | | |
| Michigan Finance Authority, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 11/1/44 | | | | | 1,000,000 | | | | | | 1,016,668 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Municipal Intermediate ETF (continued)
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Michigan (continued) | |
| Series A | | | | | | | | | | | | | |
| 5.000%, due 4/15/29 | | | | $ | 1,000,000 | | | | | $ | 1,121,690 | | |
| 5.000%, due 2/15/34 | | | | | 235,000 | | | | | | 254,341 | | |
| Series A Class 1 | | | | | | | | | | | | | |
| 4.000%, due 6/1/34 | | | | | 500,000 | | | | | | 509,393 | | |
| Michigan State Building Authority, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 4/15/41 | | | | | 1,175,000 | | | | | | 1,232,696 | | |
| Michigan State Housing Development Authority, Revenue Bonds | | | | | | | | | | | | | |
5.000%, due 12/1/25(a)(b) | | | | | 1,000,000 | | | | | | 1,015,820 | | |
Richmond Community Schools, General
Obligation Bonds Series I
Insured: Q-SBLF | | | | | | | | | | | | | |
| 4.000%, due 5/1/36 | | | | | 1,450,000 | | | | | | 1,510,706 | | |
| 4.000%, due 5/1/37 | | | | | 2,655,000 | | | | | | 2,742,029 | | |
| State of Michigan, General Obligation Bonds Series A | | | | | | | | | �� | | | | |
| 3.625%, due 5/15/24 | | | | | 1,080,000 | | | | | | 1,063,628 | | |
| Wyoming Public Schools, General Obligation Bonds | | | | | | | | | | | | | |
| Series III Insured: AGM | | | | | | | | | | | | | |
| 4.000%, due 5/1/41 | | | | | 500,000 | | | | | | 497,192 | | |
| | | | | | | | | | | | 13,605,531 | | |
| Minnesota — 0.3% | |
Minneapolis Special School District No 1,
General Obligation Bonds | | | | | | | | | | | | | |
| Series B Insured: SD CRED PROG | | | | | | | | | | | | | |
| 5.000%, due 2/1/31 | | | | | 1,250,000 | | | | | | 1,395,255 | | |
| Missouri — 2.0% | |
| City of Kansas City MO, Revenue Bonds | | | | | | | | | | | | | |
| Series C | | | | | | | | | | | | | |
| 5.000%, due 9/1/26 | | | | | 1,300,000 | | | | | | 1,382,167 | | |
| 5.000%, due 9/1/28 | | | | | 1,000,000 | | | | | | 1,102,674 | | |
Health & Educational Facilities Authority
of the State of Missouri, Revenue
Bonds | | | | | | | | | | | | | |
| 4.000%, due 8/1/25 | | | | | 150,000 | | | | | | 147,714 | | |
Hickman Mills School District, General Obligation Bonds Series C-1
Insured: BAM | | | | | | | | | | | | | |
| 5.750%, due 3/1/42 | | | | | 3,390,000 | | | | | | 3,848,234 | | |
| Wright City R-II School District, General Obligation Bonds Insured: AGM | | | | | | | | | | | | | |
| 6.000%, due 3/1/27 | | | | | 150,000 | | | | | | 167,391 | | |
| 6.000%, due 3/1/29 | | | | | 150,000 | | | | | | 176,482 | | |
| 6.000%, due 3/1/31 | | | | | 35,000 | | | | | | 43,032 | | |
| 6.000%, due 3/1/33 | | | | | 500,000 | | | | | | 632,789 | | |
| 6.000%, due 3/1/35 | | | | | 530,000 | | | | | | 665,591 | | |
| | | | | | | | | | | | 8,166,074 | | |
| Montana — 0.1% | |
| Montana Facility Finance Authority, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 6/1/24 | | | | | 375,000 | | | | | | 380,681 | | |
| Nebraska — 1.3% | |
| Central Plains Energy Project, Revenue Bonds | | | | | | | | | | | | | |
4.000%, due 12/1/49(a)(b) | | | | | 1,500,000 | | | | | | 1,506,183 | | |
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Nebraska (continued) | |
5.000%, due 3/1/50(a)(b) | | | | | 3,500,000 | | | | | | 3,525,619 | | |
| City of Kearney NE, General Obligation Bonds | | | | | | | | | | | | | |
| 4.000%, due 5/15/32 | | | | $ | 340,000 | | | | | $ | 348,126 | | |
| | | | | | | | | | | | 5,379,928 | | |
| Nevada — 0.7% | |
| City of North Las Vegas NV, General Obligation Bonds Insured: AGM | | | | | | | | | | | | | |
| 4.000%, due 6/1/36 | | | | | 825,000 | | | | | | 841,096 | | |
Clark County School District, General Obligation Bonds Series A
Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 6/15/37 | | | | | 845,000 | | | | | | 953,723 | | |
| County of Clark NV, General Obligation Bonds Series A | | | | | | | | | | | | | |
| 4.000%, due 7/1/39 | | | | | 1,000,000 | | | | | | 1,004,481 | | |
| | | | | | | | | | | | 2,799,300 | | |
| New Hampshire — 0.2% | |
| New Hampshire Business Finance Authority, Revenue Bonds Series A | | | | | | | | | | | | | |
| 4.000%, due 4/1/30 | | | | | 665,000 | | | | | | 682,676 | | |
| New Jersey — 2.7% | |
| Atlantic County Improvement Authority (The), Revenue Bonds Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 7/1/32 | | | | | 325,000 | | | | | | 370,974 | | |
| Essex County Improvement Authority, Revenue Bonds | | | | | | | | | | | | | |
| 4.000%, due 7/15/28 | | | | | 415,000 | | | | | | 416,069 | | |
| New Jersey Economic Development Authority, Revenue Bonds | | | | | | | | | | | | | |
| 4.914%, due 3/1/24 | | | | | 1,000,000 | | | | | | 995,781 | | |
| New Jersey Educational Facilities Authority, Revenue Bonds | | | | | | | | | | | | | |
| Series C Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 7/1/25 | | | | | 470,000 | | | | | | 488,964 | | |
| New Jersey Health Care Facilities Financing Authority, Revenue Bonds | | | | | | | | | | | | | |
| Series A Insured: AGM | | | | | | | | | | | | | |
| 4.125%, due 7/1/38 | | | | | 290,000 | | | | | | 288,746 | | |
| New Jersey Housing & Mortgage Finance Agency, Revenue Bonds | | | | | | | | | | | | | |
| Series A | | | | | | | | | | | | | |
3.500%, due 7/1/25(a)(b) | | | | | 4,000,000 | | | | | | 3,973,704 | | |
| New Jersey Transportation Trust Fund Authority, Revenue Bonds Series A | | | | | | | | | | | | | |
3.390%, due 12/15/26(c) | | | | | 650,000 | | | | | | 575,465 | | |
| Series AA | | | | | | | | | | | | | |
| 5.000%, due 6/15/37 | | | | | 1,300,000 | | | | | | 1,415,732 | | |
New Jersey Turnpike Authority, Revenue
Bonds Series B | | | | | | | | | | | | | |
| 5.000%, due 1/1/42 | | | | | 1,000,000 | | | | | | 1,119,286 | | |
| Series D-1 | | | | | | | | | | | | | |
4.093%, (1-Month LIBOR + 0.70%), due
1/1/24(a) | | | | | 1,000,000 | | | | | | 999,427 | | |
| South Jersey Port Corp., Revenue Bonds | | | | | | | | | | | | | |
| Series B | | | | | | | | | | | | | |
| 5.000%, due 1/1/31 | | | | | 500,000 | | | | | | 526,167 | | |
| | | | | | | | | | | | 11,170,315 | | |
| |
See notes to financial statements.
Schedule of Investments — IQ MacKay Municipal Intermediate ETF (continued)
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| New Mexico — 0.2% | |
Albuquerque Metropolitan Arroyo Flood
Control Authority, General Obligation
Bonds | | | | | | | | | | | | | |
| 5.000%, due 8/1/27 | | | | $ | 650,000 | | | | | $ | 714,636 | | |
| New York — 7.3% | |
| Build NYC Resource Corp., Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 7/1/23 | | | | | 665,000 | | | | | | 665,454 | | |
Camden Central School District, General
Obligation Bonds Insured: BAM | | | | | | | | | | | | | |
| 4.000%, due 3/15/27 | | | | | 1,180,000 | | | | | | 1,227,717 | | |
City of New York NY, General Obligation
Bonds | | | | | | | | | | | | | |
| 5.250%, due 10/1/47 | | | | | 3,000,000 | | | | | | 3,368,200 | | |
| Series F-1 | | | | | | | | | | | | | |
| 5.000%, due 6/1/34 | | | | | 1,090,000 | | | | | | 1,132,974 | | |
| County of Nassau NY, General Obligation Bonds Series A Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 1/1/26 | | | | | 1,000,000 | | | | | | 1,062,074 | | |
| Series B Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 4/1/38 | | | | | 1,500,000 | | | | | | 1,675,768 | | |
| Long Island Power Authority, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 9/1/39 | | | | | 600,000 | | | | | | 607,896 | | |
| Metropolitan Transportation Authority, Revenue Bonds Series A-1 | | | | | | | | | | | | | |
| 5.000%, due 11/15/29 | | | | | 500,000 | | | | | | 518,634 | | |
| Series C | | | | | | | | | | | | | |
| 5.000%, due 11/15/38 | | | | | 250,000 | | | | | | 250,469 | | |
| 5.000%, due 11/15/42 | | | | | 500,000 | | | | | | 500,939 | | |
| New York City Housing Development Corp., Revenue Bonds Series F-2A | | | | | | | | | | | | | |
3.400%, due 11/1/62(a)(b) | | | | | 780,000 | | | | | | 778,626 | | |
| New York City Municipal Water Finance Authority, Revenue Bonds Series HH | | | | | | | | | | | | | |
| 5.000%, due 6/15/39 | | | | | 1,500,000 | | | | | | 1,545,119 | | |
| New York City Transitional Finance Authority Building Aid Revenue, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 7/15/33 | | | | | 150,000 | | | | | | 167,510 | | |
New York City Transitional Finance
Authority Future Tax Secured Revenue,
Revenue Bonds | | | | | | | | | | | | | |
| 4.000%, due 5/1/43 | | | | | 215,000 | | | | | | 211,805 | | |
| Series A-1 | | | | | | | | | | | | | |
| 4.000%, due 11/1/38 | | | | | 1,000,000 | | | | | | 1,014,891 | | |
| New York Liberty Development Corp., Revenue Bonds Insured: BAM | | | | | | | | | | | | | |
| 4.000%, due 2/15/43 | | | | | 2,000,000 | | | | | | 1,977,949 | | |
| Class 1 | | | | | | | | | | | | | |
| 2.450%, due 9/15/69 | | | | | 500,000 | | | | | | 452,041 | | |
| Series A Insured: AGM | | | | | | | | | | | | | |
| 2.750%, due 11/15/41 | | | | | 1,070,000 | | | | | | 832,338 | | |
| New York State Dormitory Authority, Revenue Bonds Series A | | | | | | | | | | | | | |
| 4.000%, due 3/15/39 | | | | | 500,000 | | | | | | 506,309 | | |
| 4.000%, due 3/15/41 | | | | | 1,500,000 | | | | | | 1,500,156 | | |
| 5.000%, due 3/15/35 | | | | | 1,000,000 | | | | | | 1,034,987 | | |
| Series E | | | | | | | | | | | | | |
| 3.000%, due 3/15/41 | | | | | 500,000 | | | | | | 420,925 | | |
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| New York (continued) | |
| 5.000%, due 3/15/41 | | | | $ | 2,000,000 | | | | | $ | 2,159,038 | | |
New York State Housing Finance Agency,
Revenue Bonds Series A | | | | | | | | | | | | | |
| 0.750%, due 11/1/25 | | | | | 285,000 | | | | | | 260,605 | | |
| New York State Thruway Authority, Revenue Bonds Series A-1 | | | | | | | | | | | | | |
| 4.000%, due 3/15/43 | | | | | 1,165,000 | | | | | | 1,149,274 | | |
| New York State Urban Development Corp., Revenue Bonds | | | | | | | | | | | | | |
| 4.000%, due 3/15/38 | | | | | 650,000 | | | | | | 658,542 | | |
Port Authority of New York & New Jersey,
Revenue Bonds | | | | | | | | | | | | | |
| 5.250%, due 5/15/42 | | | | | 1,000,000 | | | | | | 1,088,033 | | |
| Triborough Bridge & Tunnel Authority, Revenue Bonds Insured: AGM | | | | | | | | | | | | | |
2.000%, due 5/15/45(a)(b) | | | | | 1,345,000 | | | | | | 1,245,273 | | |
| Series B-3 | | | | | | | | | | | | | |
| 5.000%, due 11/15/38 | | | | | 1,000,000 | | | | | | 1,040,744 | | |
| Series D-2 | | | | | | | | | | | | | |
| 5.250%, due 5/15/47 | | | | | 1,250,000 | | | | | | 1,408,317 | | |
| | | | | | | | | | | | 30,462,607 | | |
| North Carolina — 1.8% | |
| Charlotte-Mecklenburg Hospital Authority (The), Revenue Bonds | | | | | | | | | | | | | |
| Series E Insured: AGM | | | | | | | | | | | | | |
3.450%, due 1/15/44(a)(b) | | | | | 5,500,000 | | | | | | 5,500,000 | | |
| North Carolina Medical Care Commission, Revenue Bonds Series A | | | | | | | | | | | | | |
| 4.000%, due 9/1/41 | | | | | 1,095,000 | | | | | | 911,210 | | |
| North Carolina Turnpike Authority, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 2/1/24 | | | | | 1,000,000 | | | | | | 1,013,534 | | |
| | | | | | | | | | | | 7,424,744 | | |
| North Dakota — 0.3% | |
| City of Grand Forks ND, Revenue Bonds | | | | | | | | | | | | | |
| 4.000%, due 12/1/37 | | | | | 1,250,000 | | | | | | 1,147,966 | | |
| Ohio — 2.3% | |
| Akron Bath Copley Joint Township Hospital District, Revenue Bonds | | | | | | | | | | | | | |
| 4.000%, due 11/15/33 | | | | | 1,260,000 | | | | | | 1,256,289 | | |
| American Municipal Power, Inc., Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 2/15/41 | | | | | 1,000,000 | | | | | | 1,024,898 | | |
| City of Toledo OH, General Obligation Bonds Insured: AGM | | | | | | | | | | | | | |
| 5.250%, due 12/1/36 | | | | | 1,000,000 | | | | | | 1,146,672 | | |
| 5.500%, due 12/1/39 | | | | | 1,330,000 | | | | | | 1,522,707 | | |
| City of Upper Arlington OH, General Obligation Bonds | | | | | | | | | | | | | |
| 5.250%, due 12/1/35 | | | | | 750,000 | | | | | | 788,817 | | |
Cloverleaf Local School District, Certificates of Participation
Insured: BAM | | | | | | | | | | | | | |
| 5.375%, due 12/1/37 | | | | | 1,000,000 | | | | | | 1,089,318 | | |
Crestview Local School District/Columbiana County, Certificates of Participation
Insured: AGM | | | | | | | | | | | | | |
| 4.000%, due 12/1/37 | | | | | 320,000 | | | | | | 327,741 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Municipal Intermediate ETF (continued)
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Ohio (continued) | |
Euclid City School District, General Obligation Bonds Series A
Insured: SD CRED PROG | | | | | | | | | | | | | |
| 5.250%, due 1/15/44 | | | | $ | 1,000,000 | | | | | $ | 1,030,969 | | |
| Forest Hills Local School District, General Obligation Bonds | | | | | | | | | | | | | |
| 5.000%, due 12/1/44 | | | | | 630,000 | | | | | | 638,712 | | |
| State of Ohio, Revenue Bonds Series E | | | | | | | | | | | | | |
| 5.000%, due 1/15/35 | | | | | 500,000 | | | | | | 539,469 | | |
| | | | | | | | | | | | 9,365,592 | | |
| Oregon — 0.4% | |
| State of Oregon, General Obligation Bonds Series F | | | | | | | | | | | | | |
| 5.000%, due 5/1/35 | | | | | 1,500,000 | | | | | | 1,549,735 | | |
| Pennsylvania — 2.4% | |
| Allegheny County Sanitary Authority, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 12/1/40 | | | | | 500,000 | | | | | | 517,900 | | |
| City of Erie PA, General Obligation Bonds | | | | | | | | | | | | | |
| Series C Insured: AGM | | | | | | | | | | | | | |
4.560%, due 11/15/37(c) | | | | | 750,000 | | | | | | 415,133 | | |
| Delaware Valley Regional Finance Authority, Revenue Bonds | | | | | | | | | | | | | |
| Series B Insured: AMBAC | | | | | | | | | | | | | |
| 5.700%, due 7/1/27 | | | | | 1,000,000 | | | | | | 1,107,697 | | |
Indiana County Industrial Development Authority, Revenue Bonds
Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 5/1/27 | | | | | 250,000 | | | | | | 265,355 | | |
| Lancaster County Hospital Authority, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 11/1/38 | | | | | 1,100,000 | | | | | | 1,180,384 | | |
| Lancaster Industrial Development Authority, Revenue Bonds | | | | | | | | | | | | | |
| 4.000%, due 7/1/31 | | | | | 100,000 | | | | | | 90,787 | | |
| Pennsylvania Higher Educational Facilities Authority, Revenue Bonds | | | | | | | | | | | | | |
| Series A Insured: AGC | | | | | | | | | | | | | |
4.068%, (3-Month LIBOR + 0.60%), due
7/1/27(a) | | | | | 140,000 | | | | | | 137,702 | | |
| Pennsylvania Housing Finance Agency, Revenue Bonds | | | | | | | | | | | | | |
| 5.750%, due 10/1/53 | | | | | 865,000 | | | | | | 934,578 | | |
| Pennsylvania Turnpike Commission, Revenue Bonds Series A-1 | | | | | | | | | | | | | |
| 5.000%, due 12/1/41 | | | | | 2,000,000 | | | | | | 2,081,023 | | |
| Pittsburgh Water & Sewer Authority, Revenue Bonds Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 9/1/36 | | | | | 1,285,000 | | | | | | 1,452,724 | | |
| Series A Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 9/1/32 | | | | | 550,000 | | | | | | 625,075 | | |
| West Shore School District, General Obligation Bonds | | | | | | | | | | | | | |
| 5.000%, due 11/15/43 | | | | | 1,000,000 | | | | | | 1,047,558 | | |
| | | | | | | | | | | | 9,855,916 | | |
| Puerto Rico — 0.4% | |
Puerto Rico Electric Power Authority,
Revenue Bonds Series PP Insured: NATL | | | | | | | | | | | | | |
| 5.000%, due 7/1/24 | | | | | 25,000 | | | | | | 25,022 | | |
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Puerto Rico (continued) | |
| Puerto Rico Housing Finance Authority, Revenue Bonds | | | | | | | | | | | | | |
5.000%, due 3/1/27(a)(b) | | | | $ | 750,000 | | | | | $ | 785,021 | | |
Puerto Rico Industrial Tourist Educational
Medical & Envirml Ctl Facs Fing Auth,
Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 7/1/28 | | | | | 400,000 | | | | | | 428,762 | | |
| 5.000%, due 7/1/29 | | | | | 425,000 | | | | | | 462,124 | | |
| | | | | | | | | | | | 1,700,929 | | |
| Rhode Island — 1.2% | |
Providence Public Building Authority,
Revenue Bonds Series B Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 6/15/32 | | | | | 250,000 | | | | | | 275,116 | | |
| Rhode Island Health and Educational Building Corp., Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 5/15/25 | | | | | 500,000 | | | | | | 506,887 | | |
| 5.000%, due 9/1/43 | | | | | 1,500,000 | | | | | | 1,505,043 | | |
| Series F | | | | | | | | | | | | | |
| 5.500%, due 5/15/39 | | | | | 1,320,000 | | | | | | 1,509,747 | | |
| 5.500%, due 5/15/41 | | | | | 180,000 | | | | | | 203,835 | | |
| Rhode Island Housing and Mortgage Finance Corp., Revenue Bonds | | | | | | | | | | | | | |
| Series 77-A | | | | | | | | | | | | | |
| 5.000%, due 10/1/28 | | | | | 350,000 | | | | | | 383,796 | | |
| Rhode Island Infrastructure Bank, Revenue Bonds | | | | | | | | | | | | | |
| 4.000%, due 10/1/34 | | | | | 650,000 | | | | | | 700,725 | | |
| | | | | | | | | | | | 5,085,149 | | |
| South Carolina — 1.7% | |
| City of Spartanburg SC Water System Revenue, Revenue Bonds Series A | | | | | | | | | | | | | |
| 5.000%, due 12/1/34 | | | | | 1,000,000 | | | | | | 1,052,662 | | |
| Greenville Housing Authority, Revenue Bonds | | | | | | | | | | | | | |
5.000%, due 10/1/26(a)(b) | | | | | 1,000,000 | | | | | | 1,029,265 | | |
| South Carolina Public Service Authority, Revenue Bonds Insured: AGM | | | | | | | | | | | | | |
| 5.250%, due 12/1/37 | | | | | 2,000,000 | | | | | | 2,254,336 | | |
| Series B | | | | | | | | | | | | | |
| 5.000%, due 12/1/36 | | | | | 100,000 | | | | | | 103,168 | | |
Spartanburg County School District No 4,
General Obligation Bonds
Insured: SCSDE | | | | | | | | | | | | | |
| 5.000%, due 3/1/42 | | | | | 2,210,000 | | | | | | 2,463,102 | | |
| | | | | | | | | | | | 6,902,533 | | |
| South Dakota — 0.1% | |
| Baltic School District No 49-1, General Obligation Bonds Insured: AGM | | | | | | | | | | | | | |
| 4.500%, due 12/1/38 | | | | | 300,000 | | | | | | 316,820 | | |
| Tennessee — 1.4% | |
Health Educational and Housing Facility
Board of the City of Memphis (The),
Revenue Bonds | | | | | | | | | | | | | |
5.000%, due 7/1/27(a)(b) | | | | | 1,305,000 | | | | | | 1,354,039 | | |
| Metropolitan Government Nashville & Davidson County Health & Educational Facs Bd, Revenue Bonds | | | | | | | | | | | | | |
4.000%, due 4/1/26(a)(b) | | | | | 3,000,000 | | | | | | 3,015,013 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Municipal Intermediate ETF (continued)
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Tennessee (continued) | |
Metropolitan Government of Nashville &
Davidson County TN Electric Revenue,
Revenue Bonds Series A | | | | | | | | | | | | | |
| 5.000%, due 5/15/42 | | | | $ | 1,000,000 | | | | | $ | 1,056,697 | | |
| Tennessee Energy Acquisition Corp., Revenue Bonds Series B | | | | | | | | | | | | | |
| 5.625%, due 9/1/26 | | | | | 500,000 | | | | | | 518,739 | | |
| | | | | | | | | | | | 5,944,488 | | |
| Texas — 14.2% | |
| Alamito Public Facility Corp., Revenue Bonds | | | | | | | | | | | | | |
3.500%, due 9/1/25(a)(b) | | | | | 8,000,000 | | | | | | 7,950,348 | | |
4.375%, due 3/1/41(a)(b) | | | | | 500,000 | | | | | | 499,989 | | |
Allen Independent School District, General Obligation Bonds
Insured: PSF-GTD | | | | | | | | | | | | | |
| 5.000%, due 2/15/35 | | | | | 2,515,000 | | | | | | 2,647,426 | | |
| Arlington Higher Education Finance Corp., Revenue Bonds | | | | | | | | | | | | | |
| Series A Insured: PSF-GTD | | | | | | | | | | | | | |
| 5.000%, due 8/15/32 | | | | | 2,200,000 | | | | | | 2,582,903 | | |
Arlington Independent School District, General Obligation Bonds
Insured: PSF-GTD | | | | | | | | | | | | | |
| 5.000%, due 2/15/39 | | | | | 1,500,000 | | | | | | 1,567,529 | | |
Barbers Hill Independent School District, General Obligation Bonds
Insured: PSF-GTD | | | | | | | | | | | | | |
| 4.000%, due 2/15/41 | | | | | 1,000,000 | | | | | | 1,004,218 | | |
City of Alvin TX Water & Sewer System Revenue, Revenue Bonds
Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 2/1/27 | | | | | 1,225,000 | | | | | | 1,325,302 | | |
| City of Amarillo TX Waterworks & Sewer System Revenue, Revenue Bonds | | | | | | | | | | | | | |
| 4.000%, due 4/1/41 | | | | | 1,360,000 | | | | | | 1,351,722 | | |
City of Arlington TX Special Tax Revenue,
Special Tax Series A Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 2/15/43 | | | | | 250,000 | | | | | | 262,558 | | |
| City of Austin TX, General Obligation Bonds | | | | | | | | | | | | | |
| 5.000%, due 9/1/23 | | | | | 260,000 | | | | | | 261,528 | | |
City of Austin TX Airport System Revenue,
Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 11/15/46 | | | | | 1,000,000 | | | | | | 1,031,424 | | |
| City of Austin TX Electric Utility Revenue, Revenue Bonds Series A | | | | | | | | | | | | | |
| 5.000%, due 11/15/45 | | | | | 1,455,000 | | | | | | 1,488,046 | | |
| City of Austin TX Water & Wastewater System Revenue, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 5/15/23 | | | | | 1,100,000 | | | | | | 1,100,687 | | |
| 5.000%, due 11/15/23 | | | | | 1,000,000 | | | | | | 1,009,922 | | |
City of Georgetown TX Utility System Revenue, Revenue Bonds
Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 8/15/26 | | | | | 1,000,000 | | | | | | 1,064,802 | | |
| City of San Antonio TX Electric & Gas Systems Revenue, Revenue Bonds | | | | | | | | | | | | | |
| 4.000%, due 2/1/34 | | | | | 250,000 | | | | | | 254,709 | | |
| 5.000%, due 2/1/44 | | | | | 1,035,000 | | | | | | 1,095,293 | | |
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Texas (continued) | |
| City of Temple TX, Tax Allocation | | | | | | | | | | | | | |
| Series A Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 8/1/27 | | | | $ | 125,000 | | | | | $ | 135,176 | | |
Clifton Higher Education Finance Corp.,
Revenue Bonds Insured: PSF-GTD | | | | | | | | | | | | | |
| 3.000%, due 8/15/34 | | | | | 180,000 | | | | | | 175,963 | | |
| 3.000%, due 8/15/35 | | | | | 250,000 | | | | | | 237,805 | | |
County of Parker TX, General Obligation
Bonds | | | | | | | | | | | | | |
| 5.000%, due 2/15/42 | | | | | 6,625,000 | | | | | | 6,928,287 | | |
| Edinburg Consolidated Independent School District, General Obligation Bonds Insured: PSF-GTD | | | | | | | | | | | | | |
| 5.000%, due 2/15/35 | | | | | 1,235,000 | | | | | | 1,291,940 | | |
Forney Independent School District, General Obligation Bonds
Insured: BAM | | | | | | | | | | | | | |
3.910%, due 8/15/41(c) | | | | | 255,000 | | | | | | 83,109 | | |
Fort Bend County Municipal Utility District
No 215, General Obligation Bonds | | | | | | | | | | | | | |
| Insured: BAM | | | | | | | | | | | | | |
| 4.000%, due 9/1/24 | | | | | 125,000 | | | | | | 126,356 | | |
| Grand Parkway Transportation Corp., Revenue Bonds | | | | | | | | | | | | | |
| 4.000%, due 10/1/37 | | | | | 750,000 | | | | | | 759,779 | | |
Greater Greenspoint Redevelopment
Authority, Tax Allocation Insured: AGM | | | | | | | | | | | | | |
| 4.000%, due 9/1/32 | | | | | 350,000 | | | | | | 373,330 | | |
| 4.000%, due 9/1/33 | | | | | 370,000 | | | | | | 392,362 | | |
| Greater Texoma Utility Authority, Revenue Bonds Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 10/1/36 | | | | | 2,485,000 | | | | | | 2,775,921 | | |
| Guadalupe-Blanco River Authority, Revenue Bonds Insured: BAM | | | | | | | | | | | | | |
| 6.000%, due 8/15/42 | | | | | 1,980,000 | | | | | | 2,314,365 | | |
| Harris County Flood Control District, Revenue Bonds Series A | | | | | | | | | | | | | |
| 4.000%, due 10/1/38 | | | | | 1,265,000 | | | | | | 1,278,577 | | |
Harris County Municipal Utility District
No 423, General Obligation Bonds | | | | | | | | | | | | | |
| Series A Insured: BAM | | | | | | | | | | | | | |
| 6.500%, due 4/1/28 | | | | | 300,000 | | | | | | 336,810 | | |
| 6.500%, due 4/1/29 | | | | | 325,000 | | | | | | 365,414 | | |
| Houston Higher Education Finance Corp., Revenue Bonds | | | | | | | | | | | | | |
| 1.500%, due 10/1/23 | | | | | 230,000 | | | | | | 226,442 | | |
| Series A Insured: PSF-GTD | | | | | | | | | | | | | |
| 4.000%, due 2/15/39 | | | | | 1,915,000 | | | | | | 1,864,632 | | |
| Hutto Independent School District, General Obligation Bonds | | | | | | | | | | | | | |
| Insured: PSF-GTD | | | | | | | | | | | | | |
| 5.000%, due 8/1/27 | | | | | 355,000 | | | | | | 389,550 | | |
| Laredo Independent School District, General Obligation Bonds | | | | | | | | | | | | | |
| Insured: PSF-GTD | | | | | | | | | | | | | |
| 5.000%, due 8/1/29 | | | | | 650,000 | | | | | | 741,994 | | |
| Montgomery County Municipal Utility District No 95, General Obligation Bonds Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 9/1/41 | | | | | 560,000 | | | | | | 580,492 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Municipal Intermediate ETF (continued)
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Texas (continued) | |
| North Texas Tollway Authority, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 1/1/45 | | | | $ | 1,300,000 | | | | | $ | 1,323,638 | | |
| 5.250%, due 1/1/38 | | | | | 1,000,000 | | | | | | 1,133,497 | | |
| Sabine-Neches Navigation District, General Obligation Bonds | | | | | | | | | | | | | |
| 5.250%, due 2/15/37 | | | | | 1,000,000 | | | | | | 1,139,799 | | |
| 5.250%, due 2/15/41 | | | | | 2,000,000 | | | | | | 2,229,721 | | |
| Texas Municipal Gas Acquisition and Supply Corp. II, Revenue Bonds | | | | | | | | | | | | | |
| Series C | | | | | | | | | | | | | |
3.902%, (3-Month LIBOR + 0.69%), due
9/15/27(a) | | | | | 2,190,000 | | | | | | 2,158,677 | | |
| Texas Private Activity Bond Surface Transportation Corp., Revenue Bonds | | | | | | | | | | | | | |
| 4.000%, due 6/30/33 | | | | | 500,000 | | | | | | 505,424 | | |
| Texas Water Development Board, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 8/1/41 | | | | | 1,000,000 | | | | | | 1,125,326 | | |
| Series A | | | | | | | | | | | | | |
| 5.000%, due 10/15/43 | | | | | 1,000,000 | | | | | | 1,064,388 | | |
| Uptown Development Authority, Tax Allocation Series A | | | | | | | | | | | | | |
| 5.000%, due 9/1/35 | | | | | 500,000 | | | | | | 513,434 | | |
| | | | | | | | | | | | 59,070,614 | | |
| Utah — 2.3% | |
| County of Utah UT, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 5/15/41 | | | | | 1,500,000 | | | | | | 1,553,404 | | |
| Intermountain Power Agency, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 7/1/41 | | | | | 1,000,000 | | | | | | 1,111,834 | | |
| Series A | | | | | | | | | | | | | |
| 5.000%, due 7/1/29 | | | | | 750,000 | | | | | | 860,827 | | |
| 5.000%, due 7/1/30 | | | | | 500,000 | | | | | | 583,512 | | |
| State of Utah, General Obligation Bonds | | | | | | | | | | | | | |
| Series B | | | | | | | | | | | | | |
| 3.539%, due 7/1/25 | | | | | 4,030,026 | | | | | | 3,980,830 | | |
| Utah Associated Municipal Power Systems, Revenue Bonds Series A | | | | | | | | | | | | | |
| 5.000%, due 9/1/31 | | | | | 500,000 | | | | | | 548,896 | | |
| Utah Charter School Finance Authority, Revenue Bonds Insured: BAM | | | | | | | | | | | | | |
| 4.000%, due 4/15/40 | | | | | 250,000 | | | | | | 238,137 | | |
| Utah Infrastructure Agency, Revenue Bonds Series A | | | | | | | | | | | | | |
| 3.000%, due 10/15/24 | | | | | 520,000 | | | | | | 508,120 | | |
| | | | | | | | | | | | 9,385,560 | | |
| Vermont — 0.5% | |
| City of Burlington VT Airport Revenue, Revenue Bonds Series A | | | | | | | | | | | | | |
| 5.000%, due 7/1/26 | | | | | 605,000 | | | | | | 635,408 | | |
| University of Vermont and State Agricultural College, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 10/1/40 | | | | | 1,500,000 | | | | | | 1,535,188 | | |
| | | | | | | | | | | | 2,170,596 | | |
| |
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Virginia — 0.3% | |
| James City County Economic Development Authority, Revenue Bonds | | | | | | | | | | | | | |
5.000%, due 2/1/26(a)(b) | | | | $ | 1,000,000 | | | | | $ | 1,018,426 | | |
| Norfolk Airport Authority, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 7/1/28 | | | | | 150,000 | | | | | | 166,396 | | |
| | | | | | | | | | | | 1,184,822 | | |
| Washington — 2.0% | |
| County of King WA Sewer Revenue, Revenue Bonds Series A | | | | | | | | | | | | | |
4.090%, (Municipal Swap Index + 0.23%), due 1/1/40(a) | | | | | 3,000,000 | | | | | | 2,921,860 | | |
| Energy Northwest, Revenue Bonds Series A | | | | | | | | | | | | | |
| 5.000%, due 7/1/38 | | | | | 1,000,000 | | | | | | 1,029,756 | | |
| Seattle Housing Authority, Revenue Bonds | | | | | | | | | | | | | |
| 1.000%, due 6/1/26 | | | | | 270,000 | | | | | | 247,677 | | |
| Spokane Public Facilities District, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 12/1/35 | | | | | 535,000 | | | | | | 557,007 | | |
State of Washington, General Obligation
Bonds Series 2020 A | | | | | | | | | | | | | |
| 5.000%, due 8/1/42 | | | | | 845,000 | | | | | | 923,874 | | |
| Series A-2 | | | | | | | | | | | | | |
| 5.000%, due 8/1/43 | | | | | 1,420,000 | | | | | | 1,591,762 | | |
| Series D | | | | | | | | | | | | | |
| 5.000%, due 2/1/35 | | | | | 600,000 | | | | | | 607,408 | | |
| Washington State Convention Center Public Facilities District, Revenue Bonds Series B | | | | | | | | | | | | | |
| 4.000%, due 7/1/43 | | | | | 535,000 | | | | | | 474,378 | | |
| | | | | | | | | | | | 8,353,722 | | |
| West Virginia — 0.7% | |
| State of West Virginia, General Obligation Bonds Series A | | | | | | | | | | | | | |
| 5.000%, due 12/1/35 | | | | | 585,000 | | | | | | 655,997 | | |
West Virginia Hospital Finance Authority,
Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 9/1/39 | | | | | 1,500,000 | | | | | | 1,524,267 | | |
| West Virginia Parkways Authority, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 6/1/43 | | | | | 860,000 | | | | | | 915,435 | | |
| | | | | | | | | | | | 3,095,699 | | |
| Wisconsin — 2.1% | |
| PMA Levy & Aid Anticipation Notes Program, Revenue Notes Series A | | | | | | | | | | | | | |
| 4.000%, due 8/24/23 | | | | | 490,000 | | | | | | 490,297 | | |
| Public Finance Authority, Revenue Bonds | | | | | | | | | | | | | |
| 4.000%, due 10/1/23 | | | | | 40,000 | | | | | | 39,889 | | |
| 4.000%, due 10/1/24 | | | | | 35,000 | | | | | | 34,658 | | |
| 4.000%, due 10/1/30 | | | | | 265,000 | | | | | | 248,428 | | |
| 4.000%, due 10/1/31 | | | | | 390,000 | | | | | | 361,690 | | |
| 4.000%, due 10/1/32 | | | | | 390,000 | | | | | | 357,679 | | |
| 4.000%, due 10/1/33 | | | | | 420,000 | | | | | | 380,795 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay Municipal Intermediate ETF (continued)
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Wisconsin (continued) | |
| 4.000%, due 10/1/34 | | | | $ | 390,000 | | | | | $ | 349,456 | | |
| 5.000%, due 3/1/41 | | | | | 1,000,000 | | | | | | 1,022,209 | | |
| 5.000%, due 3/1/46 | | | | | 3,000,000 | | | | | | 3,050,589 | | |
| Racine Unified School District, Revenue Notes | | | | | | | | | | | | | |
| 4.000%, due 8/9/23 | | | | | 1,500,000 | | | | | | 1,500,181 | | |
Wisconsin Health & Educational Facilities
Authority, Revenue Bonds Series A
Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 2/15/33 | | | | | 425,000 | | | | | | 471,809 | | |
| Wisconsin Housing & Economic Development Authority Housing Revenue, Revenue Bonds | | | | | | | | | | | | | |
0.500%, due 11/1/50(a)(b) | | | | | 235,000 | | | | | | 221,437 | | |
| | | | | | | | | | | | 8,529,117 | | |
Total Municipal Bonds
(Cost $409,707,916) | | | | | | | | | | | 409,283,500 | | |
| |
| | | | Shares | | | | | | | |
| Short-Term Investment — 0.1% | |
| Money Market Fund — 0.1% | |
Dreyfus Tax Exempt Cash Management — Institutional, 3.32%(d)
(Cost $586,916) | | | | | 586,980 | | | | | | 586,916 | | |
Total Investments — 98.8%
(Cost $410,294,832) | | | | | | | | | | | 409,870,416 | | |
| Other Assets and Liabilities, Net — 1.2% | | | | | | | | | | | 4,631,463 | | |
| Net Assets — 100.0% | | | | | | | | | | $ | 414,501,879 | | |
(a)
Variable rate securities that may be tendered back to the issuer at any time prior to maturity at par. Rate shown is the rate in effect as of April 30, 2023.
(b)
Adjustable rate security with an interest rate that is not based on a published reference index and spread. The rate is based on the structure of the agreement and current market conditions.
(c)
The security was issued on a discount basis with no stated coupon rate. Rate shown reflects the effective yield.
(d)
Reflects the 7-day yield at April 30, 2023.
Abbreviations
| | AGC | | | — | | | Assured Guaranty Corp. | |
| | AGM | | | — | | | Assured Guaranty Municipal Corp. | |
| | AMBAC | | | — | | | Ambac Assurance Corp. | |
| | BAM | | | — | | | Build America Mutual Assurance Co. | |
| | LIBOR | | | — | | | London Interbank Offered Rate. | |
| | MSD | | | — | | | Metropolitan School District | |
| | NATL | | | — | | | National Public Finance Guarantee Corp. | |
| | PSF-GTD | | | — | | | Permanent School Fund Guaranteed | |
| | Q-SBLF | | | — | | | Qualified School Bond Loan Fund | |
| | SCSDE | | | — | | | South Carolina Department of Education | |
| | SD CRED PROG | | | — | | | School District Credit Enhancement Program | |
| | ST HGR ED INTERCEPT PROG | | | — | | | State Higher Education Intercept Program | |
| | ST INTERCEPT | | | — | | | State Tax Intercept | |
The following is a summary of the inputs used to value the Fund’s investments as of April 30, 2023. For more information on the valuation techniques, and their aggregation into the levels used in the table below, please refer to Note 2.
| Description | | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
| Asset Valuation Inputs | | | | | | | | | | | | | | | | | | | | | | | | | |
| Investments in Securities:(e) | | | | | | | | | | | | | | | | | | | | | | | | | |
| Municipal Bonds | | | | $ | — | | | | | $ | 409,283,500 | | | | | $ | — | | | | | $ | 409,283,500 | | |
| Short-Term Investment: | | | | | | | | | | | | | | | | | | | | | | | | | |
| Money Market Fund | | | | | 586,916 | | | | | | — | | | | | | — | | | | | | 586,916 | | |
| Total Investments in Securities | | | | $ | 586,916 | | | | | $ | 409,283,500 | | | | | $ | — | | | | | $ | 409,870,416 | | |
(e)
For a complete listing of investments and their states, see the Schedule of Investments.
For the year ended April 30, 2023, the Fund did not have any transfers into or out of Level 3 within the fair value hierarchy. (See Note 2)
See notes to financial statements.
Schedule of Investments — IQ MacKay California Municipal Intermediate ETF
| | | | Principal
Amount | | | Value | |
| Municipal Bonds — 96.9% | |
| California — 86.9% | |
| Cabrillo Community College District, General Obligation Bonds Series A | | | | | | | | | | | | | |
| 4.000%, due 8/1/32 | | | | $ | 500,000 | | | | | $ | 537,849 | | |
California Community Choice
Financing Authority, Revenue Bonds | | | | | | | | | | | | | |
4.000%, due 10/1/52(a)(b) | | | | | 1,000,000 | | | | | | 1,006,345 | | |
| Series A1 | | | | | | | | | | | | | |
4.000%, due 5/1/53(a)(b) | | | | | 2,000,000 | | | | | | 2,020,356 | | |
California Community Housing Agency,
Revenue Bonds Series A | | | | | | | | | | | | | |
| 5.000%, due 4/1/49 | | | | | 500,000 | | | | | | 415,261 | | |
| California Health Facilities Financing Authority, Revenue Bonds Series C | | | | | | | | | | | | | |
5.000%, due 6/1/41(a)(b) | | | | | 1,250,000 | | | | | | 1,427,901 | | |
California Infrastructure & Economic
Development Bank, Revenue Bonds | | | | | | | | | | | | | |
| Series A | | | | | | | | | | | | | |
3.650%, due 1/1/50(a)(b) | | | | | 1,000,000 | | | | | | 997,789 | | |
| Series B | | | | | | | | | | | | | |
3.000%, due 10/1/47(a)(b) | | | | | 1,140,000 | | | | | | 1,143,293 | | |
| 5.000%, due 11/1/29 | | | | | 800,000 | | | | | | 925,768 | | |
California Municipal Finance Authority,
Revenue Bonds | | | | | | | | | | | | | |
| 4.000%, due 7/15/29 | | | | | 1,000,000 | | | | | | 973,673 | | |
| Series A | | | | | | | | | | | | | |
2.400%, due 10/1/44(a)(b) | | | | | 1,140,000 | | | | | | 1,040,723 | | |
4.125%, due 10/1/41(a)(b) | | | | | 1,000,000 | | | | | | 1,006,653 | | |
| California Public Finance Authority, Revenue Bonds Series A | | | | | | | | | | | | | |
| 4.000%, due 7/15/36 | | | | | 500,000 | | | | | | 523,819 | | |
| California State Public Works Board, Revenue Bonds Series A | | | | | | | | | | | | | |
| 5.000%, due 3/1/29 | | | | | 1,000,000 | | | | | | 1,001,372 | | |
| City of Long Beach CA Airport System Revenue, Revenue Bonds | | | | | | | | | | | | | |
| Series A Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 6/1/32 | | | | | 200,000 | | | | | | 243,126 | | |
| Series B Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 6/1/32 | | | | | 200,000 | | | | | | 243,126 | | |
City of Victorville CA Electric Revenue,
Revenue Bonds Series A | | | | | | | | | | | | | |
| 5.000%, due 5/1/38 | | | | | 1,000,000 | | | | | | 1,117,921 | | |
| Compton Unified School District, General Obligation Bonds | | | | | | | | | | | | | |
| Series B Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 6/1/29 | | | | | 750,000 | | | | | | 826,403 | | |
East Bay Municipal Utility District Water
System Revenue, Revenue Bonds | | | | | | | | | | | | | |
| Series A | | | | | | | | | | | | | |
| 4.000%, due 6/1/33 | | | | | 1,000,000 | | | | | | 1,028,768 | | |
| East Side Union High School District, General Obligation Bonds | | | | | | | | | | | | | |
| 5.000%, due 8/1/27 | | | | | 800,000 | | | | | | 803,313 | | |
| Kern Community College District, General Obligation Bonds Series D | | | | | | | | | | | | | |
| 5.000%, due 8/1/32 | | | | | 625,000 | | | | | | 762,962 | | |
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| California (continued) | |
Kern County Water Agency
Improvement District No 4, Revenue
Bonds Series A Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 5/1/28 | | | | $ | 500,000 | | | | | $ | 536,235 | | |
| Los Angeles County Metropolitan Transportation Authority Sales Tax Revenue, Revenue Bonds Series A | | | | | | | | | | | | | |
| 5.000%, due 6/1/32 | | | | | 500,000 | | | | | | 538,696 | | |
| Modesto Irrigation District, Revenue Bonds Series A | | | | | | | | | | | | | |
| 5.000%, due 10/1/40 | | | | | 1,000,000 | | | | | | 1,037,693 | | |
| Mount Diablo Unified School District, General Obligation Bonds Series B | | | | | | | | | | | | | |
| 4.000%, due 8/1/29 | | | | | 1,265,000 | | | | | | 1,378,365 | | |
| Municipal Improvement Corp. of Los Angeles, Revenue Bonds Series A | | | | | | | | | | | | | |
| 5.000%, due 11/1/29 | | | | | 1,000,000 | | | | | | 1,159,158 | | |
| Series B | | | | | | | | | | | | | |
| 5.000%, due 11/1/30 | | | | | 575,000 | | | | | | 626,994 | | |
| Norman Y Mineta San Jose International Airport SJC, Revenue Bonds Series A | | | | | | | | | | | | | |
| 5.000%, due 3/1/29 | | | | | 1,500,000 | | | | | | 1,632,879 | | |
| Oakland Unified School District/Alameda County, General Obligation Bonds | | | | | | | | | | | | | |
| Series A Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 8/1/31 | | | | | 1,000,000 | | | | | | 1,096,363 | | |
Ontario International Airport Authority,
Revenue Bonds | | | | | | | | | | | | | |
| Series B Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 5/15/30 | | | | | 1,315,000 | | | | | | 1,456,633 | | |
| Orange County Sanitation District, Revenue Bonds Series A | | | | | | | | | | | | | |
| 5.000%, due 2/1/30 | | | | | 500,000 | | | | | | 513,086 | | |
| Peralta Community College District, General Obligation Bonds Series A | | | | | | | | | | | | | |
| 4.000%, due 8/1/39 | | | | | 500,000 | | | | | | 501,549 | | |
| Ravenswood City School District, General Obligation Bonds | | | | | | | | | | | | | |
| Insured: AGM | | | | | | | | | | | | | |
| 5.250%, due 8/1/45 | | | | | 1,000,000 | | | | | | 1,119,398 | | |
River Islands Public Financing Authority,
Special Tax | | | | | | | | | | | | | |
| Series A1 Insured: AGM | | | | | | | | | | | | | |
| 5.000%, due 9/1/30 | | | | | 350,000 | | | | | | 406,633 | | |
| 5.000%, due 9/1/42 | | | | | 500,000 | | | | | | 557,874 | | |
Sacramento City Unified School District,
General Obligation Bonds | | | | | | | | | | | | | |
| Insured: BAM | | | | | | | | | | | | | |
| 5.000%, due 7/1/30 | | | | | 655,000 | | | | | | 771,940 | | |
| San Diego County Regional Airport Authority, Revenue Bonds Series B | | | | | | | | | | | | | |
| 5.000%, due 7/1/33 | | | | | 1,000,000 | | | | | | 1,116,608 | | |
| San Francisco Bay Area Rapid Transit District, General Obligation Bonds | | | | | | | | | | | | | |
| Series A | | | | | | | | | | | | | |
| 5.000%, due 8/1/33 | | | | | 860,000 | | | | | | 954,923 | | |
See notes to financial statements.
Schedule of Investments — IQ MacKay California Municipal Intermediate ETF (continued)
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| California (continued) | |
| San Francisco City & County Airport Comm-San Francisco International Airport, Revenue Bonds Series A | | | | | | | | | | | | | |
| 5.500%, due 5/1/28 | | | | $ | 1,250,000 | | | | | $ | 1,251,529 | | |
| San Francisco Unified School District, General Obligation Bonds Series B | | | | | | | | | | | | | |
| 4.000%, due 6/15/31 | | | | | 1,000,000 | | | | | | 1,073,472 | | |
San Jose Evergreen Community
College District, General Obligation
Bonds Series B | | | | | | | | | | | | | |
| 4.000%, due 9/1/31 | | | | | 955,000 | | | | | | 1,032,521 | | |
| San Juan Unified School District, General Obligation Bonds Series N | | | | | | | | | | | | | |
| 4.000%, due 8/1/31 | | | | | 1,000,000 | | | | | | 1,042,220 | | |
| San Mateo Union High School District, General Obligation Bonds Series B | | | | | | | | | | | | | |
| 4.000%, due 9/1/34 | | | | | 455,000 | | | | | | 488,699 | | |
South San Francisco Public Facilities
Financing Authority, Revenue Bonds | | | | | | | | | | | | | |
| Series A | | | | | | | | | | | | | |
| 5.000%, due 6/1/36 | | | | | 620,000 | | | | | | 699,105 | | |
| Southern California Public Power Authority, Revenue Bonds | | | | | | | | | | | | | |
| 5.000%, due 7/1/30 | | | | | 1,210,000 | | | | | | 1,225,616 | | |
State of California, General Obligation
Bonds | | | | | | | | | | | | | |
| 5.000%, due 4/1/29 | | | | | 1,000,000 | | | | | | 1,140,719 | | |
| 5.000%, due 10/1/31 | | | | | 500,000 | | | | | | 596,380 | | |
| Torrance Unified School District, General Obligation Bonds | | | | | | | | | | | | | |
| 4.250%, due 8/1/33 | | | | | 1,320,000 | | | | | | 1,370,768 | | |
| University of California, Revenue Bonds | | | | | | | | | | | | | |
| Series AI | | | | | | | | | | | | | |
| 5.000%, due 5/15/33 | | | | | 750,000 | | | | | | 750,474 | | |
| | | | | | | | | | | | 44,122,951 | | |
| Guam — 5.9% | |
| Guam Power Authority, Revenue Bonds | | | | | | | | | | | | | |
| Series A | | | | | | | | | | | | | |
| 5.000%, due 10/1/33 | | | | | 1,000,000 | | | | | | 1,055,053 | | |
| Territory of Guam, Revenue Bonds | | | | | | | | | | | | | |
| Series D | | | | | | | | | | | | | |
| 5.000%, due 11/15/27 | | | | | 585,000 | | | | | | 598,505 | | |
| Series F | | | | | | | | | | | | | |
| 5.000%, due 1/1/30 | | | | | 1,250,000 | | | | | | 1,326,605 | | |
| | | | | | | | | | | | 2,980,163 | | |
| |
| | | | Principal
Amount | | | Value | |
| Municipal Bonds (continued) | |
| Puerto Rico — 4.1% | |
| Commonwealth of Puerto Rico, General Obligation Bonds Series A1 | | | | | | | | | | | | | |
| 4.000%, due 7/1/35 | | | | $ | 251,878 | | | | | $ | 225,288 | | |
| 5.375%, due 7/1/25 | | | | | 700,326 | | | | | | 713,505 | | |
| 5.750%, due 7/1/31 | | | | | 971,203 | | | | | | 1,039,615 | | |
| Commonwealth of Puerto Rico, Notes | | | | | | | | | | | | | |
| 0.000%, due 11/1/51 | | | | | 106,795 | | | | | | 33,774 | | |
| University of Puerto Rico, Revenue Bonds Series P Insured: NATL-IBC | | | | | | | | | | | | | |
| 5.000%, due 6/1/25 | | | | | 120,000 | | | | | | 120,126 | | |
| | | | | | | | | | | | 2,132,308 | | |
Total Municipal Bonds
(Cost $48,666,337) | | | | | | | | | | | 49,235,422 | | |
| Short-Term Investment — 2.1% | |
| Money Market Fund — 2.1% | |
Dreyfus Tax Exempt Cash Management — Institutional, 3.32%(c)
(Cost $1,076,837) | | | | | 1,076,945 | | | | | | 1,076,837 | | |
Total Investments — 99.0%
(Cost $49,743,174) | | | | | | | | | | | 50,312,259 | | |
Other Assets and Liabilities,
Net — 1.0% | | | | | | | | | | | 510,295 | | |
| Net Assets — 100.0% | | | | | | | | | | $ | 50,822,554 | | |
| |
(a)
Variable rate securities that may be tendered back to the issuer at any time prior to maturity at par. Rate shown is the rate in effect as of April 30, 2023.
(b)
Adjustable-rate security with an interest rate that is not based on a published reference index and spread. The rate is based on the structure of the agreement and current market conditions.
(c)
Reflects the 7-day yield at April 30, 2023.
Abbreviations
| | AGM | | | — | | | Assured Guaranty Municipal Corp. | |
| | BAM | | | — | | | Build America Mutual Assurance Co. | |
| | IBC | | | — | | | Insured Bond Certificate | |
| | NATL | | | — | | | National Public Finance Guarantee Corp. | |
See notes to financial statements.
Schedule of Investments — IQ MacKay California Municipal Intermediate ETF (continued)
The following is a summary of the inputs used to value the Fund’s investments as of April 30, 2023. For more information on the valuation techniques, and their aggregation into the levels used in the table below, please refer to Note 2.
| Description | | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
| Asset Valuation Inputs | | | | | | | | | | | | | | | | | | | | | | | | | |
| Investments in Securities:(d) | | | | | | | | | | | | | | | | | | | | | | | | | |
| Municipal Bonds | | | | $ | — | | | | | $ | 49,235,422 | | | | | $ | — | | | | | $ | 49,235,422 | | |
| Short-Term Investment: | | | | | | | | | | | | | | | | | | | | | | | | | |
| Money Market Fund | | | | | 1,076,837 | | | | | | — | | | | | | — | | | | | | 1,076,837 | | |
| Total Investments in Securities | | | | $ | 1,076,837 | | | | | $ | 49,235,422 | | | | | $ | — | | | | | $ | 50,312,259 | | |
(d)
For a complete listing of investments and their states, see the Schedule of Investments.
For the year ended April 30, 2023, the Fund did not have any transfers into or out of Level 3 within the fair value hierarchy. (See Note 2)
See notes to financial statements.
Schedule of Investments — IQ Winslow Large Cap Growth ETF
| | | | Shares | | | Value | |
| Common Stocks — 99.6% | |
| Communication Services — 6.9% | |
Alphabet, Inc., Class A* | | | | | 4,917 | | | | | $ | 527,791 | | |
Alphabet, Inc., Class C* | | | | | 4,335 | | | | | | 469,133 | | |
Meta Platforms, Inc., Class A* | | | | | 1,171 | | | | | | 281,415 | | |
| Total Communication Services | | | | | | | | | | | 1,278,339 | | |
| Consumer Discretionary — 14.6% | |
Amazon.com, Inc.* | | | | | 4,410 | | | | | | 465,034 | | |
Chipotle Mexican Grill, Inc.* | | | | | 336 | | | | | | 694,720 | | |
| Hilton Worldwide Holdings, Inc. | | | | | 1,491 | | | | | | 214,734 | | |
Lululemon Athletica, Inc.* | | | | | 930 | | | | | | 353,335 | | |
| McDonald’s Corp. | | | | | 1,261 | | | | | | 372,941 | | |
O’Reilly Automotive, Inc.* | | | | | 335 | | | | | | 307,299 | | |
| Starbucks Corp. | | | | | 2,100 | | | | | | 240,009 | | |
Tesla, Inc.* | | | | | 410 | | | | | | 67,367 | | |
| Total Consumer Discretionary | | | | | | | | | | | 2,715,439 | | |
| Consumer Staples — 4.4% | |
| Costco Wholesale Corp. | | | | | 1,033 | | | | | | 519,826 | | |
Dollar Tree, Inc.* | | | | | 2,021 | | | | | | 310,648 | | |
| Total Consumer Staples | | | | | | | | | | | 830,474 | | |
| Financials — 8.5% | |
| Mastercard, Inc., Class A | | | | | 1,565 | | | | | | 594,747 | | |
| Moody’s Corp. | | | | | 722 | | | | | | 226,073 | | |
| MSCI, Inc. | | | | | 459 | | | | | | 221,445 | | |
Visa, Inc., Class A(a) | | | | | 2,361 | | | | | | 549,475 | | |
| Total Financials | | | | | | | | | | | 1,591,740 | | |
| Health Care — 16.2% | |
| Agilent Technologies, Inc. | | | | | 2,065 | | | | | | 279,663 | | |
| AstraZeneca PLC ADR | | | | | 2,506 | | | | | | 183,489 | | |
| Danaher Corp. | | | | | 849 | | | | | | 201,137 | | |
IDEXX Laboratories, Inc.* | | | | | 447 | | | | | | 219,995 | | |
Intuitive Surgical, Inc.* | | | | | 2,247 | | | | | | 676,841 | | |
| UnitedHealth Group, Inc. | | | | | 1,701 | | | | | | 837,045 | | |
Veeva Systems, Inc., Class A* | | | | | 2,233 | | | | | | 399,886 | | |
Vertex Pharmaceuticals, Inc.* | | | | | 660 | | | | | | 224,882 | | |
| Total Health Care | | | | | | | | | | | 3,022,938 | | |
| Industrials — 3.5% | |
| Deere & Co. | | | | | 255 | | | | | | 96,395 | | |
| Parker-Hannifin Corp. | | | | | 851 | | | | | | 276,473 | | |
Uber Technologies, Inc.* | | | | | 9,122 | | | | | | 283,238 | | |
| Total Industrials | | | | | | | | | | | 656,106 | | |
| | | | Shares | | | Value | |
| Common Stocks (continued) | |
| Information Technology — 43.3% | |
| Analog Devices, Inc. | | | | | 3,005 | | | | | $ | 540,539 | | |
| Apple, Inc. | | | | | 7,396 | | | | | | 1,254,953 | | |
| ASML Holding NV | | | | | 721 | | | | | | 459,176 | | |
Atlassian Corp., Class A* | | | | | 1,156 | | | | | | 170,695 | | |
Gartner, Inc.* | | | | | 650 | | | | | | 196,599 | | |
| Intuit, Inc. | | | | | 1,124 | | | | | | 499,000 | | |
| Lam Research Corp. | | | | | 864 | | | | | | 452,805 | | |
| Microsoft Corp. | | | | | 7,096 | | | | | | 2,180,317 | | |
| NVIDIA Corp. | | | | | 3,278 | | | | | | 909,612 | | |
Palo Alto Networks, Inc.* | | | | | 1,273 | | | | | | 232,272 | | |
ServiceNow, Inc.* | | | | | 1,403 | | | | | | 644,566 | | |
Synopsys, Inc.* | | | | | 615 | | | | | | 228,362 | | |
Workday, Inc., Class A* | | | | | 1,640 | | | | | | 305,270 | | |
| Total Information Technology | | | | | | | | | | | 8,074,166 | | |
| Materials — 2.2% | |
| Linde PLC | | | | | 1,103 | | | | | | 407,504 | | |
Total Common Stocks
(Cost $16,528,277) | | | | | | | | | | | 18,576,706 | | |
| Short-Term Investment — 1.3% | |
| Money Market Fund — 1.3% | |
Dreyfus Institutional Preferred Government Money Market Fund, Institutional Shares, 4.82%(b) | | | | | | | | | | | | | |
| (Cost $233,220) | | | | | 233,220 | | | | | | 233,220 | | |
| Total Investments — 100.9% | | | | | | | | | | | | | |
| (Cost $16,761,497) | | | | | | | | | | | 18,809,926 | | |
| Other Assets and Liabilities, Net — (0.9)% | | | | | | | | | | | (157,549) | | |
| Net Assets — 100.0% | | | | | | | | | | $ | 18,652,377 | | |
| |
*
Non-income producing securities.
(a)
All or a portion of the security was on loan. In addition, “Other Assets and Liabilities, Net” may include pending sales that are also on loan. The aggregate market value of securities on loan was $538,304; total market value of collateral held consisted of non-cash U.S. Treasury securities collateral having a value of $540,319.
(b)
Reflects the 7-day yield at April 30, 2023.
The following is a summary of the inputs used to value the Fund’s investments as of April 30, 2023. For more information on the valuation techniques, and their aggregation into the levels used in the table below, please refer to Note 2.
| Description | | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
| Asset Valuation Inputs | | | | | | | | | | | | | | | | | | | | | | | | | |
| Investments in Securities:(c) | | | | | | | | | | | | | | | | | | | | | | | | | |
| Common Stocks | | | | $ | 18,576,706 | | | | | $ | — | | | | | $ | — | | | | | $ | 18,576,706 | | |
| Short-Term Investment: | | | | | | | | | | | | | | | | | | | | | | | | | |
| Money Market Fund | | | | | 233,220 | | | | | | — | | | | | | — | | | | | | 233,220 | | |
| Total Investments in Securities | | | | $ | 18,809,926 | | | | | $ | — | | | | | $ | — | | | | | $ | 18,809,926 | | |
(c)
For a complete listing of investments and their industries, see the Schedule of Investments.
For the year ended April 30, 2023, the Fund did not have any transfers into or out of Level 3 within the fair value hierarchy. (See Note 2)
See notes to financial statements.
Schedule of Investments — IQ Winslow Focused Large Cap Growth ETF
| | | | Shares | | | Value | |
| Common Stocks — 100.0% | |
| Communication Services — 4.6% | |
Alphabet, Inc., Class C* | | | | | 2,650 | | | | | $ | 286,783 | | |
| Consumer Discretionary — 9.9% | |
Chipotle Mexican Grill, Inc.* | | | | | 168 | | | | | | 347,360 | | |
| Hilton Worldwide Holdings, Inc. | | | | | 1,848 | | | | | | 266,149 | | |
| Total Consumer Discretionary | | | | | | | | | | | 613,509 | | |
| Consumer Staples — 5.8% | |
| Costco Wholesale Corp. | | | | | 343 | | | | | | 172,604 | | |
Dollar Tree, Inc.* | | | | | 1,229 | | | | | | 188,910 | | |
| Total Consumer Staples | | | | | | | | | | | 361,514 | | |
| Energy — 3.4% | |
| Schlumberger NV | | | | | 4,198 | | | | | | 207,171 | | |
| Financials — 11.4% | |
| Mastercard, Inc., Class A | | | | | 792 | | | | | | 300,983 | | |
| Moody’s Corp. | | | | | 682 | | | | | | 213,548 | | |
Visa, Inc., Class A(a) | | | | | 808 | | | | | | 188,046 | | |
| Total Financials | | | | | | | | | | | 702,577 | | |
| Health Care — 14.2% | |
| Danaher Corp. | | | | | 771 | | | | | | 182,658 | | |
Intuitive Surgical, Inc.* | | | | | 800 | | | | | | 240,976 | | |
| UnitedHealth Group, Inc. | | | | | 566 | | | | | | 278,523 | | |
Veeva Systems, Inc., Class A* | | | | | 964 | | | | | | 172,633 | | |
| Total Health Care | | | | | | | | | | | 874,790 | | |
| Industrials — 8.3% | |
| Deere & Co. | | | | | 713 | | | | | | 269,528 | | |
| Union Pacific Corp. | | | | | 1,239 | | | | | | 242,473 | | |
| Total Industrials | | | | | | | | | | | 512,001 | | |
| Information Technology — 38.2% | |
| Analog Devices, Inc. | | | | | 1,306 | | | | | | 234,923 | | |
| Apple, Inc. | | | | | 2,234 | | | | | | 379,065 | | |
| | | | Shares | | | Value | |
| Common Stocks (continued) | |
| Information Technology (continued) | |
| ASML Holding NV | | | | | 541 | | | | | $ | 344,541 | | |
| Intuit, Inc. | | | | | 418 | | | | | | 185,571 | | |
| Microsoft Corp. | | | | | 1,229 | | | | | | 377,623 | | |
| NVIDIA Corp. | | | | | 980 | | | | | | 271,940 | | |
Palo Alto Networks, Inc.* | | | | | 971 | | | | | | 177,169 | | |
ServiceNow, Inc.* | | | | | 451 | | | | | | 207,198 | | |
Synopsys, Inc.* | | | | | 496 | | | | | | 184,175 | | |
| Total Information Technology | | | | | | | | | | | 2,362,205 | | |
| Materials — 4.2% | |
| Linde PLC | | | | | 702 | | | | | | 259,354 | | |
| Total Common Stocks | | | | | | | | | | | | | |
| (Cost $5,399,949) | | | | | | | | | | | 6,179,904 | | |
| Short-Term Investment — 0.7% | |
| Money Market Fund — 0.7% | |
Dreyfus Institutional Preferred Government Money Market Fund, Institutional Shares, 4.82%(b) | | | | | | | | | | | | | |
| (Cost $41,872) | | | | | 41,872 | | | | | | 41,872 | | |
| Total Investments — 100.7% | |
| (Cost $5,441,821) | | | | | | | | | | | 6,221,776 | | |
| Other Assets and Liabilities, Net — (0.7)% | | | | | | | | | | | (40,102) | | |
| Net Assets — 100.0% | | | | | | | | | | $ | 6,181,674 | | |
| |
*
Non-income producing securities.
(a)
All or a portion of the security was on loan. In addition, “Other Assets and Liabilities, Net” may include pending sales that are also on loan. The aggregate market value of securities on loan was $184,089; total market value of collateral held consisted of non-cash U.S. Treasury securities collateral having a value of $184,778.
(b)
Reflects the 7-day yield at April 30, 2023.
The following is a summary of the inputs used to value the Fund’s investments as of April 30, 2023. For more information on the valuation techniques, and their aggregation into the levels used in the table below, please refer to Note 2.
| Description | | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
| Asset Valuation Inputs | |
| Investments in Securities:(c) | | | | | | | | | | | | | | | | | | | | | | | | | |
| Common Stocks | | | | $ | 6,179,904 | | | | | $ | — | | | | | $ | — | | | | | $ | 6,179,904 | | |
| Short-Term Investment: | | | | | | | | | | | | | | | | | | | | | | | | | |
| Money Market Fund | | | | | 41,872 | | | | | | — | | | | | | — | | | | | | 41,872 | | |
| Total Investments in Securities | | | | $ | 6,221,776 | | | | | $ | — | | | | | $ | — | | | | | $ | 6,221,776 | | |
(c)
For a complete listing of investments and their industries, see the Schedule of Investments.
For the year ended April 30, 2023, the Fund did not have any transfers into or out of Level 3 within the fair value hierarchy. (See Note 2)
See notes to financial statements.
Statements of Assets and Liabilities
| | | | IQ Ultra Short
Duration ETF | | | IQ MacKay ESG
Core Plus Bond
ETF | | | IQ MacKay
Multi-Sector
Income ETF | | | IQ MacKay ESG
High Income ETF | |
| Assets | | | | | | | | | | | | | | | | | | | | | | | | | |
Investments in securities, at value(a) | | | | $ | 54,378,002 | | | | | $ | 240,301,032 | | | | | $ | 24,137,942 | | | | | $ | 25,793,669 | | |
| Cash | | | | | — | | | | | | — | | | | | | — | | | | | | 2,997 | | |
Foreign currency(b) | | | | | — | | | | | | — | | | | | | 30 | | | | | | — | | |
| Deposits at broker for futures contracts | | | | | 282,400 | | | | | | 979,344 | | | | | | 99,150 | | | | | | — | | |
| Interest receivable | | | | | 368,450 | | | | | | 1,714,332 | | | | | | 185,264 | | | | | | 360,853 | | |
| Dividend receivable | | | | | 11,799 | | | | | | 8,547 | | | | | | 3,386 | | | | | | 1,615 | | |
| Receivable for investments sold | | | | | — | | | | | | 3,299,729 | | | | | | 416,756 | | | | | | — | | |
| Prepaid expenses | | | | | — | | | | | | 13 | | | | | | — | | | | | | — | | |
| Due from broker | | | | | — | | | | | | 3,257 | | | | | | — | | | | | | — | | |
| Securities lending income receivable | | | | | — | | | | | | 593 | | | | | | — | | | | | | — | | |
| Due from advisor | | | | | 19,213 | | | | | | 39,931 | | | | | | 5,700 | | | | | | 13,699 | | |
| Variation margin receivable | | | | | — | | | | | | 259,109 | | | | | | 23,578 | | | | | | — | | |
| Total assets | | | | | 55,059,864 | | | | | | 246,605,887 | | | | | | 24,871,806 | | | | | | 26,172,833 | | |
| Liabilities | | | | | | | | | | | | | | | | | | | | | | | | | |
| Variation margin payable | | | | | 41,933 | | | | | | — | | | | | | — | | | | | | — | | |
| Advisory fees payable | | | | | 10,963 | | | | | | 79,012 | | | | | | 7,973 | | | | | | 8,506 | | |
| Trustee fees payable | | | | | 1,037 | | | | | | 1,639 | | | | | | 225 | | | | | | 240 | | |
| Compliance fees payable | | | | | 58 | | | | | | 20 | | | | | | 17 | | | | | | 18 | | |
| Payable for investments purchased | | | | | — | | | | | | 3,456,733 | | | | | | 482,361 | | | | | | 128,974 | | |
| Cash due to custodian | | | | | — | | | | | | 10,365 | | | | | | — | | | | | | — | | |
| Collateral for investments on loan | | | | | — | | | | | | 372,750 | | | | | | — | | | | | | — | | |
| Accrued expenses and other liabilities | | | | | 151,420 | | | | | | 142,648 | | | | | | 49,238 | | | | | | 50,205 | | |
| Total liabilities | | | | | 205,411 | | | | | | 4,063,167 | | | | | | 539,814 | | | | | | 187,943 | | |
| Net Assets | | | | $ | 54,854,453 | | | | | $ | 242,542,720 | | | | | $ | 24,331,992 | | | | | $ | 25,984,890 | | |
| Composition of Net Assets | | | | | | | | | | | | | | | | | | | | | | | | | |
| Paid-in capital | | | | $ | 59,757,248 | | | | | $ | 253,630,983 | | | | | $ | 25,062,500 | | | | | $ | 25,062,500 | | |
| Total distributable earnings/(accumulated loss) | | | | | (4,902,795) | | | | | | (11,088,263) | | | | | | (730,508) | | | | | | 922,390 | | |
| Net Assets | | | | $ | 54,854,453 | | | | | $ | 242,542,720 | | | | | $ | 24,331,992 | | | | | $ | 25,984,890 | | |
| NET ASSET VALUE PER SHARE | | | | | | | | | | | | | | | | | | | | | | | | | |
| Shares Outstanding (no par value, unlimited shares authorized) | | | | | 1,150,000 | | | | | | 11,400,000 | | | | | | 1,000,000 | | | | | | 1,000,000 | | |
| Net Asset Value Per Share | | | | $ | 47.70 | | | | | $ | 21.28 | | | | | $ | 24.33 | | | | | $ | 25.98 | | |
| Investments, at cost | | | | $ | 55,138,347 | | | | | $ | 243,498,011 | | | | | $ | 24,481,548 | | | | | $ | 25,137,641 | | |
| (a) Market value of securities on loan | | | | $ | — | | | | | $ | 359,733 | | | | | $ | — | | | | | $ | — | | |
| (b) Cost of foreign currency | | | | $ | — | | | | | $ | — | | | | | $ | 27 | | | | | $ | — | | |
See notes to financial statements.
Statements of Assets and Liabilities (continued)
| | | | IQ MacKay
Municipal
Insured ETF | | | IQ MacKay
Municipal
Intermediate ETF | | | IQ MacKay
California
Municipal
Intermediate ETF | | | IQ Winslow Large
Cap Growth ETF | |
| Assets | | | | | | | | | | | | | | | | | | | | | | | | | |
Investments in securities, at value(a) | | | | $ | 359,377,102 | | | | | $ | 409,870,416 | | | | | $ | 50,312,259 | | | | | $ | 18,809,926 | | |
| Cash | | | | | — | | | | | | 1,715 | | | | | | — | | | | | | — | | |
| Interest receivable | | | | | 4,942,769 | | | | | | 5,024,891 | | | | | | 635,177 | | | | | | — | | |
| Prepaid expenses | | | | | 38 | | | | | | 36 | | | | | | 2 | | | | | | — | | |
| Receivable for investments sold | | | | | — | | | | | | 991,280 | | | | | | 1,525 | | | | | | 640,201 | | |
| Due from broker | | | | | — | | | | | | 6,669 | | | | | | — | | | | | | — | | |
| Securities lending income receivable | | | | | — | | | | | | — | | | | | | — | | | | | | 45 | | |
| Dividend receivable | | | | | — | | | | | | — | | | | | | — | | | | | | 2,248 | | |
| Due from advisor | | | | | 69,341 | | | | | | 88,474 | | | | | | 6,723 | | | | | | 6,753 | | |
| Total assets | | | | | 364,389,250 | | | | | | 415,983,481 | | | | | | 50,955,686 | | | | | | 19,459,173 | | |
| Liabilities | | | | | | | | | | | | | | | | | | | | | | | | | |
| Payable for investments purchased | | | | | 991,529 | | | | | | 1,148,290 | | | | | | — | | | | | | 752,816 | | |
| Advisory fees payable | | | | | 119,538 | | | | | | 134,666 | | | | | | 18,874 | | | | | | 11,310 | | |
| Trustee fees payable | | | | | 3,194 | | | | | | 2,412 | | | | | | 3,071 | | | | | | 77 | | |
| Compliance fees payable | | | | | 76 | | | | | | 27 | | | | | | 31 | | | | | | 4 | | |
| Due to broker | | | | | — | | | | | | — | | | | | | 27,859 | | | | | | — | | |
| Accrued expenses and other liabilities | | | | | 198,818 | | | | | | 196,207 | | | | | | 83,297 | | | | | | 42,589 | | |
| Total liabilities | | | | | 1,313,155 | | | | | | 1,481,602 | | | | | | 133,132 | | | | | | 806,796 | | |
| Net Assets | | | | $ | 363,076,095 | | | | | $ | 414,501,879 | | | | | $ | 50,822,554 | | | | | $ | 18,652,377 | | |
| Composition of Net Assets | | | | | | | | | | | | | | | | | | | | | | | | | |
| Paid-in capital | | | | $ | 412,868,592 | | | | | $ | 433,628,265 | | | | | $ | 57,472,334 | | | | | $ | 17,192,850 | | |
| Total distributable earnings/(accumulated loss) | | | | | (49,792,497) | | | | | | (19,126,386) | | | | | | (6,649,780) | | | | | | 1,459,527 | | |
| Net Assets | | | | $ | 363,076,095 | | | | | $ | 414,501,879 | | | | | $ | 50,822,554 | | | | | $ | 18,652,377 | | |
| NET ASSET VALUE PER SHARE | | | | | | | | | | | | | | | | | | | | | | | | | |
| Shares Outstanding (no par value, unlimited shares authorized) | | | | | 14,950,000 | | | | | | 16,950,000 | | | | | | 2,350,000 | | | | | | 650,000 | | |
| Net Asset Value Per Share | | | | $ | 24.29 | | | | | $ | 24.45 | | | | | $ | 21.63 | | | | | $ | 28.70 | | |
| Investments, at cost | | | | $ | 354,824,413 | | | | | $ | 410,294,832 | | | | | $ | 49,743,174 | | | | | $ | 16,761,497 | | |
| (a) Market value of securities on loan | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | 538,304 | | |
See notes to financial statements.
Statements of Assets and Liabilities (continued)
| | | | IQ Winslow
Focused Large
Cap Growth ETF | |
| Assets | | | | | | | |
Investments in securities, at value(a) | | | | $ | 6,221,776 | | |
| Dividend receivable | | | | | 2,107 | | |
| Securities lending income receivable | | | | | 16 | | |
| Due from advisor | | | | | 4,291 | | |
| Total assets | | | | | 6,228,190 | | |
| Liabilities | | | | | | | |
| Advisory fees payable | | | | | 3,752 | | |
| Trustee fees payable | | | | | 52 | | |
| Compliance fees payable | | | | | 4 | | |
| Accrued expenses and other liabilities | | | | | 42,708 | | |
| Total liabilities | | | | | 46,516 | | |
| Net Assets | | | | $ | 6,181,674 | | |
| Composition of Net Assets | | | | | | | |
| Paid-in capital | | | | $ | 5,405,330 | | |
| Total distributable earnings | | | | | 776,344 | | |
| Net Assets | | | | $ | 6,181,674 | | |
| NET ASSET VALUE PER SHARE | | | | | | | |
| Shares Outstanding (no par value, unlimited shares authorized) | | | | | 210,000 | | |
| Net Asset Value Per Share | | | | $ | 29.44 | | |
| Investments, at cost | | | | $ | 5,441,821 | | |
| (a) Market value of securities on loan | | | | $ | 184,089 | | |
See notes to financial statements.
For the Year Ended April 30, 2023
| | | | IQ Ultra Short
Duration ETF | | | IQ MacKay ESG
Core Plus Bond
ETF | | | IQ MacKay
Multi-Sector
Income ETF(a) | | | IQ MacKay ESG
High Income
ETF(b) | |
| Investment Income | | | | | | | | | | | | | | | | | | | | | | | | | |
| Interest income | | | | $ | 2,599,570 | | | | | $ | 9,372,484 | | | | | $ | 957,165 | | | | | $ | 1,027,010 | | |
| Dividend income | | | | | 122,025 | | | | | | 50,398 | | | | | | 12,468 | | | | | | 13,916 | | |
| Securities lending income, net of borrower rebates | | | | | — | | | | | | 37,128 | | | | | | — | | | | | | — | | |
| Total investment income | | | | | 2,721,595 | | | | | | 9,460,010 | | | | | | 969,633 | | | | | | 1,040,926 | | |
| Expenses | | | | | | | | | | | | | | | | | | | | | | | | | |
| Advisory fees (see Note 3) | | | | | 205,833 | | | | | | 828,150 | | | | | | 73,659 | | | | | | 52,841 | | |
| Custodian fees | | | | | 82,141 | | | | | | 57,196 | | | | | | 10,246 | | | | | | 10,246 | | |
| Administrative and accounting fees | | | | | 39,302 | | | | | | 66,898 | | | | | | 16,907 | | | | | | 16,907 | | |
| Audit and tax fees | | | | | 24,937 | | | | | | — | | | | | | 19,380 | | | | | | 19,380 | | |
| Listing fees | | | | | 8,785 | | | | | | 9,260 | | | | | | 6,570 | | | | | | 4,616 | | |
| Trustee fees | | | | | 6,433 | | | | | | 16,928 | | | | | | 1,633 | | | | | | 1,266 | | |
| Proxy fees | | | | | 2,504 | | | | | | 1,674 | | | | | | — | | | | | | — | | |
| Compliance fees | | | | | 225 | | | | | | 490 | | | | | | 68 | | | | | | 54 | | |
| Miscellaneous | | | | | 24,935 | | | | | | 81,868 | | | | | | 12,087 | | | | | | 11,173 | | |
| Total expenses | | | | | 395,095 | | | | | | 1,062,464 | | | | | | 140,550 | | | | | | 116,483 | | |
| Waivers (see Note 3) | | | | | (186,765) | | | | | | (232,640) | | | | | | (66,794) | | | | | | (63,624) | | |
| Net expenses | | | | | 208,330 | | | | | | 829,824 | | | | | | 73,756 | | | | | | 52,859 | | |
| Net investment income | | | | | 2,513,265 | | | | | | 8,630,186 | | | | | | 895,877 | | | | | | 988,067 | | |
| Realized and Unrealized Gain (Loss) | | | | | | | | | | | | | | | | | | | | | | | | | |
| Net realized gain (loss) from: | | | | | | | | | | | | | | | | | | | | | | | | | |
| Investment securities | | | | | (5,514,067) | | | | | | (6,359,385) | | | | | | (375,510) | | | | | | 55,145 | | |
| Futures contracts | | | | | 2,837,109 | | | | | | (2,358,343) | | | | | | (297,311) | | | | | | — | | |
| Net realized gain (loss) | | | | | (2,676,958) | | | | | | (8,717,728) | | | | | | (672,821) | | | | | | 55,145 | | |
| Net change in net unrealized appreciation (depreciation) on: | | | | | | | | | | | | | | | | | | | | | | | | | |
| Investment securities | | | | | 2,694,795 | | | | | | 1,727,171 | | | | | | (343,606) | | | | | | 656,028 | | |
| Futures contracts | | | | | (1,324,401) | | | | | | 1,362,184 | | | | | | 139,509 | | | | | | — | | |
| Foreign currency translations | | | | | — | | | | | | — | | | | | | 3 | | | | | | — | | |
| Net change in net unrealized appreciation (depreciation) | | | | | 1,370,394 | | | | | | 3,089,355 | | | | | | (204,094) | | | | | | 656,028 | | |
| Net realized and unrealized gain (loss) | | | | | (1,306,564) | | | | | | (5,628,373) | | | | | | (876,915) | | | | | | 711,173 | | |
Net Increase in Net Assets Resulting From
Operations | | | | $ | 1,206,701 | | | | | $ | 3,001,813 | | | | | $ | 18,962 | | | | | $ | 1,699,240 | | |
(a)
Commencement of operations was July 26, 2022.
(b)
Commencement of operations was October 25, 2022.
See notes to financial statements.
Statements of Operations (continued)
For the Year Ended April 30, 2023
| | | | IQ MacKay
Municipal
Insured ETF | | | IQ MacKay
Municipal
Intermediate ETF | | | IQ MacKay
California
Municipal
Intermediate ETF | | | IQ Winslow Large
Cap Growth
ETF(a) | |
| Investment Income | | | | | | | | | | | | | | | | | | | | | | | | | |
| Interest income | | | | $ | 11,587,423 | | | | | $ | 9,269,521 | | | | | $ | 1,458,143 | | | | | $ | — | | |
| Dividend income* | | | | | 307,392 | | | | | | 190,723 | | | | | | 36,830 | | | | | | 73,553 | | |
Securities lending income, net of borrower
rebates | | | | | — | | | | | | — | | | | | | — | | | | | | 384 | | |
| Total investment income | | | | | 11,894,815 | | | | | | 9,460,244 | | | | | | 1,494,973 | | | | | | 73,937 | | |
| Expenses | | | | | | | | | | | | | | | | | | | | | | | | | |
| Advisory fees (see Note 3) | | | | | 1,405,126 | | | | | | 1,306,458 | | | | | | 209,499 | | | | | | 80,934 | | |
| Administrative and accounting fees | | | | | 108,732 | | | | | | 96,399 | | | | | | 55,727 | | | | | | 17,560 | | |
| Custodian fees | | | | | 69,561 | | | | | | 74,442 | | | | | | 396 | | | | | | 10,642 | | |
| Audit and tax fees | | | | | — | | | | | | — | | | | | | 26,209 | | | | | | 16,571 | | |
| Trustee fees | | | | | 27,889 | | | | | | 25,462 | | | | | | 6,289 | | | | | | 854 | | |
| Proxy fees | | | | | 13,736 | | | | | | 9,479 | | | | | | 702 | | | | | | — | | |
| Listing fees | | | | | 8,693 | | | | | | 8,687 | | | | | | 8,712 | | | | | | 9,495 | | |
| Compliance fees | | | | | 827 | | | | | | 743 | | | | | | 131 | | | | | | 31 | | |
| Miscellaneous | | | | | 111,383 | | | | | | 110,365 | | | | | | 13,048 | | | | | | 8,436 | | |
| Total expenses | | | | | 1,745,947 | | | | | | 1,632,035 | | | | | | 320,713 | | | | | | 144,523 | | |
| Waivers (see Note 3) | | | | | (678,322) | | | | | | (642,679) | | | | | | (157,172) | | | | | | (79,778) | | |
| Net expenses | | | | | 1,067,625 | | | | | | 989,356 | | | | | | 163,541 | | | | | | 64,745 | | |
| Net investment income | | | | | 10,827,190 | | | | | | 8,470,888 | | | | | | 1,331,432 | | | | | | 9,192 | | |
| Realized and Unrealized Gain (Loss) | | | | | | | | | | | | | | | | | | | | | | | | | |
| Net realized gain (loss) from: | | | | | | | | | | | | | | | | | | | | | | | | | |
| Investment securities | | | | | (40,188,098) | | | | | | (13,781,637) | | | | | | (4,280,150) | | | | | | (599,702) | | |
| In-Kind redemptions | | | | | — | | | | | | — | | | | | | — | | | | | | 307,800 | | |
| Net realized loss | | | | | (40,188,098) | | | | | | (13,781,637) | | | | | | (4,280,150) | | | | | | (291,902) | | |
| Net change in net unrealized appreciation (depreciation) on: | | | | | | | | | | | | | | | | | | | | | | | | | |
| Investment securities | | | | | 33,918,459 | | | | | | 14,934,444 | | | | | | 4,145,771 | | | | | | 2,048,429 | | |
| Net change in net unrealized appreciation (depreciation) | | | | | 33,918,459 | | | | | | 14,934,444 | | | | | | 4,145,771 | | | | | | 2,048,429 | | |
| Net realized and unrealized gain (loss) | | | | | (6,269,639) | | | | | | 1,152,807 | | | | | | (134,379) | | | | | | 1,756,527 | | |
| Net Increase in Net Assets Resulting From Operations | | | | $ | 4,557,551 | | | | | $ | 9,623,695 | | | | | $ | 1,197,053 | | | | | $ | 1,765,719 | | |
| * Net of foreign taxes withheld of: | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | 314 | | |
(a)
Commencement of operations was June 23, 2022.
See notes to financial statements.
Statements of Operations (continued)
For the Year Ended April 30, 2023
| | | | IQ Winslow
Focused Large
Cap Growth
ETF(a) | |
| Investment Income | | | | | | | |
| Dividend income* | | | | $ | 36,244 | | |
| Securities lending income, net of borrower rebates | | | | | 131 | | |
| Total investment income | | | | | 36,375 | | |
| Expenses | | | | | | | |
| Advisory fees (see Note 3) | | | | | 36,777 | | |
| Administrative and accounting fees | | | | | 18,868 | | |
| Audit and tax fees | | | | | 16,571 | | |
| Custodian fees | | | | | 10,642 | | |
| Listing fees | | | | | 9,511 | | |
| Trustee fees | | | | | 438 | | |
| Compliance fees | | | | | 17 | | |
| Miscellaneous | | | | | 6,490 | | |
| Total expenses | | | | | 99,314 | | |
| Waivers (see Note 3) | | | | | (67,443) | | |
| Net expenses | | | | | 31,871 | | |
| Net investment income | | | | | 4,504 | | |
| Realized and Unrealized Gain (Loss) | | | | | | | |
| Net realized gain (loss) from: | | | | | | | |
| Investment securities | | | | | (4,933) | | |
| In-Kind redemptions | | | | | 123,194 | | |
| Net realized gain | | | | | 118,261 | | |
| Net change in net unrealized appreciation (depreciation) on: | | | | | | | |
| Investment securities | | | | | 779,955 | | |
| Net change in net unrealized appreciation (depreciation) | | | | | 779,955 | | |
| Net realized and unrealized gain | | | | | 898,216 | | |
| Net Increase in Net Assets Resulting From Operations | | | | $ | 902,720 | | |
| * Net of foreign taxes withheld of: | | | | $ | 347 | | |
(a)
Commencement of operations was June 23, 2022.
See notes to financial statements.
Statements of Changes in Net Assets
| | | | IQ Ultra Short Duration ETF | | | IQ MacKay ESG Core Plus Bond ETF | |
| | | | For the Year Ended April 30, | | | For the Year
Ended April 30,
2023 | | | For the Period
June 29, 2021*
to
April 30, 2022 | |
| | | | 2023 | | | 2022 | |
| Increase (Decrease) in Net Assets from Operations | | | | | | | | | | | | | | | | | | | | | | | | | |
| Net investment income | | | | $ | 2,513,265 | | | | | $ | 1,935,512 | | | | | $ | 8,630,186 | | | | | $ | 620,225 | | |
| Net realized loss | | | | | (2,676,958) | | | | | | (584,436) | | | | | | (8,717,728) | | | | | | (1,173,763) | | |
| Net change in net unrealized appreciation (depreciation) | | | | | 1,370,394 | | | | | | (2,548,834) | | | | | | 3,089,355 | | | | | | (5,190,149) | | |
| Net increase (decrease) in net assets resulting from operations | | | | | 1,206,701 | | | | | | (1,197,758) | | | | | | 3,001,813 | | | | | | (5,743,687) | | |
| Distributions to Shareholders | | | | | (2,553,326) | | | | | | (3,738,076) | | | | | | (7,861,346) | | | | | | (485,043) | | |
| Capital Share Transactions | | | | | | | | | | | | | | | | | | | | | | | | | |
| Proceeds from shares created | | | | | 21,542,870 | | | | | | 73,483,699 | | | | | | 126,904,335 | | | | | | 154,853,260 | | |
| Cost of shares redeemed | | | | | (90,158,550) | | | | | | (196,709,144) | | | | | | (28,126,612) | | | | | | — | | |
| Increase (Decrease) from capital share transactions | | | | | (68,615,680) | | | | | | (123,225,445) | | | | | | 98,777,723 | | | | | | 154,853,260 | | |
| Total increase (decrease) in net assets | | | | | (69,962,305) | | | | | | (128,161,279) | | | | | | 93,918,190 | | | | | | 148,624,530 | | |
| Net Assets | | | | | | | | | | | | | | | | | | | | | | | | | |
| Beginning of period | | | | | 124,816,758 | | | | | | 252,978,037 | | | | | | 148,624,530 | | | | | | — | | |
| End of period | | | | $ | 54,854,453 | | | | | $ | 124,816,758 | | | | | $ | 242,542,720 | | | | | $ | 148,624,530 | | |
| Changes in Shares Outstanding | | | | | | | | | | | | | | | | | | | | | | | | | |
| Shares outstanding, beginning of period | | | | | 2,600,000 | | | | | | 5,100,000 | | | | | | 6,650,000 | | | | | | — | | |
| Shares created | | | | | 450,000 | | | | | | 1,500,000 | | | | | | 6,050,000 | | | | | | 6,650,000 | | |
| Shares redeemed | | | | | (1,900,000) | | | | | | (4,000,000) | | | | | | (1,300,000) | | | | | | — | | |
| Shares outstanding, end of period | | | | | 1,150,000 | | | | | | 2,600,000 | | | | | | 11,400,000 | | | | | | 6,650,000 | | |
*
Commencement of operations.
See notes to financial statements.
Statements of Changes in Net Assets (continued)
| | | | IQ MacKay
Multi-Sector
Income ETF | | | IQ MacKay
ESG High
Income ETF | |
| | | | For the Period
July 26, 2022*
to
April 30, 2023 | | | For the Period
October 25, 2022*
to
April 30, 2023 | |
| Increase (Decrease) in Net Assets from Operations | | | | | | | | | | | | | |
| Net investment income | | | | $ | 895,877 | | | | | $ | 988,067 | | |
| Net realized gain (loss) | | | | | (672,821) | | | | | | 55,145 | | |
| Net change in net unrealized appreciation (depreciation) | | | | | (204,094) | | | | | | 656,028 | | |
| Net increase in net assets resulting from operations | | | | | 18,962 | | | | | | 1,699,240 | | |
| Distributions to Shareholders | | | | | (749,470) | | | | | | (776,850) | | |
| Capital Share Transactions | | | | | | | | | | | | | |
| Proceeds from shares created | | | | | 25,062,500 | | | | | | 25,062,500 | | |
| Increase from capital share transactions | | | | | 25,062,500 | | | | | | 25,062,500 | | |
| Total increase in net assets | | | | | 24,331,992 | | | | | | 25,984,890 | | |
| Net Assets | | | | | | | | | | | | | |
| Beginning of period | | | | | — | | | | | | — | | |
| End of period | | | | $ | 24,331,992 | | | | | $ | 25,984,890 | | |
| Changes in Shares Outstanding | | | | | | | | | | | | | |
| Shares outstanding, beginning of period | | | | | — | | | | | | — | | |
| Shares created | | | | | 1,000,000 | | | | | | 1,000,000 | | |
| Shares outstanding, end of period | | | | | 1,000,000 | | | | | | 1,000,000 | | |
*
Commencement of operations.
See notes to financial statements.
Statements of Changes in Net Assets (continued)
| | | | IQ MacKay Municipal Insured ETF | | | IQ MacKay Municipal Intermediate ETF | |
| | | | For the Year Ended April 30, | | | For the Year Ended April 30, | |
| | | | 2023 | | | 2022 | | | 2023 | | | 2022 | |
| Increase (Decrease) in Net Assets from Operations | | | | | | | | | | | | | | | | | | | | | | | | | |
| Net investment income | | | | $ | 10,827,190 | | | | | $ | 6,090,885 | | | | | $ | 8,470,888 | | | | | $ | 2,330,230 | | |
| Net realized loss | | | | | (40,188,098) | | | | | | (10,757,056) | | | | | | (13,781,637) | | | | | | (3,056,521) | | |
| Net change in net unrealized appreciation (depreciation) | | | | | 33,918,459 | | | | | | (34,861,360) | | | | | | 14,934,444 | | | | | | (18,537,910) | | |
Net increase (decrease) in net assets resulting
from operations | | | | | 4,557,551 | | | | | | (39,527,531) | | | | | | 9,623,695 | | | | | | (19,264,201) | | |
| Distributions to Shareholders | | | | | (11,533,483) | | | | | | (8,536,753) | | | | | | (8,923,426) | | | | | | (4,118,219) | | |
| Capital Share Transactions | | | | | | | | | | | | | | | | | | | | | | | | | |
| Proceeds from shares created | | | | | 305,144,317 | | | | | | 143,724,531 | | | | | | 254,910,174 | | | | | | 203,706,925 | | |
| Cost of shares redeemed | | | | | (300,120,575) | | | | | | (174,958,650) | | | | | | (71,092,939) | | | | | | (75,039,781) | | |
| Increase (Decrease) from capital share transactions | | | | | 5,023,742 | | | | | | (31,234,119) | | | | | | 183,817,235 | | | | | | 128,667,144 | | |
| Total increase (decrease) in net assets | | | | | (1,952,190) | | | | | | (79,298,403) | | | | | | 184,517,504 | | | | | | 105,284,724 | | |
| Net Assets | | | | | | | | | | | | | | | | | | | | | | | | | |
| Beginning of year | | | | | 365,028,285 | | | | | | 444,326,688 | | | | | | 229,984,375 | | | | | | 124,699,651 | | |
| End of year | | | | $ | 363,076,095 | | | | | $ | 365,028,285 | | | | | $ | 414,501,879 | | | | | $ | 229,984,375 | | |
| Changes in Shares Outstanding | | | | | | | | | | | | | | | | | | | | | | | | | |
| Shares outstanding, beginning of year | | | | | 14,800,000 | | | | | | 16,150,000 | | | | | | 9,400,000 | | | | | | 4,650,000 | | |
| Shares created | | | | | 12,600,000 | | | | | | 5,300,000 | | | | | | 10,500,000 | | | | | | 7,700,000 | | |
| Shares redeemed | | | | | (12,450,000) | | | | | | (6,650,000) | | | | | | (2,950,000) | | | | | | (2,950,000) | | |
| Shares outstanding, end of year | | | | | 14,950,000 | | | | | | 14,800,000 | | | | | | 16,950,000 | | | | | | 9,400,000 | | |
See notes to financial statements.
Statements of Changes in Net Assets (continued)
| | | | IQ MacKay California Municipal
Intermediate ETF | | | IQ Winslow
Large Cap
Growth ETF | |
| | | | For the Year
Ended April 30,
2023 | | | For the Period
December 21, 2021*
to
April 30, 2022 | | | For the Period
June 23, 2022*
to
April 30, 2023 | |
| Increase (Decrease) in Net Assets from Operations | | | | | | | | | | | | | | | | | | | |
| Net investment income | | | | $ | 1,331,432 | | | | | $ | 262,375 | | | | | $ | 9,192 | | |
| Net realized loss | | | | | (4,280,150) | | | | | | (2,794,452) | | | | | | (291,902) | | |
| Net change in net unrealized appreciation (depreciation) | | | | | 4,145,771 | | | | | | (3,576,686) | | | | | | 2,048,429 | | |
| Net increase (decrease) in net assets resulting from operations | | | | | 1,197,053 | | | | | | (6,108,763) | | | | | | 1,765,719 | | |
| Distributions to Shareholders | | | | | (1,397,430) | | | | | | (340,640) | | | | | | (6,429) | | |
| Capital Share Transactions | | | | | | | | | | | | | | | | | | | |
| Proceeds from shares created | | | | | 9,656,543 | | | | | | 50,015,000 | | | | | | 21,631,282 | | |
| Cost of shares redeemed | | | | | (2,199,209) | | | | | | — | | | | | | (4,738,195) | | |
| Increase from capital share transactions | | | | | 7,457,334 | | | | | | 50,015,000 | | | | | | 16,893,087 | | |
| Total increase in net assets | | | | | 7,256,957 | | | | | | 43,565,597 | | | | | | 18,652,377 | | |
| Net Assets | | | | | | | | | | | | | | | | | | | |
| Beginning of period | | | | | 43,565,597 | | | | | | — | | | | | | — | | |
| End of period | | | | $ | 50,822,554 | | | | | $ | 43,565,597 | | | | | $ | 18,652,377 | | |
| Changes in Shares Outstanding | | | | | | | | | | | | | | | | | | | |
| Shares outstanding, beginning of period | | | | | 2,000,000 | | | | | | — | | | | | | — | | |
| Shares created | | | | | 450,000 | | | | | | 2,000,000 | | | | | | 830,000 | | |
| Shares redeemed | | | | | (100,000) | | | | | | — | | | | | | (180,000) | | |
| Shares outstanding, end of period | | | | | 2,350,000 | | | | | | 2,000,000 | | | | | | 650,000 | | |
*
Commencement of operations.
See notes to financial statements.
Statements of Changes in Net Assets (continued)
| | | | IQ Winslow
Focused Large
Cap Growth
ETF | |
| | | | For the Period
June 23, 2022*
to
April 30, 2023 | |
| Increase (Decrease) in Net Assets from Operations | | | | | | | |
| Net investment income | | | | $ | 4,504 | | |
| Net realized gain | | | | | 118,261 | | |
| Net change in net unrealized appreciation (depreciation) | | | | | 779,955 | | |
| Net increase in net assets resulting from operations | | | | | 902,720 | | |
| Distributions to Shareholders | | | | | (3,182) | | |
| Capital Share Transactions | | | | | | | |
| Proceeds from shares created | | | | | 7,638,040 | | |
| Cost of shares redeemed | | | | | (2,355,904) | | |
| Increase from capital share transactions | | | | | 5,282,136 | | |
| Total increase in net assets | | | | | 6,181,674 | | |
| Net Assets | | | | | | | |
| Beginning of period | | | | | — | | |
| End of period | | | | $ | 6,181,674 | | |
| Changes in Shares Outstanding | | | | | | | |
| Shares outstanding, beginning of period | | | | | — | | |
| Shares created | | | | | 300,000 | | |
| Shares redeemed | | | | | (90,000) | | |
| Shares outstanding, end of period | | | | | 210,000 | | |
*
Commencement of operations.
See notes to financial statements.
Selected Data for a Share of Capital Stock Outstanding
| | | | IQ Ultra Short Duration ETF | |
| | | | For the Year Ended April 30, | | | For the Period
July 31,
2019(a) to
April 30, 2020 | |
| | | | 2023 | | | 2022 | | | 2021 | |
Net asset value, beginning of period | | | | $ | 48.01 | | | | | $ | 49.60 | | | | | $ | 48.91 | | | | | $ | 50.01 | | |
| Income from Investment Operations | | | | | | | | | | | | | | | | | | | | | | | | | |
Net investment income(b) | | | | | 1.40 | | | | | | 0.49 | | | | | | 0.51 | | | | | | 0.74 | | |
| Net realized and unrealized gain (loss) | | | | | (0.22) | | | | | | (0.96) | | | | | | 0.97 | | | | | | (1.07) | | |
| Net increase (decrease) in net assets resulting from investment operations | | | | | 1.18 | | | | | | (0.47) | | | | | | 1.48 | | | | | | (0.33) | | |
| Distributions from: | | | | | | | | | | | | | | | | | | | | | | | | | |
| Net investment income | | | | | (1.49) | | | | | | (0.51) | | | | | | (0.56) | | | | | | (0.75) | | |
| Net realized gain | | | | | — | | | | | | (0.61) | | | | | | (0.23) | | | | | | (0.02) | | |
| Total distributions from net investment income and realized gains | | | | | (1.49) | | | | | | (1.12) | | | | | | (0.79) | | | | | | (0.77) | | |
| Net asset value, end of period | | | | $ | 47.70 | | | | | $ | 48.01 | | | | | $ | 49.60 | | | | | $ | 48.91 | | |
| Market price, end of period | | | | $ | 47.68 | | | | | $ | 47.94 | | | | | $ | 49.60 | | | | | $ | 48.99 | | |
| Total Return | | | | | | | | | | | | | | | | | | | | | | | | | |
Total investment return based on net asset value(c) | | | | | 2.53% | | | | | | (0.97)% | | | | | | 3.08% | | | | | | (0.68)% | | |
Total investment return based on market price(d) | | | | | 2.63% | | | | | | (1.10)% | | | | | | 2.88% | | | | | | (0.52)%(e) | | |
| Ratios/Supplemental Data | | | | | | | | | | | | | | | | | | | | | | | | | |
| Net assets, end of period (000’s omitted) | | | | $ | 54,854 | | | | | $ | 124,817 | | | | | $ | 252,978 | | | | | $ | 149,182 | | |
| Ratio to average net assets of: | | | | | | | | | | | | | | | | | | | | | | | | | |
| Expenses net of waivers | | | | | 0.24% | | | | | | 0.24% | | | | | | 0.24% | | | | | | 0.24%(f) | | |
| Expenses excluding waivers | | | | | 0.46% | | | | | | 0.35% | | | | | | 0.33% | | | | | | 0.49%(f) | | |
| Net investment income | | | | | 2.93% | | | | | | 1.00% | | | | | | 1.03% | | | | | | 2.00%(f) | | |
Portfolio turnover rate(g) | | | | | 340% | | | | | | 132% | | | | | | 185% | | | | | | 292% | | |
(a)
Commencement of operations.
(b)
Based on average shares outstanding.
(c)
Total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions, if any, at net asset value during the period, and redemption on the last day of the period. Total return calculated for a period less than one year is not annualized.
(d)
The market price total investment returns are calculated using the mean between the last bid and ask prices. Total investment returns calculated for a period less than one year are not annualized.
(e)
Since the Shares of the Funds did not trade in the secondary market until the day after the Fund’s inception, for the period from the inception to the first day of the secondary market trading, the NAV is used as a proxy for the secondary market trading price to calculate the market returns.
(f)
Annualized.
(g)
Portfolio turnover rate is not annualized and excludes the value of portfolio securities received or delivered as in-kind creations or redemptions in connection with the Fund’s capital share transactions.
See notes to financial statements.
Financial Highlights (continued)
Selected Data for a Share of Capital Stock Outstanding
| | | | IQ MacKay ESG
Core Plus Bond ETF | |
| | | | For the Year
Ended
April 30, 2023 | | | For the Period
June 29,
2021(a) to
April 30, 2022 | |
Net asset value, beginning of period | | | | $ | 22.35 | | | | | $ | 25.00 | | |
| Income from Investment Operations | | | | | | | | | | | | | |
Net investment income(b) | | | | | 0.86 | | | | | | 0.40 | | |
| Net realized and unrealized gain (loss) | | | | | (1.16) | | | | | | (2.70) | | |
| Net increase (decrease) in net assets resulting from investment operations | | | | | (0.30) | | | | | | (2.30) | | |
| Distributions from: | | | | | | | | | | | | | |
| Net investment income | | | | | (0.77) | | | | | | (0.32) | | |
| Net realized gain | | | | | — | | | | | | (0.03) | | |
| Total distributions from net investment income and realized gains | | | | | (0.77) | | | | | | (0.35) | | |
| Net asset value, end of period | | | | $ | 21.28 | | | | | $ | 22.35 | | |
| Market price, end of period | | | | $ | 21.24 | | | | | $ | 22.38 | | |
| Total Return | | | | | | | | | | | | | |
Total investment return based on net asset value(c) | | | | | (1.31)% | | | | | | (9.31)% | | |
Total investment return based on market price(d) | | | | | (1.59)% | | | | | | (9.21)%(e) | | |
| Ratios/Supplemental Data | | | | | | | | | | | | | |
| Net assets, end of period (000’s omitted) | | | | $ | 242,543 | | | | | $ | 148,625 | | |
| Ratio to average net assets of: | | | | | | | | | | | | | |
| Expenses net of waivers | | | | | 0.39% | | | | | | 0.39%(f) | | |
| Expenses excluding waivers | | | | | 0.50% | | | | | | 0.64%(f) | | |
| Net investment income | | | | | 4.06% | | | | | | 2.00%(f) | | |
Portfolio turnover rate(g) | | | | | 212% | | | | | | 333% | | |
(a)
Commencement of operations.
(b)
Based on average shares outstanding.
(c)
Total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions, if any, at net asset value during the period, and redemption on the last day of the period. Total return calculated for a period less than one year is not annualized.
(d)
The market price total investment returns are calculated using the mean between the last bid and ask prices. Total investment returns calculated for a period less than one year are not annualized.
(e)
Since the Shares of the Funds did not trade in the secondary market until the day after the Fund’s inception, for the period from the inception to the first day of the secondary market trading, the NAV is used as a proxy for the secondary market trading price to calculate the market returns.
(f)
Annualized.
(g)
Portfolio turnover rate is not annualized and excludes the value of portfolio securities received or delivered as in-kind creations or redemptions in connection with the Fund’s capital share transactions.
See notes to financial statements.
Financial Highlights (continued)
Selected Data for a Share of Capital Stock Outstanding
| | | | IQ MacKay
Multi-Sector
Income ETF | |
| | | | For the Period
July 26,
2022(a) to
April 30, 2023 | |
Net asset value, beginning of period | | | | $ | 25.00 | | |
| Income from Investment Operations | | | | | | | |
Net investment income(b) | | | | | 0.90 | | |
| Net realized and unrealized gain (loss) | | | | | (0.82) | | |
| Net increase (decrease) in net assets resulting from investment operations | | | | | 0.08 | | |
| Distributions from: | | | | | | | |
| Net investment income | | | | | (0.75) | | |
| Net asset value, end of period | | | | $ | 24.33 | | |
| Market price, end of period | | | | $ | 24.34 | | |
| Total Return | | | | | | | |
Total investment return based on net asset value(c) | | | | | 0.42% | | |
Total investment return based on market price(d) | | | | | 0.45%(e) | | |
| Ratios/Supplemental Data | | | | | | | |
| Net assets, end of period (000’s omitted) | | | | $ | 24,332 | | |
| Ratio to average net assets of: | | | | | | | |
| Expenses net of waivers | | | | | 0.40%(f) | | |
| Expenses excluding waivers | | | | | 0.74%(f) | | |
| Net investment income | | | | | 4.86%(f) | | |
Portfolio turnover rate(g) | | | | | 131% | | |
(a)
Commencement of operations.
(b)
Based on average shares outstanding.
(c)
Total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions, if any, at net asset value during the period, and redemption on the last day of the period. Total return calculated for a period less than one year is not annualized.
(d)
The market price total investment returns are calculated using the mean between the last bid and ask prices. Total investment returns calculated for a period less than one year are not annualized.
(e)
Since the Shares of the Funds did not trade in the secondary market until the day after the Fund’s inception, for the period from the inception to the first day of the secondary market trading, the NAV is used as a proxy for the secondary market trading price to calculate the market returns.
(f)
Annualized. Certain expenses are not annualized and reflects the period presented.
(g)
Portfolio turnover rate is not annualized and excludes the value of portfolio securities received or delivered as in-kind creations or redemptions in connection with the Fund’s capital share transactions.
See notes to financial statements.
Financial Highlights (continued)
Selected Data for a Share of Capital Stock Outstanding
| | | | IQ MacKay
ESG High
Income ETF | |
| | | | For the Period
October 25,
2022(a) to
April 30, 2023 | |
Net asset value, beginning of period | | | | $ | 25.00 | | |
| Income from Investment Operations | | | | | | | |
Net investment income(b) | | | | | 0.99 | | |
| Net realized and unrealized gain (loss) | | | | | 0.77 | | |
| Net increase (decrease) in net assets resulting from investment operations | | | | | 1.76 | | |
| Distributions from: | | | | | | | |
| Net investment income | | | | | (0.78) | | |
| Net asset value, end of period | | | | $ | 25.98 | | |
| Market price, end of period | | | | $ | 26.03 | | |
| Total Return | | | | | | | |
Total investment return based on net asset value(c) | | | | | 7.12% | | |
Total investment return based on market price(d) | | | | | 7.29%(e) | | |
| Ratios/Supplemental Data | | | | | | | |
| Net assets, end of period (000’s omitted) | | | | $ | 25,985 | | |
| Ratio to average net assets of: | | | | | | | |
| Expenses net of waivers | | | | | 0.40%(f) | | |
| Expenses excluding waivers | | | | | 0.81%(f) | | |
| Net investment income | | | | | 7.48%(f) | | |
Portfolio turnover rate(g) | | | | | 30% | | |
(a)
Commencement of operations.
(b)
Based on average shares outstanding.
(c)
Total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions, if any, at net asset value during the period, and redemption on the last day of the period. Total return calculated for a period less than one year is not annualized.
(d)
The market price total investment returns are calculated using the mean between the last bid and ask prices. Total investment returns calculated for a period less than one year are not annualized.
(e)
Since the Shares of the Funds did not trade in the secondary market until the day after the Fund’s inception, for the period from the inception to the first day of the secondary market trading, the NAV is used as a proxy for the secondary market trading price to calculate the market returns.
(f)
Annualized. Certain expenses are not annualized and reflects the period presented.
(g)
Portfolio turnover rate is not annualized and excludes the value of portfolio securities received or delivered as in-kind creations or redemptions in connection with the Fund’s capital share transactions.
See notes to financial statements.
Financial Highlights (continued)
Selected Data for a Share of Capital Stock Outstanding
| | | | IQ MacKay Municipal Insured ETF | |
| | | | For the Year Ended April 30, | |
| | | | 2023 | | | 2022 | | | 2021 | | | 2020 | | | 2019 | |
| Net asset value, beginning of year | | | | $ | 24.66 | | | | | $ | 27.51 | | | | | $ | 25.89 | | | | | $ | 25.61 | | | | | $ | 24.67 | | |
| Income from Investment Operations | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net investment income(a) | | | | | 0.74 | | | | | | 0.36 | | | | | | 0.38 | | | | | | 0.53 | | | | | | 0.72 | | |
| Net realized and unrealized gain (loss) | | | | | (0.32) | | | | | | (2.71) | | | | | | 1.76 | | | | | | 0.50(b) | | | | | | 0.90 | | |
| Net increase (decrease) in net assets resulting from investment operations | | | | | 0.42 | | | | | | (2.35) | | | | | | 2.14 | | | | | | 1.03 | | | | | | 1.62 | | |
| Distributions from: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Net investment income | | | | | (0.79) | | | | | | (0.49) | | | | | | (0.52) | | | | | | (0.64) | | | | | | (0.68) | | |
| Net realized gain | | | | | — | | | | | | (0.01) | | | | | | — | | | | | | (0.11) | | | | | | — | | |
| Total distributions from net investment income and realized gains | | | | | (0.79) | | | | | | (0.50) | | | | | | (0.52) | | | | | | (0.75) | | | | | | (0.68) | | |
| Net asset value, end of year | | | | $ | 24.29 | | | | | $ | 24.66 | | | | | $ | 27.51 | | | | | $ | 25.89 | | | | | $ | 25.61 | | |
| Market price, end of year | | | | $ | 24.33 | | | | | $ | 24.65 | | | | | $ | 27.54 | | | | | $ | 26.00 | | | | | $ | 25.64 | | |
| Total Return | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total investment return based on net asset value(c) | | | | | 1.74% | | | | | | (8.70)% | | | | | | 8.32% | | | | | | 4.05% | | | | | | 6.72% | | |
Total investment return based on market price(d) | | | | | 2.00% | | | | | | (8.85)% | | | | | | 7.97% | | | | | | 4.36% | | | | | | 6.02% | | |
| Ratios/Supplemental Data | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Net assets, end of year (000’s omitted) | | | | $ | 363,076 | | | | | $ | 365,028 | | | | | $ | 444,327 | | | | | $ | 88,035 | | | | | $ | 43,539 | | |
| Ratio to average net assets of: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Expenses net of waivers | | | | | 0.30% | | | | | | 0.30% | | | | | | 0.30% | | | | | | 0.30% | | | | | | 0.30% | | |
| Expenses excluding waivers | | | | | 0.50% | | | | | | 0.49% | | | | | | 0.51% | | | | | | 0.57% | | | | | | 0.77% | | |
| Net investment income | | | | | 3.08% | | | | | | 1.31% | | | | | | 1.40% | | | | | | 2.01% | | | | | | 2.89% | | |
Portfolio turnover rate(e) | | | | | 136% | | | | | | 80% | | | | | | 36% | | | | | | 71% | | | | | | 56% | | |
(a)
Based on average shares outstanding.
(b)
Calculation of the net realized and unrealized gain (loss) per share does not correlate with the Fund’s net realized and unrealized gain (loss) presented on the Statements of Changes in Net Assets due to the timing of creation of Fund shares in relation to fluctuating market values.
(c)
Total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions, if any, at net asset value during the period, and redemption on the last day of the period. Total return calculated for a period less than one year is not annualized.
(d)
The market price total investment returns are calculated using the mean between the last bid and ask prices.
(e)
Portfolio turnover rate is not annualized and excludes the value of portfolio securities received or delivered as in-kind creations or redemptions in connection with the Fund’s capital share transactions.
See notes to financial statements.
Financial Highlights (continued)
Selected Data for a Share of Capital Stock Outstanding
| | | | IQ MacKay Municipal Intermediate ETF | |
| | | | For the Year Ended April 30, | |
| | | | 2023 | | | 2022 | | | 2021 | | | 2020 | | | 2019 | |
| Net asset value, beginning of year | | | | $ | 24.47 | | | | | $ | 26.82 | | | | | $ | 25.22 | | | | | $ | 25.61 | | | | | $ | 24.67 | | |
| Income from Investment Operations | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net investment income(a) | | | | | 0.63 | | | | | | 0.28 | | | | | | 0.47 | | | | | | 0.53 | | | | | | 0.69 | | |
| Net realized and unrealized gain (loss) | | | | | 0.00(b)(f) | | | | | | (2.16) | | | | | | 1.73 | | | | | | 0.16(b) | | | | | | 0.91 | | |
| Net increase (decrease) in net assets resulting from investment operations | | | | | 0.63 | | | | | | (1.88) | | | | | | 2.20 | | | | | | 0.69 | | | | | | 1.60 | | |
| Distributions from: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Net investment income | | | | | (0.65) | | | | | | (0.39) | | | | | | (0.58) | | | | | | (0.67) | | | | | | (0.66) | | |
| Net realized gain | | | | | — | | | | | | (0.08) | | | | | | (0.02) | | | | | | (0.41) | | | | | | — | | |
| Total distributions from net investment income and realized gains | | | | | (0.65) | | | | | | (0.47) | | | | | | (0.60) | | | | | | (1.08) | | | | | | (0.66) | | |
| Net asset value, end of year | | | | $ | 24.45 | | | | | $ | 24.47 | | | | | $ | 26.82 | | | | | $ | 25.22 | | | | | $ | 25.61 | | |
| Market price, end of year | | | | $ | 24.49 | | | | | $ | 24.47 | | | | | $ | 26.84 | | | | | $ | 25.22 | | | | | $ | 25.66 | | |
| Total Return | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total investment return based on net asset value(c) | | | | | 2.66% | | | | | | (7.13)% | | | | | | 8.80% | | | | | | 2.65% | | | | | | 6.59% | | |
Total investment return based on market price(d) | | | | | 2.80% | | | | | | (7.19)% | | | | | | 8.90% | | | | | | 2.44% | | | | | | 6.62% | | |
| Ratios/Supplemental Data | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Net assets, end of year (000’s omitted) | | | | $ | 414,502 | | | | | $ | 229,984 | | | | | $ | 124,700 | | | | | $ | 51,708 | | | | | $ | 43,541 | | |
| Ratio to average net assets of: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Expenses net of waivers | | | | | 0.30% | | | | | | 0.30% | | | | | | 0.30% | | | | | | 0.30% | | | | | | 0.30% | | |
| Expenses excluding waivers | | | | | 0.50% | | | | | | 0.51% | | | | | | 0.57% | | | | | | 0.62% | | | | | | 0.71% | | |
| Net investment income | | | | | 2.59% | | | | | | 1.05% | | | | | | 1.78% | | | | | | 2.02% | | | | | | 2.76% | | |
Portfolio turnover rate(e) | | | | | 64% | | | | | | 74% | | | | | | 43% | | | | | | 77% | | | | | | 72% | | |
(a)
Based on average shares outstanding.
(b)
Calculation of the net realized and unrealized gain (loss) per share does not correlate with the Fund’s net realized and unrealized gain (loss) presented on the Statements of Changes in Net Assets due to the timing of creation of Fund shares in relation to fluctuating market values.
(c)
Total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions, if any, at net asset value during the period, and redemption on the last day of the period. Total return calculated for a period less than one year is not annualized.
(d)
The market price total investment returns are calculated using the mean between the last bid and ask prices.
(e)
Portfolio turnover rate is not annualized and excludes the value of portfolio securities received or delivered as in-kind creations or redemptions in connection with the Fund’s capital share transactions.
(f)
Less than $0.005.
See notes to financial statements.
Financial Highlights (continued)
Selected Data for a Share of Capital Stock Outstanding
| | | | IQ MacKay California
Municipal Intermediate ETF | |
| | | | For the Year
Ended
April 30,
2023 | | | For the Period
December 21,
2021(a) to
April 30, 2022 | |
Net asset value, beginning of period | | | | $ | 21.78 | | | | | $ | 25.00 | | |
| Income from Investment Operations | | | | | | | | | | | | | |
Net investment income(b) | | | | | 0.62 | | | | | | 0.13 | | |
| Net realized and unrealized gain (loss) | | | | | (0.12) | | | | | | (3.18) | | |
| Net increase (decrease) in net assets resulting from investment operations | | | | | 0.50 | | | | | | (3.05) | | |
| Distributions from: | | | | | | | | | | | | | |
| Net investment income | | | | | (0.65) | | | | | | (0.17) | | |
| Net asset value, end of period | | | | $ | 21.63 | | | | | $ | 21.78 | | |
| Market price, end of period | | | | $ | 21.65 | | | | | $ | 21.80 | | |
| Total Return | | | | | | | | | | | | | |
Total investment return based on net asset value(c) | | | | | 2.28% | | | | | | (12.25)% | | |
Total investment return based on market price(d) | | | | | 2.33% | | | | | | (12.17)%(e) | | |
| Ratios/Supplemental Data | | | | | | | | | | | | | |
| Net assets, end of period (000’s omitted) | | | | $ | 50,823 | | | | | $ | 43,566 | | |
| Ratio to average net assets of: | | | | | | | | | | | | | |
| Expenses net of waivers | | | | | 0.35% | | | | | | 0.35%(f) | | |
| Expenses excluding waivers | | | | | 0.69% | | | | | | 0.73%(f) | | |
| Net investment income | | | | | 2.86% | | | | | | 1.54%(f) | | |
Portfolio turnover rate(g) | | | | | 98% | | | | | | 86% | | |
(a)
Commencement of operations.
(b)
Based on average shares outstanding.
(c)
Total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions, if any, at net asset value during the period, and redemption on the last day of the period. Total return calculated for a period less than one year is not annualized.
(d)
The market price total investment returns are calculated using the mean between the last bid and ask prices. Total investment returns calculated for a period less than one year are not annualized.
(e)
Since the Shares of the Fund did not trade in the secondary market until the day after the Fund’s inception, for the period from the inception to the first day of the secondary market trading, the NAV is used as a proxy for the secondary market trading price to calculate the market returns.
(f)
Annualized.
(g)
Portfolio turnover rate is not annualized and excludes the value of portfolio securities received or delivered as in-kind creations or redemptions in connection with the Fund’s capital share transactions.
See notes to financial statements.
Financial Highlights (continued)
Selected Data for a Share of Capital Stock Outstanding
| | | | IQ Winslow
Large Cap
Growth ETF | |
| | | | For the Period
June 23,
2022(a) to
April 30, 2023 | |
Net asset value, beginning of period | | | | $ | 25.00 | | |
| Income from Investment Operations | | | | | | | |
Net investment income(b) | | | | | 0.02 | | |
| Net realized and unrealized gain (loss) | | | | | 3.69 | | |
| Net increase (decrease) in net assets resulting from investment operations | | | | | 3.71 | | |
| Distributions from: | | | | | | | |
| Net investment income | | | | | (0.01) | | |
| Net asset value, end of period | | | | $ | 28.70 | | |
| Market price, end of period | | | | $ | 28.70 | | |
| Total Return | | | | | | | |
Total investment return based on net asset value(c) | | | | | 14.89% | | |
Total investment return based on market price(d) | | | | | 14.85%(e) | | |
| Ratios/Supplemental Data | | | | | | | |
| Net assets, end of period (000’s omitted) | | | | $ | 18,652 | | |
| Ratio to average net assets of: | | | | | | | |
| Expenses net of waivers | | | | | 0.60%(f) | | |
| Expenses excluding waivers | | | | | 1.32%(f) | | |
| Net investment income | | | | | 0.09%(f) | | |
Portfolio turnover rate(g) | | | | | 77% | | |
(a)
Commencement of operations.
(b)
Based on average shares outstanding.
(c)
Total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions, if any, at net asset value during the period, and redemption on the last day of the period. Total return calculated for a period less than one year is not annualized.
(d)
The market price total investment return is calculated using the mean between the last bid and ask prices. Total investment returns calculated for a period less than one year are not annualized.
(e)
Since the Shares of the Fund did not trade in the secondary market until the day after the Fund’s inception, for the period from the inception to the first day of the secondary market trading, the NAV is used as a proxy for the secondary market trading price to calculate the market returns.
(f)
Annualized. Certain expenses are not annualized and reflects the period presented.
(g)
Portfolio turnover rate is not annualized and excludes the value of portfolio securities received or delivered as in-kind creations or redemptions in connection with the Fund’s capital share transactions.
See notes to financial statements.
Financial Highlights (continued)
Selected Data for a Share of Capital Stock Outstanding
| | | | IQ Winslow Focused
Large Cap
Growth ETF | |
| | | | For the Period
June 23,
2022(a) to
April 30, 2023 | |
Net asset value, beginning of period | | | | $ | 24.93 | | |
| Income from Investment Operations | | | | | | | |
Net investment income(b) | | | | | 0.02 | | |
| Net realized and unrealized gain (loss) | | | | | 4.50 | | |
| Net increase (decrease) in net assets resulting from investment operations | | | | | 4.52 | | |
| Distributions from: | | | | | | | |
| Net investment income | | | | | (0.01) | | |
| Net asset value, end of period | | | | $ | 29.44 | | |
| Market price, end of period | | | | $ | 29.43 | | |
| Total Return | | | | | | | |
Total investment return based on net asset value(c) | | | | | 18.12% | | |
Total investment return based on market price(d) | | | | | 18.11%(e) | | |
| Ratios/Supplemental Data | | | | | | | |
| Net assets, end of period (000’s omitted) | | | | $ | 6,182 | | |
| Ratio to average net assets of: | | | | | ��� | | |
| Expenses net of waivers | | | | | 0.65%(f) | | |
| Expenses excluding waivers | | | | | 1.98%(f) | | |
| Net investment income | | | | | 0.09%(f) | | |
Portfolio turnover rate(g) | | | | | 29% | | |
(a)
Commencement of operations.
(b)
Based on average shares outstanding.
(c)
Total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions, if any, at net asset value during the period, and redemption on the last day of the period. Total return calculated for a period less than one year is not annualized.
(d)
The market price total investment return is calculated using the mean between the last bid and ask prices. Total investment returns calculated for a period less than one year are not annualized.
(e)
Since the Shares of the Fund did not trade in the secondary market until the day after the Fund’s inception, for the period from the inception to the first day of the secondary market trading, the NAV is used as a proxy for the secondary market trading price to calculate the market returns.
(f)
Annualized. Certain expenses are not annualized and reflects the period presented.
(g)
Portfolio turnover rate is not annualized and excludes the value of portfolio securities received or delivered as in-kind creations or redemptions in connection with the Fund’s capital share transactions.
See notes to financial statements.
Notes to Financial Statements
1. ORGANIZATION
IndexIQ Active ETF Trust (the “Trust”) was organized as a Delaware statutory trust on January 30, 2008 and is registered with the Securities and Exchange Commission (“SEC”) as an open-end, management investment company, as defined by the Investment Company Act of 1940, as amended (the “1940 Act”). The Trust currently consists of nine operational funds (collectively, the “Funds” and each, a “Fund”). The Funds are exchange-traded funds (“ETFs”), whose shares are listed on a stock exchange and traded like equity securities at market prices.
Investors may find the financial statements of any issuer whose securities represent a significant amount of the Fund’s assets on the SEC’s website (www.sec.gov).
| Funds | | | Diversification
Policy | | | Commencement of
Operations Date | |
| IQ Ultra Short Duration ETF | | | Diversified | | | July 31, 2019 | |
| IQ MacKay ESG Core Plus Bond ETF | | | Diversified | | | June 29, 2021 | |
| IQ MacKay Multi-Sector Income ETF | | | Diversified | | | July 26, 2022 | |
| IQ MacKay ESG High Income ETF | | | Diversified | | | October 25, 2022 | |
| IQ MacKay Municipal Insured ETF | | | Diversified | | | October 18, 2017 | |
| IQ MacKay Municipal Intermediate ETF | | | Diversified | | | October 18, 2017 | |
| IQ MacKay California Municipal Intermediate ETF | | | Diversified | | | December 21, 2021 | |
| IQ Winslow Large Cap Growth ETF | | | Non-diversified | | | June 23, 2022 | |
| IQ Winslow Focused Large Cap Growth ETF | | | Non-diversified | | | June 23, 2022 | |
NYL Investors LLC, is the sub-advisor to the IQ Ultra Short Duration ETF; MacKay Shields LLC, is the sub-advisor to IQ MacKay ESG Core Plus Bond ETF, IQ MacKay Multi-Sector Income ETF, IQ MacKay ESG High Income ETF, IQ MacKay Municipal Insured ETF, IQ MacKay Municipal Intermediate ETF, and IQ MacKay California Municipal Intermediate ETF; and Winslow Capital Management, LLC is the sub-advisor for IQ Winslow Large Cap Growth ETF and IQ Winslow Focused Large Cap Growth ETF (collectively, the “Sub-Advisors” and each, a “Sub-Advisor”).
The Investment objective of each Fund is:
| | Funds | | | Investment Objective | |
| | IQ Ultra Short Duration ETF | | | Seeks to provide current income while maintaining limited price volatility. | |
| | IQ MacKay ESG Core Plus Bond ETF | | | Seeks total returns, while incorporating the Subadvisor’s ESG investment strategy. | |
| | IQ MacKay Multi-Sector Income ETF | | | Seeks to maximize current income and long-term capital appreciation. | |
| | IQ MacKay ESG High Income ETF | | | Seeks to maximize current income while incorporating the subadvisor’s ESG investment strategy. | |
| | IQ MacKay Municipal Insured ETF | | | Seeks current income exempt from federal income taxes. | |
| | IQ MacKay Municipal Intermediate ETF | | | Seeks current income exempt from federal income taxes. | |
| | IQ MacKay California Municipal Intermediate ETF | | | Seeks current income exempt from federal and California income taxes. | |
| | IQ Winslow Large Cap Growth ETF | | | Seeks long-term growth of capital. | |
| | IQ Winslow Focused Large Cap Growth ETF | | | Seeks long-term growth of capital. | |
Notes to Financial Statements (continued)
2. SIGNIFICANT ACCOUNTING POLICIES
Each Fund is an investment company and accordingly follows the investment company accounting and reporting guidance of the Financial Accounting Standards Board (“FASB”) Accounting Standard Codification Topic 946 Financial Services — Investment Companies. Each Fund prepares its financial statements in accordance with generally accepted accounting principles (“GAAP”) in the United States of America and follows the significant accounting policies described below.
Use of Estimates
IndexIQ Advisors LLC (the “Advisor”) makes certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and reported amounts of increases and decreases in the net assets from operations during the reporting period. Actual results could differ from those estimates.
Indemnification
In the normal course of business, the Funds may enter into contracts that contain a variety of representations and warranties that may provide general indemnifications for certain liabilities. Under the Trust’s organizational documents, its officers and trustees are indemnified against certain liabilities that may arise out of performance of their duties to the Trust. The Funds’ maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Funds that have not yet occurred. The Advisor believes that the risk of loss in connection with these potential indemnification obligations is remote. However, there can be no assurance that material liabilities related to such obligations will not arise in the future, which could adversely impact the Funds.
Investment Valuation
Each Fund issues and redeems shares on a continuous basis at Net Asset Value (“NAV”) only in large blocks of shares called “Creation Units.” The NAV is determined as of the close of trading (generally, 4:00 PM Eastern Time) on each day the New York Stock Exchange (“NYSE”) is open for trading. The NAV of the shares of each Fund will be equal to each Fund’s total assets minus each Fund’s total liabilities divided by the total number of shares outstanding. The NAV that is published will be rounded to the nearest cent; however, for purposes of determining the price of Creation Units, the NAV will be calculated to five decimal places. The consideration for purchase of a Creation Unit of shares of each Fund generally consists of a basket of securities and/or cash that the Fund specifies each day.
Effective September 8, 2022, and pursuant to Rule 2a-5 under the 1940 Act, the Board of Trustees of the Trust (the “Board”) designated the Advisor as its Valuation Designee (the “Valuation Designee”). The Valuation Designee is responsible for performing fair valuations relating to all investments in the Fund’s for which market quotations are not readily available; periodically assessing and managing material valuation risks; establishing and applying fair value methodologies; testing fair valuation methodologies; evaluating and overseeing pricing services; segregation of valuation and portfolio management functions; providing quarterly, annual and prompt reporting to the Board, as appropriate; identifying potential conflicts of interest; and maintaining appropriate records. The Fund’s and the Valuation Designee’s policies and procedures (“Valuation Procedures”) govern the Valuation Designee’s selection and application of methodologies for determining and calculating the fair value of Fund investments. The Valuation Designee may value Fund portfolio securities for which market quotations are not readily available and other Fund assets utilizing inputs from pricing services and other third-party sources.
A Fund typically values fixed-income portfolio securities using last available bid prices or current market quotations provided by dealers or prices (including evaluated prices) supplied by the Fund’s approved independent third-party pricing services. Pricing services may use matrix pricing or valuation models that utilize certain inputs and assumptions to derive values. Pricing services generally value fixed-income securities assuming orderly transactions of an institutional round lot size, but a Fund may hold or transact in such securities in smaller odd lot sizes. Odd lots often trade at different prices that may be above or below the price at which the pricing service has valued the security. Amortized cost is used as a method of valuation with
Notes to Financial Statements (continued)
respect to debt obligations with sixty days or less remaining to maturity unless the Advisor determines in good faith that such method does not represent fair value.
Generally, trading in U.S. government securities, money market instruments and certain fixed-income securities is substantially completed each day at various times prior to the close of business on the NYSE. The values of such securities used in computing the NAV of the Fund are determined as of such times. Futures contracts generally are valued at the settlement or closing price determined by the applicable exchange.
Equity securities are generally valued at the closing price of the security on the security’s primary exchange. The primary exchanges for a Fund’s foreign equity securities may close for trading at various times prior to close of regular trading on the NYSE Arca, and the value of such securities used in computing a Fund’s NAV are generally determined as of such times.
When market quotations or prices are not readily available or are deemed unreliable or not representative of an investment’s fair value, investments are valued using fair value pricing as determined in good faith by the Advisor, under procedures established by and under the general supervision and responsibility of the Trust’s Board of Trustees (the “Board”). The procedures state that, subject to the oversight of the Board and unless otherwise noted, the responsibility for the day-to-day valuation of portfolio assets (including fair value measurements for the Funds’ assets and liabilities) rests with the Advisor. The Advisor may conclude that a market quotation is not readily available or is unreliable if a security or other asset or liability does not have a price source due to its lack of liquidity or other reason, if a market quotation differs significantly from recent price quotations or otherwise no longer appears to reflect fair value, where the security or other asset or liability is thinly traded, or if the trading market on which a security is listed is suspended or closed and no appropriate alternative trading market is available. The frequency with which a Fund’s investments are valued using fair value pricing is primarily a function of the types of securities and other assets in which the Fund invests pursuant to its investment objective, strategies and limitations. If a fund invests in open-end management investment companies (other than ETFs) registered under the 1940 Act, it may rely on the NAV of those companies to value the shares they hold of them. Those companies may also use fair value pricing under some circumstances.
The IQ Ultra Short Duration ETF sweeps uninvested cash balances into BlackRock Liquidity Funds T-Fund. The BlackRock Liquidity Funds T-Fund seeks to obtain as high a level of current income as is consistent with liquidity and stability of principal. The IQ MacKay ESG Core Plus Bond ETF and IQ MacKay ESG High Income ETF sweeps uninvested cash balances into the BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class (“BlackRock Liquidity Fund”). BlackRock Liquidity Fund seeks as high a level of current income as is consistent with the preservation of capital and maintenance of liquidity. The IQ MacKay Multi-Sector Income ETF sweeps uninvested cash balances into the Dreyfus Government Cash Management Fund, Institutional Shares (“Dreyfus Government Cash Management”). The Dreyfus Government Cash Management seeks as high a level of current income as is consistent with the preservation of capital and the maintenance of liquidity. The IQ MacKay Municipal Insured ETF, IQ MacKay Municipal Intermediate ETF and IQ MacKay California Municipal Intermediate ETF sweeps uninvested cash balances into the Dreyfus Tax Exempt Cash Management, Institutional Class (“Dreyfus Tax Exempt”). The Dreyfus Tax Exempt seeks as high a level of current income exempt from federal income tax as is consistent with the preservation of capital and the maintenance of liquidity. The IQ Winslow Large Cap Growth ETF and IQ Winslow Focused Large Cap Growth ETF sweep uninvested cash balances into the Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class (“Dreyfus Institutional Preferred”). The Dreyfus Institutional Preferred seeks as high a level of current income as is consistent with the preservation of capital and the maintenance of liquidity.
Under normal conditions, the IQ MacKay ESG Core Plus Bond Fund invests cash collateral from securities lending activities into Dreyfus Government Cash Management. The Dreyfus Government Fund has no redemption restrictions and is valued at the daily NAV.
Notes to Financial Statements (continued)
Fair Value Measurement
Accounting Standards Codification (“ASC”) Topic 820, Fair Value Measurements and Disclosures defines fair value, establishes a framework for measuring fair value in accordance with GAAP, and requires disclosure about fair value measurements. It also provides guidance on determining when there has been a significant decrease in the volume and level of activity for an asset or liability, when a transaction is not orderly, and how that information must be incorporated into fair value measurement. Under ASC 820, various inputs are used in determining the value of the Funds’ investments. These inputs are summarized in the following hierarchy:
•
Level 1 — Unadjusted quoted prices in active markets for identical assets or liabilities that the Funds have the ability to access.
•
Level 2 — Observable inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. These inputs may include quoted prices for the identical instrument on an inactive market, prices for similar securities, interest rates, prepayment speeds, credit risk, yield curves, default rates and similar data.
•
Level 3 — Unobservable inputs for the asset or liability, to the extent relevant observable inputs are not available; representing the Funds’ own assumptions about the assumptions a market participant would use in valuing the asset or liability, and would be based on the best information available.
A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. The inputs or methodology used for valuing instruments are not necessarily an indication of the risk associated with investing in those instruments.
The availability of observable inputs can vary from security to security and are affected by a wide variety of factors, including, for example, the type of security, whether the security is new and not yet established in the marketplace, the liquidity of markets, and other characteristics particular to the security. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3. With respect to the valuation of Level 3 securities, the Advisor may employ a market-based valuation approach which may use related or comparable securities, recent transactions, market multiples, book values, and other relevant information to determine fair value. The Advisor may also use an income-based valuation approach in which anticipated future cash flows of the financial instrument are discounted to calculate fair value. The Advisor representatives meet regularly to review and discuss the appropriateness of such fair values using more current information such as, recent security news, recent market transactions, updated corporate action information and/or other macro or security specific events.
All other securities and investments for which market values are not readily available, including restricted securities, and those securities for which it is inappropriate to determine prices in accordance with the aforementioned procedures, are valued at fair value as determined in good faith under procedures adopted by the Board, although the actual calculations may be done by others. Factors considered in making this determination may include, but are not limited to, information obtained by contacting the issuer, analysts, or the appropriate stock exchange (for exchange-traded securities), analysis of the issuer’s financial statements or other available documents and, if necessary, available information concerning other securities in similar circumstances.
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The hierarchy classification of inputs used to value each Fund’s investments on April 30, 2023 is disclosed at the end of each Fund’s Schedule of Investments.
Tax Information and Uncertain Tax Positions
Each Fund is treated as a separate entity for federal income tax purposes. Each Fund’s policy is to comply with the requirements of the Internal Revenue Code of 1986, as amended (the “Internal Revenue Code”),
Notes to Financial Statements (continued)
applicable to regulated investment companies and to distribute all the taxable income to the shareholders of the Fund within the allowable time limits.
The Advisor evaluates each Fund’s tax positions to determine if the tax positions taken meet the minimum recognition threshold in connection with accounting for uncertainties in income tax positions taken or expected to be taken for the purposes of measuring and recognizing tax liabilities in the financial statements. Recognition of tax benefits of an uncertain tax position is required only when the position is “more likely than not” to be sustained assuming examination by taxing authorities. The Advisor has analyzed each Fund’s tax positions taken on federal, state and local income tax returns for all open tax years (for up to three tax years), and has concluded that no provisions for federal, state and local income tax are required in each Fund’s financial statements. Each Fund’s federal, state and local income and federal excise tax returns for tax years for which the applicable statutes of limitations have not expired are subject to examination by the Internal Revenue Service and state and local departments of revenue.
The Funds have concluded that there are no tax liabilities resulting from uncertain income tax positions taken or expected to be taken.
Dividends and Distributions to Shareholders
Distributions to Shareholders are recorded on the ex-dividend date. In addition, the Funds may determine to distribute at least annually amounts representing the full dividend yield net of expenses on the underlying investment securities, as if the Funds owned the underlying investment securities for the entire dividend period in which case some portion of each distribution may result in a return of capital. The amount of dividends and distributions from net investment income and net realized capital gains are determined in accordance with Federal income tax regulations, which may differ from GAAP. These “book/tax” differences are either considered temporary or permanent in nature. To the extent these differences are permanent in nature, such amounts are reclassified within the components of net assets based on their Federal tax basis treatment; temporary differences do not require reclassification. Dividends and distributions, which exceed earnings and profit for tax purposes are reported as a tax return of capital. Therefore, no federal, state and local income tax provisions are required.
Cash Equivalents
Cash equivalents consist of highly liquid investments, with maturities of three months or less when acquired, and are disclosed as Short-Term Investments in the Schedules of Investments.
Security Transactions
Security transactions are recorded as of the trade date. Realized gains and losses on sales of investment securities are calculated using the identified cost method.
Investment Income and Expenses
Dividend income is recognized on the ex-date. Interest income is accrued daily. Distributions of realized capital gains by underlying funds are recorded as realized capital gains on the ex-date. Expenses of the Trust arising in connection with a specific Fund are allocated to that Fund. Other Trust expenses which cannot be directly attributed to a fund are apportioned among the Funds in the Trust based upon the relative net assets or other appropriate measures. The Funds distribute substantially all their net investment income to shareholders in the form of dividends. Net investment income is distributed monthly and capital gains are typically distributed at least annually. Dividends may be declared and paid more frequently to comply with the distribution requirements of the Internal Revenue Code. The expenses of the investment companies in which a Fund invests are not included in the amounts shown as expenses on the Statements of Operations or in the expense ratios included in the Financial Highlights.
Discounts and premiums on securities purchased, other than Short-Term Investments, for the Funds are accreted and amortized, respectively, on the effective interest rate method over the life of the respective securities. Discounts and premiums on Short-Term Investments are accreted and amortized, respectively, on
Notes to Financial Statements (continued)
the straight-line method. The straight-line method approximates the effective interest method for Short-Term Investments. Income from payment-in-kind securities is accreted daily based on the effective interest method.
Securities Lending
The Bank of New York Mellon (“BNY Mellon”) serves as the securities lending agent for IQ MacKay ESG Core Plus Bond ETF, IQ Winslow Large Cap Growth ETF and the IQ Winslow Focused Large Cap Growth ETF. A Fund may lend portfolio securities to certain creditworthy borrowers, including the Fund’s securities lending agent. It is the Fund’s policy that, at origination, all loans are secured by collateral of at least 102% of the value of U.S. securities loaned and 105% of the value of foreign securities loaned. Collateral in the form of cash and/or high grade debt obligations, is maintained at all times. Cash collateral can be invested in certain money market mutual funds which also have exposure to the fluctuations of the market. The Fund receives compensation for lending its securities from fees paid by the borrowers of securities, net of fee rebates paid to the borrower plus reasonable administrative and custody fees. A Fund will continue to receive dividend and interest income on securities loaned, any gain or loss in the market price of securities on loan will be accounted for by the Fund. Lending portfolio securities could result in a delay in recovering the Fund’s securities if the borrower defaults.
The Fund’s security lending activities are governed by a Securities Lending Authorization Agreement (“Lending Agreement”) between the Fund and the lending agent. The Lending Agreement authorizes the lending agent to lend qualifying U.S. and foreign securities held by the Fund to approved borrowers (each a “Borrower”). To mitigate borrower risk, a Fund typically receives from a Borrower, collateral in the form of U.S. dollar cash and/or securities issued or guaranteed by the U.S. Government or its agencies in excess of the market value of the securities loaned. Under the provisions of the Lending Agreement, the Fund shall have, as to the collateral, all of the rights and remedies of a secured party under applicable law. The lending agent is permitted to invest the cash collateral it receives from a Borrower into a money market fund which is subject to market fluctuation. Therefore, the Fund is exposed to risk of loss if the value of invested cash collateral is insufficient to satisfy the Fund’s obligation to return the full amount owed to such Borrower.
In accordance with the securities lending agreement between the Fund and BNY Mellon, the Fund will be indemnified by BNY Mellon in the event of default of a third party Borrower.
The securities lending income earned by the Fund is disclosed on the Statements of Operations. The value of loaned securities and related collateral are shown on a gross basis in the Schedules of Investments and Statements of Assets and Liabilities. As of April 30, 2023, the cash collateral consisted of an institutional money market fund and non-cash collateral consisted of U.S. Treasury Bills, Notes, Bonds, Separate Trading of Registered Interest (“STRIPs”) and Principal of Securities and U.S. Treasury Inflation Indexed Notes and Bonds with the following maturities:
| | | | Money Market Mutual
Fund | | | U.S. Government Securities | | | | | | | |
| Fund | | | Overnight and
Continuous | | | <30 Days | | | Between 30 &
90 Days | | | >90 Days | | | Total | |
| IQ MacKay ESG Core Plus Bond ETF | | | | $ | 372,750 | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | 372,750 | | |
| IQ Winslow Large Cap Growth ETF | | | | | — | | | | | | — | | | | | | 29,201 | | | | | | 511,118 | | | | | | 540,319 | | |
| IQ Winslow Focused Large Cap Growth ETF | | | | | — | | | | | | — | | | | | | 9,986 | | | | | | 174,792 | | | | | | 184,778 | | |
The collateral amount presented is in excess of the securities on loan.
3. INVESTMENT MANAGEMENT AND OTHER AGREEMENTS
Investment Advisory Agreement
The Advisor serves as the investment advisor to each series of the Trust, and is an indirect wholly-owned subsidiary of New York Life Investment Management Holdings LLC. Under an Investment Advisory Agreement (“Advisory Agreement”) between the Advisor and the Trust, on behalf of each Fund, the Advisor provides a continuous investment program for each Fund’s assets in accordance with its investment objectives, policies and limitations, and oversees the day-to-day operations of the Funds (including arranging for sub-advisory
Notes to Financial Statements (continued)
services), subject to the supervision of the Board. The Advisor is responsible for the Sub-Advisors and their management of the investment portfolios of each of the Funds.
The Advisor also: (i) supervises all non-advisory operations of the Funds; (ii) provides personnel to perform such executive, administrative and clerical services as are reasonably necessary to provide effective administration of the Funds and the other series of the Trust. The Funds reimburse the Advisor in an amount equal to a portion of the compensation of the Chief Compliance Officer attributable to each Fund; (iii) arranges for (a) the preparation of all required tax returns, (b) the preparation and submission of reports to existing shareholders, (c) the periodic updating of prospectuses and statements of additional information and (d) the preparation of reports to be filed with the SEC and other regulatory authorities; (iv) maintains the records of the Funds and the other series of the Trust; and (v) provides office space and all necessary office equipment and services.
The Advisory Agreement will continue in effect with respect to the Funds from year to year provided such continuance is specifically approved at least annually by a majority of the Trustees that are not interested persons of the Trust (“Independent Trustees”).
Pursuant to the Advisory Agreement, the Funds pay the Advisor a fee, which is accrued daily and paid monthly, for services performed and the facilities furnished at an annual rate of each Fund’s average daily net assets per the table below.
| Funds | | | Rate | |
| IQ Ultra Short Duration ETF | | | | | 0.24% | | |
| IQ MacKay ESG Core Plus Bond ETF | | | | | 0.39% | | |
| IQ MacKay Multi-Sector Income ETF | | | | | 0.40% | | |
| IQ MacKay ESG High Income ETF | | | | | 0.40% | | |
| IQ MacKay Municipal Insured ETF | | | | | 0.40% | | |
| IQ MacKay Municipal Intermediate ETF | | | | | 0.40% | | |
| IQ MacKay California Municipal Intermediate ETF | | | | | 0.45% | | |
| IQ Winslow Large Cap Growth ETF* | | | | | 0.75% | | |
| IQ Winslow Focused Large Cap Growth ETF* | | | | | 0.75% | | |
*
The advisory fee is as follows: 0.75% on assets up to $500 million; 0.725% on assets from $500 million to $750 million; 0.71% on assets from $750 million to $1 billion; 0.70% on assets from $1 billion to $2 billion; 0.66% on assets from $2 billion to $3 billion; 0.61% on assets from $3 billion to $7 billion; 0.585% on assets from $7 billion to $9 billion; and 0.575% on assets over $9 billion. During the period ended April 30, 2023, the effective advisory fee rate was 0.75% of the Funds average daily net assets , exclusive of any applicable waivers/reimbursements.
The Advisor has entered into an Expense Limitation Agreement with the Funds under which it has contractually agreed to waive a portion of its management fee and/or reimburse expenses of each Fund, if necessary, in an amount that limits each Fund’s total annual operating expenses (exclusive of interest, taxes, brokerage commissions and other expenses that are capitalized in accordance with generally accepted accounting principles dividend, interest and brokerage expenses paid on short sales, acquired fund fees and expenses, extraordinary expenses, if any, and payments, if any, under the Rule 12b-1 Plan) to not more than a specific percentage of the average daily net assets as follows:
| Funds | | | Rate | |
| IQ Ultra Short Duration ETF | | | | | 0.24% | | |
| IQ MacKay ESG Core Plus Bond ETF | | | | | 0.39% | | |
| IQ MacKay Multi-Sector Income ETF | | | | | 0.40% | | |
| IQ MacKay ESG High Income ETF | | | | | 0.40% | | |
| IQ MacKay Municipal Insured ETF | | | | | 0.30% | | |
| IQ MacKay Municipal Intermediate ETF | | | | | 0.30% | | |
| IQ MacKay California Municipal Intermediate ETF | | | | | 0.35% | | |
| IQ Winslow Large Cap Growth ETF | | | | | 0.60% | | |
| IQ Winslow Focused Large Cap Growth ETF | | | | | 0.65% | | |
Notes to Financial Statements (continued)
The Expense Limitation Agreements will remain in effect unless terminated by the Board of Trustees of the Funds.
As of April 30, 2023, the Advisor reimbursed the following Fund expenses:
| Funds | | | Reimbursed
Expenses | |
| IQ Ultra Short Duration ETF | | | | $ | 186,765 | | |
| IQ MacKay ESG Core Plus Bond ETF | | | | | 232,640 | | |
| IQ MacKay Multi-Sector Income ETF | | | | | 66,794 | | |
| IQ MacKay ESG High Income ETF | | | | | 63,624 | | |
| IQ MacKay Municipal Insured ETF | | | | | 678,322 | | |
| IQ MacKay Municipal Intermediate ETF | | | | | 642,679 | | |
| IQ MacKay California Municipal Intermediate ETF | | | | | 157,172 | | |
| IQ Winslow Large Cap Growth ETF | | | | | 79,778 | | |
| IQ Winslow Focused Large Cap Growth ETF | | | | | 67,443 | | |
The Advisor will not recoup expenses waived/reimbursed for the year ended April 30, 2023.
Investment Sub-Advisory Agreements
The Sub-Advisors are registered investment advisors and are responsible for the day-to-day portfolio management of the Funds subject to the supervision of the Advisor and the Board. Pursuant to the terms of the respective Sub-Advisory Agreements between the Advisor and the Sub-Advisors, each Subadvisor is compensated by the Advisor. To the extent that the Advisor has agreed to waive its management fee or reimburse expenses, the Subadvisor has agreed to waive or reimburse its fee proportionately.
Distribution (12b-1 Fees)
ALPS Distributors, Inc. serves as the Funds’ distributor (the “Distributor”) pursuant to a Distribution Agreement. NYLIFE Distributors LLC has entered into a Service Agreement with the Distributor to market the Funds. The Board has adopted a Distribution and Service Plan pursuant to Rule 12b-1 under the 1940 Act (“Rule 12b-1 Plan”). In accordance with the Rule 12b-1 Plan, the Funds are authorized to pay an amount up to 0.25% of each Fund’s average daily net assets each year for certain distribution-related activities. As authorized by the Board, no Rule 12b-1 fees are currently paid by the Funds and there are no plans to impose these fees. However, in the event Rule 12b-1 fees are charged in the future, they will be paid out of each respective Fund’s assets. The Advisor and its affiliates may, out of their own resources, pay amounts to third parties for distribution or marketing services on behalf of the Funds.
As described in Note 4 below, the Distributor has entered into Participant Agreements with certain broker-dealers and others that allow those parties to be Authorized Participants and to subscribe for and redeem shares of the Funds. Also as described in Note 4 below, such Authorized Participants may from time to time hold, of record or beneficially, a substantial percentage of the Funds’ shares outstanding, act as executing or clearing broker for investment transactions on behalf of the Funds and/or serve as counterparty to derivative transactions with each Fund.
Administrator, Custodian and Transfer Agent
The Bank of New York Mellon (“BNY Mellon”) (in each capacity, the “Administrator,” “Custodian” or “Transfer Agent”) serves as the Funds’ Administrator, Custodian and Transfer Agent pursuant to the Fund Administration and Accounting Agreement, Custody Agreement and Transfer Agency Agreement. Pursuant to these agreements, BNY Mellon provides necessary administrative, custody, transfer agency, tax, accounting services and financial reporting for the maintenance and operations of the Trust and the Funds. BNY Mellon is responsible for maintaining the books and records and calculating the daily NAV of the Funds. BNY Mellon is a subsidiary of The Bank of New York Mellon Corporation, a financial holding company.
Notes to Financial Statements (continued)
4. CAPITAL SHARE TRANSACTIONS
Shares are created and redeemed on a continuous basis at NAV only in groups of 50,000 shares called Creation Units. Except when aggregated in Creation Units, shares are not redeemable. Transactions in shares of the Funds are disclosed in detail in the Statements of Changes in Net Assets. Only Authorized Participants may purchase or redeem shares directly from the Funds. An Authorized Participant is either (i) a broker-dealer or other participant in the clearing process through the Continuous Net Settlement System of National Securities Clearing Corporation or (ii) a Depository Trust Company (“DTC”) participant and, in each case, must have executed a Participant Agreement with the Distributor. Most retail investors will not qualify as Authorized Participants or have the resources to create and redeem whole Creation Units. Therefore, they will be unable to purchase or redeem the shares directly from the Funds. Rather, most retail investors will purchase shares in the secondary market with the assistance of a broker and will be subject to customary brokerage commissions or fees. Securities received or delivered in connection with in-kind creates and redeems are valued as of the close of business on the effective date of the creation or redemption.
5. FEDERAL INCOME TAX
At April 30, 2023, the cost and unrealized appreciation/depreciation of investments, including applicable derivative contracts and other financial instruments as determined on a federal income tax basis were as follows:
| Fund | | | Cost | | | Gross Unrealized
Appreciation | | | Gross Unrealized
Depreciation | | | Net Unrealized
Appreciation/
(Depreciation) | |
| IQ Ultra Short Duration ETF | | | | $ | 55,173,204 | | | | | $ | 508,527 | | | | | $ | (1,303,729) | | | | | | (795,202) | | |
| IQ Mackay ESG Core Plus Bond ETF | | | | | 243,614,400 | | | | | | 3,649,249 | | | | | | (6,962,617) | | | | | | (3,313,368) | | |
| IQ Mackay Multi-Sector Income ETF | | | | | 24,442,815 | | | | | | 308,909 | | | | | | (613,782) | | | | | | (304,873) | | |
| IQ Mackay ESG High Income ETF | | | | | 25,090,247 | | | | | | 803,265 | | | | | | (99,843) | | | | | | 703,422 | | |
| IQ Mackay Municipal Insured ETF | | | | | 355,441,260 | | | | | | 6,608,070 | | | | | | (2,672,228) | | | | | | 3,935,842 | | |
| IQ Mackay Municipal Intermediate ETF | | | | | 411,734,834 | | | | | | 5,325,106 | | | | | | (7,189,524) | | | | | | (1,864,418) | | |
| IQ Mackay California Municipal Intermediate ETF | | | | | 49,838,007 | | | | | | 871,888 | | | | | | (397,636) | | | | | | 474,252 | | |
| IQ Winslow Large Cap Growth ETF | | | | | 16,846,486 | | | | | | 2,102,449 | | | | | | (139,009) | | | | | | 1,963,440 | | |
| IQ Winslow Focused Large Cap Growth ETF | | | | | 5,444,054 | | | | | | 830,091 | | | | | | (52,369) | | | | | | 777,722 | | |
The differences between book and tax basis cost of investments and net unrealized appreciation (depreciation) are primarily attributable to wash sale loss deferrals and amortization of market premium.
At April 30, 2023, the components of undistributed or accumulated earnings/loss on a tax-basis were as follows:
| Fund | | | Ordinary
Income (Loss)1 | | | Tax-Exempt
Income (Loss) | | | Net Capital
Gain (Losses)2 | | | Net Unrealized
Appreciation/
Depreciation | | | Total
Earnings/
(Losses) | |
IQ Ultra Short Duration ETF | | | | $ | 196,584 | | | | | $ | — | | | | | $ | (4,304,177) | | | | | $ | (795,202) | | | | | $ | (4,902,795) | | |
| IQ Mackay ESG Core Plus Bond ETF | | | | | 1,017,386 | | | | | | — | | | | | | (8,792,281) | | | | | | (3,313,368) | | | | | | (11,088,263) | | |
| IQ Mackay Multi-Sector Income ETF | | | | | 103,162 | | | | | | — | | | | | | (528,800) | | | | | | (304,870) | | | | | | (730,508) | | |
| IQ Mackay ESG High Income ETF | | | | | 218,968 | | | | | | — | | | | | | — | | | | | | 703,422 | | | | | | 922,390 | | |
| IQ Mackay Municipal Insured ETF | | | | | 33,718 | | | | | | 1,099,878 | | | | | | (54,861,935) | | | | | | 3,935,842 | | | | | | (49,792,497) | | |
| IQ Mackay Municipal Intermediate ETF | | | | | 35,602 | | | | | | 1,130,458 | | | | | | (18,428,028) | | | | | | (1,864,418) | | | | | | (19,126,386) | | |
| IQ Mackay California Municipal Intermediate ETF | | | | | 3,170 | | | | | | 142,104 | | | | | | (7,269,306) | | | | | | 474,252 | | | | | | (6,649,780) | | |
| IQ Winslow Large Cap Growth ETF | | | | | 2,763 | | | | | | — | | | | | | (506,676) | | | | | | 1,963,440 | | | | | | 1,459,527 | | |
| IQ Winslow Focused Large Cap Growth ETF | | | | | 1,322 | | | | | | — | | | | | | (2,700) | | | | | | 777,722 | | | | | | 776,344 | | |
1
Includes late year ordinary loss, if any.
2
Amount includes the deferral of post October losses, if any.
Notes to Financial Statements (continued)
The differences between book and tax basis components of net assets are primarily attributable to wash sale loss deferrals, futures mark to market and other book and tax differences.
At April 30, 2023, the effect of permanent book/tax reclassifications resulted in increases (decreases) to the components of net assets were as follows:
| Fund | | | Total distributable
earnings/
(accumulated loss) | | | Paid-in capital | |
IQ Ultra Short Duration ETF | | | | $ | — | | | | | $ | — | | |
| IQ Mackay ESG Core Plus Bond ETF | | | | | — | | | | | | — | | |
| IQ Mackay Multi-Sector Income ETF | | | | | — | | | | | | — | | |
| IQ Mackay ESG High Income ETF | | | | | — | | | | | | — | | |
| IQ Mackay Municipal Insured ETF | | | | | — | | | | | | — | | |
| IQ Mackay Municipal Intermediate ETF | | | | | — | | | | | | — | | |
| IQ Mackay California Municipal Intermediate ETF | | | | | — | | | | | | — | | |
| IQ Winslow Large Cap Growth ETF | | | | | (299,763) | | | | | | 299,763 | | |
| IQ Winslow Focused Large Cap Growth ETF | | | | | (123,194) | | | | | | 123,194 | | |
For financial reporting purposes, capital accounts are adjusted to reflect the tax character of permanent book/ tax differences. Reclassifications are primarily due to the tax treatment of redemptions in-kind.
The tax character of distributions paid during the years ended April 30, 2023 and 2022 were as follows:
| | | | 2023 | | | 2022 | |
| Fund | | | Ordinary
Income | | | Tax-Exempt
Income | | | Long-Term
Capital
Gains | | | Tax Return
of Capital | | | Ordinary
Income | | | Tax-Exempt
Income | | | Long-Term
Capital
Gains | | | Tax Return
of Capital | |
IQ Ultra Short Duration
ETF | | | | $ | 2,553,326 | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | 2,460,110 | | | | | $ | — | | | | | $ | 1,277,966 | | | | | $ | — | | |
IQ MacKay ESG Core
Plus Bond ETF | | | | | 7,861,346 | | | | | | — | | | | | | — | | | | | | — | | | | | | 485,043 | | | | | | — | | | | | | — | | | | | | — | | |
| IQ MacKay Multi-Sector Income ETF | | | | | 749,470 | | | | | | — | | | | | | — | | | | | | — | | | | | | N/A | | | | | | N/A | | | | | | N/A | | | | | | N/A | | |
| IQ MacKay ESG High Income ETF | | | | | 776,850 | | | | | | — | | | | | | — | | | | | | — | | | | | | N/A | | | | | | N/A | | | | | | N/A | | | | | | N/A | | |
IQ MacKay Municipal
Insured ETF | | | | | 38,417 | | | | | | 11,495,066 | | | | | | — | | | | | | — | | | | | | 6,571 | | | | | | 8,358,177 | | | | | | 172,005 | | | | | | — | | |
IQ MacKay Municipal
Intermediate ETF | | | | | 15,354 | | | | | | 8,908,072 | | | | | | — | | | | | | — | | | | | | 437,277 | | | | | | 3,268,012 | | | | | | 412,930 | | | | | | — | | |
IQ MacKay California
Municipal
Intermediate ETF | | | | | 8,565 | | | | | | 1,388,865 | | | | | | — | | | | | | — | | | | | | — | | | | | | 340,640 | | | | | | — | | | | | | — | | |
| IQ Winslow Large Cap Growth ETF | | | | | 6,429 | | | | | | — | | | | | | — | | | | | | — | | | | | | N/A | | | | | | N/A | | | | | | N/A | | | | | | N/A | | |
IQ Winslow Focused
Large Cap Growth
ETF | | | | | 3,182 | | | | | | — | | | | | | — | | | | | | — | | | | | | N/A | | | | | | N/A | | | | | | N/A | | | | | | N/A | | |
At April 30, 2023, the Funds did not have any capital losses incurred after October 31 (“Post-October Losses”) and any late year ordinary income losses within the taxable year that can arise on the first business day of the Funds’ next taxable year.
At April 30, 2023, the Funds listed below had net capital loss carryforwards for Federal income tax purposes which are available for offset against future taxable net capital gains. The amounts were determined after adjustments for certain differences between financial reporting and tax purposes, such as wash sale losses.
Notes to Financial Statements (continued)
Accordingly, no capital gain distributions are expected to be paid to shareholders of these Funds until future net capital gains have been realized in excess of the available capital loss carryforwards. There is no assurance that any Fund will be able to utilize all of its capital loss carryforwards before they expire. These loss carryforwards are as follows:
| Fund | | | Utilized in
Current Year | | | Short-Term
With No
Expiration | | | Long-Term
With No
Expiration | |
IQ Ultra Short Duration ETF | | | | $ | — | | | | | $ | 498,067 | | | | | $ | 3,806,110 | | |
| IQ Mackay ESG Core Plus Bond ETF | | | | | — | | | | | | 6,684,514 | | | | | | 2,107,767 | | |
| IQ Mackay Multi-Sector Income ETF | | | | | — | | | | | | 434,119 | | | | | | 94,681 | | |
| IQ Mackay ESG High Income ETF | | | | | — | | | | | | — | | | | | | — | | |
| IQ Mackay Municipal Insured ETF | | | | | — | | | | | | 27,126,806 | | | | | | 27,735,129 | | |
| IQ Mackay Municipal Intermediate ETF | | | | | — | | | | | | 9,976,967 | | | | | | 8,451,061 | | |
| IQ Mackay California Municipal Intermediate ETF | | | | | — | | | | | | 7,269,100 | | | | | | 206 | | |
| IQ Winslow Large Cap Growth ETF | | | | | — | | | | | | 506,676 | | | | | | — | | |
| IQ Winslow Focused Large Cap Growth ETF | | | | | — | | | | | | 2,700 | | | | | | — | | |
6. OTHER AFFILIATED PARTIES AND TRANSACTIONS
For the purposes of the financial statements, the Funds assume the following to be holdings by affiliates. As of April 30, 2023, affiliated transactions, if any, are listed at the end of the Fund’s respective Schedule of Investments.
The Advisor is an affiliate of New York Life Investment Management LLC (“NYLIM”) and of New York Life Insurance & Annuity Corporation (“NYLIAC”). The following tables reflect shares of a Fund beneficially owned by NYLIM or NYLIAC or funds or accounts managed by NYLIM or NYLIAC where such holdings exceed 5% of the shares of the Fund. As of April 30, 2023, NYLIM and NYLIAC, or fund or accounts managed by NYLIM or NYLIAC, were not known to own beneficially greater than 5% of the shares of any Fund except as set forth below.
New York Life Insurance & Annuity Corporation
| Fund | | | % of Ownership | |
IQ MacKay California Municipal Intermediate ETF | | | | | 42.6% | | |
New York Life Investment Management LLC
| Fund | | | % of Ownership | |
IQ MacKay ESG Core Plus Bond ETF | | | | | 97.1% | | |
| IQ MacKay Multi-Sector Income ETF | | | | | 99.0% | | |
| IQ MacKay ESG High Income ETF | | | | | 99.0% | | |
| IQ MacKay California Municipal Intermediate ETF | | | | | 41.7% | | |
| IQ Winslow Large Cap Growth ETF | | | | | 98.1% | | |
| IQ Winslow Focused Large Cap Growth ETF | | | | | 95.2% | | |
Notes to Financial Statements (continued)
7. INVESTMENT TRANSACTIONS
Purchases and sales of investments (excluding short-term investments) for the year ended April 30, 2023 are as follows:
| Fund | | | Purchases | | | Sales | | | Purchases In-Kind | | | Sales In-Kind | |
IQ Ultra Short Duration ETF | | | | $ | 261,252,092 | | | | | $ | 320,210,698 | | | | | $ | — | | | | | $ | — | | |
| IQ MacKay ESG Core Plus Bond ETF | | | | | 540,386,703 | | | | | | 443,199,943 | | | | | | — | | | | | | — | | |
| IQ MacKay Multi-Sector Income ETF | | | | | 52,131,536 | | | | | | 27,944,758 | | | | | | — | | | | | | — | | |
| IQ MacKay ESG High Income ETF | | | | | 31,616,052 | | | | | | 7,325,240 | | | | | | — | | | | | | — | | |
| IQ MacKay Municipal Insured ETF | | | | | 478,225,140 | | | | | | 463,847,494 | | | | | | — | | | | | | — | | |
| IQ MacKay Municipal Intermediate ETF | | | | | 387,700,570 | | | | | | 202,128,586 | | | | | | — | | | | | | — | | |
| IQ MacKay California Municipal Intermediate ETF | | | | | 52,436,535 | | | | | | 43,682,626 | | | | | | — | | | | | | — | | |
| IQ Winslow Large Cap Growth ETF | | | | | 9,497,389 | | | | | | 9,405,641 | | | | | | 21,402,929 | | | | | | 4,674,498 | | |
| IQ Winslow Focused Large Cap Growth ETF | | | | | 1,687,905 | | | | | | 1,632,624 | | | | | | 7,530,211 | | | | | | 2,303,803 | | |
8. DERIVATIVE FINANCIAL INSTRUMENTS
Futures Contracts
The Funds entered into futures contracts to help manage the duration and yield curve position of the Funds while minimizing the exposure to wide bid/ask spreads in traditional bonds. A futures contract is an agreement to purchase or sell a specified quantity of an underlying instrument at a specified future date and price, or to make or receive a cash payment based on the value of a financial instrument (e.g., foreign currency, interest rate, security or securities index). A Fund is subject to risks such as market price risk and/or interest rate risk in the normal course of investing in these transactions. Upon entering into a futures contract, a Fund is required to pledge to the broker or futures commission merchant an amount of cash and/or U.S. government securities equal to a certain percentage of the collateral amount, known as the “initial margin.” During the period the futures contract is open, changes in the value of the contract are recognized as unrealized appreciation or depreciation by marking to market such contract on a daily basis to reflect the market value of the contract at the end of each day’s trading. A Fund agrees to receive from or pay to the broker or futures commission merchant an amount of cash equal to the daily fluctuation in the value of the contract. Such receipts or payments are known as “variation margin.” When the futures contract is closed, a Fund records a realized gain or loss equal to the difference between the proceeds from (or cost of) the closing transaction and the Fund’s basis in the contract.
The use of futures contracts involves, to varying degrees, elements of market risk in excess of the amount recognized in the Statement of Assets and Liabilities. The contract or notional amounts and variation margin reflect the extent of a Fund’s involvement in open futures positions. There are several risks associated with the use of futures contracts as hedging techniques. There can be no assurance that a liquid market will exist at the time when a Fund seeks to close out a futures contract. If no liquid market exists, the Fund would remain obligated to meet margin requirements until the position is closed. Futures may involve a small initial investment relative to the risk assumed, which could result in losses greater than if they had not been used.
Futures may be more volatile than direct investments in the instrument underlying the futures and may not correlate to the underlying instrument, causing a given hedge not to achieve its objective. A Fund’s activities in futures contracts have minimal counterparty risk as they are conducted through regulated exchanges that guarantee the futures against default by the counterparty. In the event of a bankruptcy or insolvency of a futures commission merchant that holds margin on behalf of the Fund, the Fund may not be entitled to the return of the entire margin owed to a Fund, potentially resulting in a loss. A Fund’s investment in futures contracts and other derivatives may increase the volatility of the Fund’s NAV and may result in a loss to the Fund. As of April 30, 2023, the open futures contracts for IQ Ultra Short Duration ETF, IQ MacKay Multi-Sector Income ETF and IQ MacKay ESG Core Plus Bond ETF are shown in the Schedule of Investments.
Notes to Financial Statements (continued)
Quantitative Disclosure of Derivative Holding
The following tables show additional disclosures related to each Fund’s derivative and holding activities, including how such activities are accounted for and their effect in each Fund’s financial positions, performance and cash flows.
The fair value of derivative instruments reflected on the Statements of Assets and Liabilities were as follows:
Assets Derivatives
| | | | Interest Risk | |
| IQ Ultra Short Duration ETF | | | | | | | |
Unrealized appreciation on futures contracts1 | | | | $ | 1,425 | | |
| IQ MacKay ESG Core Plus Bond ETF | | | | | | | |
Unrealized appreciation on futures contracts1 | | | | $ | 1,105,207 | | |
| IQ MacKay Multi-Sector Income ETF | | | | | | | |
Unrealized appreciation on futures contracts1 | | | | $ | 139,509 | | |
Liability Derivatives
| | | | Interest Risk | |
| IQ Ultra Short Duration ETF | | | | | | | |
Unrealized depreciation on futures contracts1 | | | | $ | 364,229 | | |
| IQ MacKay ESG Core Plus Bond ETF | | | | | | | |
Unrealized depreciation on futures contracts1 | | | | $ | 9,022 | | |
| IQ MacKay Multi-Sector Income ETF | | | | | | | |
Unrealized depreciation on futures contracts1 | | | | $ | — | | |
1
Includes cumulative appreciation (depreciation) of futures contracts as reported in the Schedules of Investments. Only unsettled variation margin is reported within the Statements of Assets and Liabilities.
Transactions in derivative instruments reflected on the Statements of Operations during the year ended April 30, 2023 were as follows:
| | | | Interest Risk | |
| IQ Ultra Short Duration ETF | | | | | | | |
| Realized gain (loss) | | | | | | | |
| Futures contracts | | | | $ | 2,837,109 | | |
| Changes in Unrealized appreciation (depreciation) | | | | | | | |
| Futures contracts | | | | $ | (1,324,401) | | |
| IQ MacKay ESG Core Plus Bond ETF | | | | | | | |
| Realized gain (loss) | | | | | | | |
| Futures contracts | | | | $ | (2,358,343) | | |
| Changes in Unrealized appreciation (depreciation) | | | | | | | |
| Futures contracts | | | | $ | 1,362,184 | | |
| IQ MacKay Multi-Sector Income ETF | | | | | | | |
| Realized gain (loss) | | | | | | | |
| Futures contracts | | | | $ | (297,311) | | |
| Changes in Unrealized appreciation (depreciation) | | | | | | | |
| Futures contracts | | | | $ | 139,509 | | |
Notes to Financial Statements (continued)
For the year ended April 30, 2023, the monthly average notional value of the futures contracts held by the Fund were as follows:
| | | | Average Notional Value | |
| | | | IQ Ultra Short
Duration ETF | | | IQ MacKay ESG
Core Plus Bond ETF | | | IQ MacKay
Multi-Sector
Income ETF | |
| Asset Derivatives | | | | | | | | | | | | | | | | | | | |
| Futures contracts | | | | $ | 260,919 | | | | | $ | 22,880,692 | | | | | $ | 2,892,040 | | |
| Liability Derivatives | | | | | | | | | | | | | | | | | | | |
| Futures contracts | | | | $ | (41,207,365) | | | | | $ | (340,664) | | | | | $ | — | | |
9. RISKS INVOLVED WITH INVESTING IN THE FUNDS
The Funds are subject to the principal risks described below, some or all of these risks may adversely affect a Fund’s NAV, trading price, yield, total return and ability to meet its investment objective. As with any investment, an investment in a Fund could result in a loss or the performance of a Fund could be inferior to that of other investments.
Bond Insurance Risk
Insured municipal bonds are covered by insurance policies that guarantee the timely payment of principal and interest. The insurance does not guarantee the market value of an insured security, or a Fund’s share price or distributions. Shares of a Fund are not insured. Market conditions or changes to ratings criteria could adversely impact municipal bond insurers, which could adversely impact the value of the insured municipal bond or the ability of the insurer to pay any claims due. Consolidation among municipal bond insurers could increase a Fund’s exposure to one or more individual municipal bond insurers and reduce the supply of municipal bonds.
California State Specific Risk1
Investments in municipal bonds issued by, or on behalf of, the State of California, and its political subdivisions, agencies and instrumentalities, will be impacted by events in California that may affect the value of the Fund’s investments and performance. These events may include fiscal or political policy changes, tax base erosion, budget deficits and other financial difficulties. Any deterioration of California’s fiscal situation and economic situation of its municipalities could cause greater volatility and increase the risk of investing in California.
Corporate Bonds Risk
Corporate bonds are debt obligations issued by corporations. Corporate bonds are generally used by corporations to borrow money from investors. The investment return of corporate bonds reflects interest earned on the security and changes in the market value of the security. The market value of a corporate bond may be affected by changes in the market rate of interest, the credit rating of the issuer, the issuer’s performance and perceptions of the issuer in the marketplace. There is a risk that the issuers of the securities may not be able to meet their obligations on interest or principal payments at the time called for by an instrument.
Credit Risk
Debt issuers and other counterparties may not honor their obligations or may have their debt downgraded by ratings agencies. The financial condition of an issuer of a debt security or other instrument may cause such issuer to default, become unable to pay interest or principal when due or otherwise fail to honor its obligations or cause such issuer to be perceived (whether by market participants, rating agencies, pricing services or otherwise) as being in such situations.
1
Applies to IQ MacKay California Municipal Intermediate ETF.
Notes to Financial Statements (continued)
Debt Securities Risk
Debt securities most frequently trade in institutional round lot size transactions. If the Fund purchases bonds in amounts less than the institutional round lot size, which are frequently referred to as “odd” lots, the odd lot size positions may have more price volatility than institutional round lot size positions. The Fund uses a third-party pricing service to value bond holdings and the pricing service values bonds assuming orderly transactions of an institutional round lot size.
Derivatives Risk
Derivative strategies may expose a Fund to greater risk than if it had invested directly in the underlying instrument and often involve leverage, which may exaggerate a loss, potentially causing a Fund to lose more money than it originally invested and would have lost had it invested directly in the underlying instrument. Derivatives may be difficult to sell, unwind or value. Derivatives may also be subject to counterparty risk, which is the risk that the counterparty (the party on the other side of the transaction) on a derivative transaction will be unable to honor its contractual obligations to the Fund. Futures may be more volatile than direct investments in the instrument underlying the contract and may not correlate perfectly to the underlying instrument. Futures and other derivatives also may involve a small initial investment relative to the risk assumed, which could result in losses greater than if they had not been used. Due to fluctuations in the price of the underlying asset, a Fund may not be able to profitably exercise an option and may lose its entire investment in an option. Derivatives may also increase the expenses of a Fund.
Equity Securities Risk
The prices of equity securities are responsive to many factors, including the historical and prospective earnings of the issuer, the value of its assets, general economic, stock market, industry and company conditions and the risk inherent in the portfolio manager’s ability to anticipate such changes that can adversely affect the value of a Fund’s holdings. Opportunity for greater gain may come with greater risk of loss.
ESG Investing Style Risk2
A Fund seeks exposure to the securities of companies meeting environmental, social and corporate governance investing criteria. A Fund excludes or limits exposure to securities of certain issuers for non-financial reasons, and a Fund may forgo some market opportunities available to funds that do not use these criteria. The application of ESG investing criteria may affect the Fund’s exposure to certain sectors or types of investments and may impact the Fund’s relative investment performance depending on whether such sectors or investments are in or out of favor in the market. ESG investing is subjective by nature, and therefore offers no guarantee that the ESG criteria utilized by the Subadvisor will accurately provide exposure to issuers meeting environmental, social and corporate governance criteria or any judgment exercised by the Subadvisor will reflect the beliefs or values of any particular investor. In addition, ESG investing is dependent upon information and data that may be incomplete, inaccurate or unavailable, which could adversely affect the analysis of the factors relevant to a particular investment.
High Yield Securities Risk
High yield securities generally offer a higher current yield than the yield available from higher grade issues, but typically involve greater risk. Securities rated below investment grade are commonly referred to as “junk bonds.”
Income Risk
A Fund’s income may decline when interest rates fall. This decline can occur because a Fund may subsequently invest in lower-yielding bonds when bonds in its portfolio mature or the Fund otherwise needs to purchase additional bonds.
2
Applies to IQ MacKay ESG Core Plus Bond ETF and IQ MacKay ESG High Income ETF.
Notes to Financial Statements (continued)
Interest Rate Risk
An increase in interest rates may cause the value of debt securities held by a Fund to decline. Interest rates in the United States are near historic lows, which may increase a Fund’s exposure to risks associated with rising interest rates. Interest rates may rise significantly and/or rapidly. Rising interest rates or lack of market participants may lead to decreased liquidity and increased volatility in the bond markets, making it more difficult for a Fund to sell its bond holdings at a time when the Fund might wish to sell.
Large Transaction Risks
From time to time, a Fund may receive large purchase or redemption orders from affiliated or unaffiliated funds or other investors. Such large transactions could have adverse effects on a Fund’s performance if the Fund were required to sell securities or invest cash at times when it otherwise would not do so. This activity could also accelerate the realization of capital gains and increase a Fund’s transaction costs.
LIBOR Replacement Risk
A Fund may invest in certain debt securities, derivatives or other financial instruments that utilize floating rates, such as the London Interbank Offered Rate (“LIBOR”), as a “benchmark” or “reference rate” for various interest rate calculations. In 2017, the United Kingdom Financial Conduct Authority announced its intention to cease compelling banks to provide the quotations needed to sustain LIBOR after 2021. ICE Benchmark Administration, the administrator of LIBOR, ceased publication of most LIBOR settings on a representative basis at the end of 2021 and will cease publication of a majority of U.S. dollar LIBOR settings on a representative basis on June 30, 2023.
Actions by regulators have resulted in the establishment of alternative reference rates to LIBOR in most major currencies (e.g., European Interbank Offer Rate (“EURIBOR”), Sterling Overnight Interbank Average Rate (“SONIA”) and Secured Overnight Financing Rate (“SOFR”)). Various financial industry groups have been planning for the discontinuation of LIBOR and markets have been developing in response to these new rates, but questions around the liquidity of the new rates and how to appropriately adjust these rates to eliminate any economic value transfer at the time of transition remain a significant concern. There are challenges to converting certain contracts and transactions to a new benchmark and neither the full effects of the discontinuation nor its ultimate outcome is fully known.
Uncertainty and risk also remain regarding the willingness and ability of issuers and lenders to include revised provisions in new and existing contracts or instruments. Consequently, the transition from LIBOR to other reference rates may lead to increased volatility and illiquidity in markets that were tied to LIBOR, fluctuations in values of LIBOR-related investments or investments in issuers that utilized LIBOR, increased difficulty in borrowing or refinancing and diminished effectiveness of hedging strategies, adversely affecting a Fund’s performance.
The elimination of LIBOR or changes to other reference rates or any other changes or reforms to the determination or supervision of reference rates could have an adverse impact on the market for, or value of, any securities or payments linked to those reference rates, which may adversely affect a Fund’s performance and/or net asset value.
While the transition away from LIBOR is nearly complete with no material adverse effect to the Funds’ performance, it is difficult to predict the full impact of the discontinuation of LIBOR on a Fund.
Liquidity Risk
Liquidity risk exists when particular investments are difficult to purchase or sell. This can reduce a Fund’s returns because the Fund may be unable to transact at advantageous times or prices. Decreased liquidity in the bond markets also may make it more difficult to value some or all of a Fund’s bond holdings. The market for municipal bonds may be less liquid than for taxable bonds.
Market Disruption Risk
In late February 2022, the Russian military invaded the Ukraine, which amplified existing geopolitical tensions among Russia, Ukraine, Europe, and many other countries including the U.S. and other members of the North
Notes to Financial Statements (continued)
Atlantic Treaty Organization (“NATO”). In response, various countries, including the U.S., the United Kingdom, and members of the European Union issued broad-ranging economic sanctions against Russia, Russian companies and financial institutions, Russian individuals and others. Additional sanctions may be imposed in the future. Such sanctions (and any future sanctions) and other actions against Russia in light of Russia’s invasion of Ukraine will adversely impact the economies of Russia and Ukraine. Certain sectors of each country’s economy may be particularly affected, including but not limited to, financials, energy, metals and mining, engineering and defense and defense-related materials sectors. Further, a number of large corporations and U.S. and foreign governmental entities have announced plans to divest interests or otherwise curtail business dealings in Russia or with certain Russian businesses. These events have resulted in (and may continue to result in) a loss of liquidity and value of Russian and Ukrainian securities and, in some cases, a complete inability to trade or settle trades in certain Russian securities. Further actions are likely to be taken by the international community, including governments and private corporations, that will adversely impact the Russian economy in particular. Such actions may include boycotts, tariffs, and purchasing and financing restrictions on Russia’s government, companies and certain individuals, or other unforeseeable actions. The ramifications of the hostilities and sanctions also may negatively impact other regional and global economic markets (including Europe and the U.S.), companies in other countries (particularly those that have done business with Russia) and various sectors, industries and markets for securities and commodities globally, such as oil and natural gas and precious metals. Accordingly, the actions discussed above and the potential for a wider conflict could increase financial market volatility and have severe negative consequences for regional and global markets, industries and companies in which the Fund invests. Moreover, the extent and duration of the Ukrainian invasion or future escalation of such hostilities, the extent and impact of existing and future sanctions, market disruptions and volatility, and the result of any diplomatic negotiations cannot be predicted. These and any related events could have a significant impact on a Fund’s performance and the value of an investment in the Fund.
Market Risk
The market price of investments owned by a Fund may go up or down, sometimes rapidly or unpredictably. Investments may decline in value due to factors affecting markets generally or particular segments of the market. Market risks include political, regulatory, market and economic developments, and geopolitical and other events, including war, terrorism, trade disputes, natural disasters, the spread of infectious illnesses, epidemics and pandemics, environmental and other public health crises. Such events, and governments’ reactions to such events, may result in disruptions in the U.S. and world economies and markets, which may increase financial market volatility and have significant adverse direct or indirect effects on a Fund and its investments.
Mortgage-Related and Other Asset-Backed Securities Risk
Investments in mortgage-related securities (such as mortgage-backed securities) and other asset-backed securities (such as collateralized debt and loan obligations) generally involve a stream of payments based on the underlying obligations. These payments, which are often part interest and part return of principal, vary based on the rate at which the underlying borrowers repay their loans or other obligations. Asset-backed securities are subject to the risk that borrowers may default on the underlying obligations and that, during periods of falling interest rates, these obligations may be called or prepaid and, during periods of rising interest rates, obligations may be paid more slowly than expected. Impairment of the underlying obligations or collateral, such as by non-payment, will reduce the security’s value. Enforcing rights against such collateral in events of default may be difficult or insufficient. The value of these securities may be significantly affected by changes in interest rates, the market’s perception of issuers, and the creditworthiness of the parties involved. These securities may have a structure that makes their reaction to interest rate changes and other factors difficult to predict, making their value highly volatile.
Municipal Bond Risk
A Fund may invest a substantial amount of its assets in municipal bonds whose interest is paid solely from revenues of similar projects. If a Fund concentrates its investments in this manner, it assumes the legal and
Notes to Financial Statements (continued)
economic risks relating to such projects and this may have a significant impact on a fund’s investment performance. In addition, a Fund may invest more heavily in bonds from certain cities, states, territories, or regions than others, which may increase the Funds’ exposure to losses resulting from economic, political, or regulatory occurrences impacting these particular cities, states, territories or regions. Certain of the issuers in which the Funds may invest have recently experienced, or may experience, significant financial difficulties and repeated credit rating downgrades. A Fund’s vulnerability to potential losses associated with such developments may be reduced through investing in municipal securities that feature credit enhancements (such as bond insurance).
Municipal bond proceeds could provide positive social or environmental benefits which could cause it to perform differently compared to funds that do not have such a policy. Investing in securities whose use of proceeds provide positive social or environmental benefits may result in the Fund forgoing opportunities to buy certain securities when it might otherwise be advantageous to do so, or selling securities when it might be otherwise disadvantageous for it to do so. The positive social or environmental impact of a municipal bond’s proceeds is made at the time of purchase and the actual use of proceeds by the issuer could vary over time, which could cause the Fund to be invested in bonds that do not comply with the Fund’s approach towards considering social or environmental characteristics. The factors considered in evaluating whether a security has positive social or environmental benefits may change over time. There are significant differences in interpretations of what it means to promote positive social or environmental benefits. While its definitions are reasonable, the portfolio decisions it makes may differ with other’s views.
Municipal bonds most frequently trade in institutional round lot size transactions. Until a Fund grows significantly in size, a Fund expects to purchase a significant number of bonds in amounts less than the institutional round lot size, which are frequently referred to as “odd” lots. Odd lot size positions may have more price volatility than institutional round lot size positions. The Funds use a third-party pricing service to value bond holdings and the pricing service values bonds assuming orderly transactions of an institutional round lot size.
New Fund Risk3
Certain funds are new funds. There can be no assurance that a Fund will grow to or maintain an economically viable size. Like other new funds, large inflows and outflows may impact a Fund’s market exposure for limited periods of time. This impact may be positive or negative, depending on the direction of market movement during the period affected.
Trading Price Risk
Although it is expected that generally the market price of a Fund’s Shares will approximate the Fund’s NAV, there may be times when the market price in the Secondary Market and the NAV vary significantly. During periods of market stress shares of a Fund may also experience significantly wider “bid/ask” spreads and premiums and discounts between a Fund’s net asset value and market price.
U.S. Tax Treatment Risk
Income from municipal bonds held by a Fund could be declared taxable because of unfavorable changes in tax law, adverse interpretations by the U.S. Internal Revenue Service or noncompliant conduct of a bond issuer. In addition, a portion of a Fund’s otherwise tax-exempt dividends may be taxable to shareholders subject to the U.S. federal alternative minimum tax.
10. SUBSEQUENT EVENTS
The Advisor has evaluated events and transactions for potential recognition or disclosure through the date the financial statements were issued and has determined that there are no material subsequent events that would require disclosure.
3
Applies to IQ MaKay Multi-Sector Income ETF, IQ MacKay ESG High Income ETF, IQ Winslow Large Cap Growth ETF and IQ Winslow Focused Large Cap Growth ETF.
Report of Independent Registered Public Accounting Firm
To the Board of Trustees of IndexIQ Active ETF Trust and Shareholders of each of the nine funds listed in the table below
Opinions on the Financial Statements
We have audited the accompanying statements of assets and liabilities, including the schedules of investments, of each of the funds listed in the table below (nine of the funds constituting IndexIQ Active ETF Trust, hereafter collectively referred to as the “Funds”) as of April 30, 2023, the related statements of operations and of changes in net assets for each of the periods indicated in the table below, including the related notes, and the financial highlights for each of the periods indicated therein (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of each of the Funds as of April 30, 2023, the results of each of their operations and the changes in each of their net assets for the periods indicated in the table below, and each of the financial highlights for each of the periods indicated therein, in conformity with accounting principles generally accepted in the United States of America.
| | | IQ Ultra Short Duration ETF(1) | | | | IQ MacKay Municipal Intermediate ETF(1) | | |
| | | IQ MacKay ESG Core Plus Bond ETF(2) | | | | IQ MacKay California Municipal Intermediate ETF(5) | | |
| | | IQ Mackay Multi-Sector Income ETF(3) | | | | IQ Winslow Large Cap Growth ETF(6) | | |
| | | IQ Mackay ESG High Income ETF(4) | | | | IQ Winslow Focused Large Cap Growth ETF(6) | | |
| | | IQ MacKay Municipal Insured ETF(1) | | | | | | |
| | | (1)
Statement of operations for the year ended April 30, 2023 and statement of changes in net assets for the years ended April 30, 2023 and 2022 | | |
| | | (2)
Statement of operations for the year ended April 30, 2023, and statement of changes in net assets for the year ended April 30, 2023 and the period June 29, 2021 (commencement of operations) through April 30, 2022 | | |
| | | (3)
Statement of operations and statement of changes in net assets for the period July 26, 2022 (commencement of operations) through April 30, 2023 | | |
| | | (4)
Statement of operations and statement of changes in net assets for the period October 25, 2022 (commencement of operations) through April 30, 2023 | | |
| | | (5)
Statement of operations for the year ended April 30, 2023, and statement of changes in net assets for the year ended April 30, 2023 and the period December 21, 2021 (commencement of operations) through April 30, 2022 | | |
| | | (6)
Statement of operations and statement of changes in net assets for the period June 23, 2022 (commencement of operations) through April 30, 2023 | | |
Basis for Opinions
These financial statements are the responsibility of the Funds’ management. Our responsibility is to express an opinion on the Funds’ financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.
We conducted our audits of these financial statements in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud.
Report of Independent Registered Public Accounting Firm (continued)
Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. Our procedures included confirmation of securities owned as of April 30, 2023 by correspondence with the custodian, transfer agent and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinions.
/s/ PricewaterhouseCoopers LLP
New York, New York
June 22, 2023
We have served as the auditor of one or more investment companies in the IndexIQ Complex since 2015.
Liquidity Risk Management Program (unaudited)
In compliance with Rule 22e-4 under the Investment Company Act of 1940, the funds of IndexIQ Active ETF Trust (the “Funds”) have adopted and implemented a liquidity risk management program (the “Program”), which IndexIQ Advisors LLC believes is reasonably designed to assess and manage the Funds’ liquidity risk. The Board of Trustees (the “Board”) designated IndexIQ Advisors LLC as administrator of the Program (the “Administrator”). The Program Administrator’s Portfolio Oversight Committee acts as the Liquidity Risk Management Committee to assist the Administrator in the implementation and day-to-day administration of the Program and to otherwise support the Administrator in fulfilling its responsibilities under the Program.
At a meeting of the Board held on March 30, 2023, the Administrator provided the Board with a written report addressing the Program’s operation, adequacy, and effectiveness of implementation for the period from January 1, 2022 through December 31, 2022 (the “Reporting Period”), as required under the Liquidity Rule. The report noted that the Administrator concluded that: (i) the Program operated effectively to assess and manage the Funds’ liquidity risk; (ii) the Program has been adequately and effectively implemented to monitor and, as applicable, respond to the Funds’ liquidity developments; and (iii) each Fund’s investment strategy continues to be appropriate for an open-end fund.
In accordance with the Program, each Fund’s liquidity risk is assessed no less frequently than annually taking into consideration certain factors, as applicable, such as: (i) each Fund’s investment strategy and liquidity of portfolio investments during both normal and reasonably foreseeable stressed conditions; (ii) each Fund’s short-term and long-term cash flow projections during both normal and reasonably foreseeable stressed conditions; (iii) each Fund’s holdings of cash and cash equivalents, as well as borrowing arrangements and other funding sources; (iv) the relationship between each Fund’s portfolio liquidity and the way in which, and the prices and spreads at which, Fund shares trade, including the efficiency of the arbitrage function and the level of active participation by market participants, including authorized participants; and (v) the effect of the composition of baskets on the overall liquidity of each Fund’s portfolio.
Each Fund portfolio investment is classified into one of four liquidity categories. The classification is based on a determination of the number of days it is reasonably expected to take to convert the investment into cash, or sell or dispose of the investment, in current market conditions without significantly changing the market value of the investment. The Administrator has delegated liquidity classification determinations to each Fund’s sub-adviser, subject to appropriate oversight by the Administrator, and classification determinations are made by taking into account each Fund’s reasonably anticipated trade size, various market, trading, and investment-specific considerations, as well as market depth, and, in certain cases, third-party vendor data.
The Liquidity Rule requires funds that do not primarily hold assets that are highly liquid investments to adopt a minimum amount of net assets that must be invested in highly liquid investments that are assets (“HLIM”). In addition, the Liquidity Rule limits a fund’s investments in illiquid investments. Specifically, the Liquidity Rule prohibits acquisition of illiquid investments if doing so would result in a fund holding more than 15% of its net assets in illiquid investments that are assets. The Program includes provisions reasonably designed to determine, periodically review, and comply with the HLIM requirement, as applicable, and to comply with the 15% limit on illiquid investments.
There were no material changes to the Program during the Reporting Period. The Report provided to the Board stated that the Committee concluded that based on the operation of the functions, as described in the Report, the Program is operating as intended and is effective in implementing the requirements of the Liquidity Rule.
Supplemental Information (unaudited)
For Federal individual income tax purposes, certain dividends paid for the fiscal year ended April 30, 2023 are attributable to interest income from Tax Exempt Municipal Bonds. Such dividends are currently exempt from Federal income taxes under Section 103(a) of the Internal Revenue Code.
| | IQ MacKay Municipal Insured ETF | | | | | 99.42% | | |
| | IQ MacKay Municipal Intermediate ETF | | | | | 99.48% | | |
| | IQ MacKay California Municipal Intermediate ETF | | | | | 99.43% | | |
For the year ended April 30, 2023, the following Funds report the maximum amount allowable but not less than amounts shown as interest related dividends in accordance with Sections 871(k)(1) and 881(e)(1) of the Internal Revenue Code.
| | IQ Ultra Short Duration ETF | | | | | 77.95% | | |
| | IQ Mackay ESG High Income ETF | | | | | 87.21% | | |
Qualified Dividend Income — Certain dividends paid by the fund may be subject to a maximum tax rate of 20%, as provided for by the Jobs and Growth Tax Relief Reconciliation Act of 2003. The percentage of ordinary income distributions for the fiscal year ended April 30, 2023 taxed at a maximum rate of 20% is as follows:
| | IQ Winslow Large Cap Growth ETF | | | | | 100.00% | | |
| | IQ Winslow Focused Large Cap Growth ETF | | | | | 100.00% | | |
Dividends Received Deduction — For corporate shareholders, the percentage of ordinary income distributions for the year ended April 30, 2023 that qualifies for the dividends received deduction is as follows:
| | IQ Winslow Large Cap Growth ETF | | | | | 100.00% | | |
| | IQ Winslow Focused Large Cap Growth ETF | | | | | 100.00% | | |
In January 2024, you will be advised on IRS Form 1099 DIV as to the Federal tax status of the distributions received by you in calendar year 2023.
Board Review of Investment Advisory Agreements (unaudited)
Approval Relating to the IQ CBRE Real Assets ETF (the “New Fund”)
The Board (the members of which are referred to as “Trustees”) met in person on March 30, 2023, to consider the approval of an amendment to the Investment Advisory Agreement (the “Advisory Agreement Amendment”) and a new Subadvisory Agreement (the “Subadvisory Agreement”), each with respect to the New Fund. The Board noted that the Advisory Agreement Amendment was between the Trust and IndexIQ Advisors LLC (“IndexIQ” or the “Advisor”), while the Subadvisory Agreement was between the Advisor and CBRE Investment Management Listed Real Assets LLC (“CBRE” or the “Sub-Advisor”).
In accordance with Section 15(c) of the 1940 Act, the Board requested, reviewed and considered materials furnished by the Advisor and CBRE relevant to the Board’s consideration of whether to approve the Advisory Agreement Amendment and the Subadvisory Agreement. In connection with considering approval of the Advisory Agreement Amendment and the Subadvisory Agreement, the Trustees who are not “interested persons” of the Trust, as that term is defined in the 1940 Act (the “Independent Trustees”), met in executive session with counsel to the Independent Trustees, who provided assistance and advice. The consideration of the Advisory Agreement Amendment and Subadvisory Agreement was conducted by both the full Board and the Independent Trustees, who also voted separately.
During their review and consideration, the Board and the Independent Trustees focused on and analyzed the factors they deemed relevant, including: (1) the nature, quality, and extent of the services that the Advisor and CBRE will provide to the New Fund, and the fees that the Advisor will charge to the New Fund; (2) information concerning the business and operations, compliance program and portfolio management teams of the Advisor and CBRE; (3) information describing the New Fund’s anticipated operating expenses; (4) data comparing the proposed fee rate for advisory services to be charged to the New Fund and the expected expense ratio to fees paid by and expense ratios of other registered investment companies with similar investment objectives and policies as that of the New Fund; (5) the extent to which economies of scale would be realized as the New Fund grows; (6) any “fall-out” benefits to be derived by the Advisor or CBRE from its relationship with the Trust; and (7) potential conflicts of interest. The Board considered that the New Fund is an actively managed exchange-traded fund (“ETF”).
In reviewing such factors, the Board relied on certain information, including (1) a copy of the Advisory Agreement Amendment; (2) a copy of the Subadvisory Agreement; (3) information about applicable expense limitation and fee waiver agreements; (4) information describing the Advisor and CBRE and the services provided thereby; (5) information regarding the respective compliance program of the Advisor and CBRE; (6) information regarding the portfolio management team of CBRE; (7) copies of the Form ADV for each of the Advisor and CBRE; (8) memoranda and guidance from legal counsel to the Independent Trustees on the fiduciary responsibilities of trustees, including Independent Trustees, in considering advisory and distribution agreements under the 1940 Act; (9) materials provided by each of the Advisor and CBRE in response to a 15(c) request for information from legal counsel to the Independent Trustees; and (10) a presentation by personnel of the Advisor and CBRE. In addition, the Board was provided data comparing the advisory fee and estimated operating expenses (including acquired fund fees and expenses, as applicable) of the New Fund with expenses and performance of other registered investment companies with similar investment objectives and policies. The Trustees also considered their personal experiences as Trustees and participants in the investment management industry, as applicable, including their experiences with the Advisor in respect of series of the Trust and IndexIQ ETF Trust.
In particular, the Trustees including the Independent Trustees, considered and discussed the following with respect to the New Fund:
1.
The nature, extent, and quality of the facilities and services to be provided to the New Fund by IndexIQ and CBRE. The Independent Trustees reviewed the services that IndexIQ and CBRE would provide to the New Fund. In connection with the investment advisory services to be provided to the New Fund, the Independent Trustees noted the responsibilities that IndexIQ and CBRE would have as the New Fund’s investment adviser and sub-adviser, respectively, including overall supervisory responsibility for the general management and investment of the New Fund’s securities portfolio, ultimate responsibility, subject to
Board Review of Investment Advisory Agreements (unaudited) (continued)
oversight by the Board, for daily monitoring and quarterly reporting to the Board, and the implementation of Board directives as they relate to the New Fund.
The Independent Trustees considered IndexIQ’s experience, resources, and strengths in managing other ETFs. The Independent Trustees reviewed CBRE’s experience, resources, and strengths in managing other registered investment companies and investment mandates. Based on their consideration and review of the foregoing information, the Independent Trustees determined that the New Fund would likely benefit from the nature, quality, and extent of these services, as well as IndexIQ’s and CBRE’s ability to render such services based on their respective experience, operations, and resources.
2.
Comparison of services to be provided and fees to be charged by IndexIQ and other investment advisers to similar clients, and the cost of the services to be provided and profits to be realized by IndexIQ and CBRE from the relationship with the New Fund. The Independent Trustees then compared both the services to be rendered and the proposed fees to be paid pursuant to the Advisory Agreement Amendment with IndexIQ to contracts of other investment advisers with respect to similar ETFs. In particular, the Independent Trustees compared the New Fund’s proposed advisory fees and projected expense ratios for its first year of operations to other ETFs in the New Fund’s peer group. The Independent Trustees also considered that the New Fund will have in place an Expense Limitation Agreement to limit the total operating expenses until such Expense Limitation Agreement is terminated by the Board.
The Independent Trustees also considered that IndexIQ would pay the sub-advisory fee to CBRE pursuant to the Subadvisory Agreement. They considered the level of such sub-advisory fee in the context of the services to be provided by CBRE to the New Fund.
After comparing the New Fund’s proposed fees with those of other funds in the New Fund’s peer group, and in light of the nature, quality, and extent of services proposed to be provided by IndexIQ and CBRE and the costs expected to be incurred by IndexIQ and CBRE in rendering those services, the Independent Trustees concluded that the fees proposed to be paid to IndexIQ and CBRE with respect to the New Fund were fair and reasonable.
3.
IndexIQ’s and CBRE’s profitability and the extent to which economies of scale would be realized as the New Fund grows and whether fee levels would reflect such economies of scale. The Independent Trustees next considered that the New Fund had not yet commenced operations at the time and information regarding economies of scale and the costs and profitability of IndexIQ and CBRE in connection with its serving as investment adviser and sub-adviser, respectively to the New Fund, was not available. Therefore, the Board made no determination with respect to economies of scale or the impact of the New Fund on IndexIQ’s or CBRE’s profitability.
4.
Investment performance of IndexIQ and CBRE. Because the New Fund has not commenced operations, the Independent Trustees could not consider the investment performance of the New Fund, but did take into account the experience of CBRE and the investment strategies developed for the New Fund by CBRE.
Conclusion. No single factor was determinative to the decision of the Independent Trustees. Based on the foregoing and such other matters as were deemed relevant, the Independent Trustees concluded that the terms of the Advisory Agreement Amendment and the Subadvisory Agreement with CBRE were reasonable and fair to the New Fund and to recommend to the Board the approval of the Advisory Agreement Amendment and Subadvisory Agreement.
As a result, all of the Board members, including the Independent Trustees, determined that the Advisory Agreement Amendment and the Subadvisory Agreement are each in the best interests of the New Fund and its shareholders.
Approval Relating To Annual Continuation of the Advisory Agreement and Sub-Advisory Agreements
The Board (the members of which are referred to as “Trustees”) met in person on March 30, 2023, to consider the approval of the continuation, for an additional year, of the Advisory Agreement with respect to the series of the Trust for which the agreement applies (the “Funds”). The Board noted that the Advisory Agreement was
Board Review of Investment Advisory Agreements (unaudited) (continued)
between the Trust and IndexIQ Advisors LLC (the “Advisor”). In addition, the Board considered the continuation of the Sub-Advisory Agreement between the Advisor and MacKay Shields LLC (“MacKay”), with respect to the IQ MacKay ESG Core Plus Bond ETF, IQ MacKay Municipal Insured ETF, IQ MacKay Municipal Intermediate ETF and IQ MacKay California Municipal Intermediate ETF and the Sub-Advisory Agreement between the Advisor and NYL Investors LLC (“NYL Investors”), with respect to the IQ Ultra Short Duration ETF (MacKay and NYL Investors, collectively, the “Sub-Advisors” and each a “Sub-Advisor”).
In accordance with Section 15(c) of the 1940 Act, the Board requested, reviewed and considered materials furnished by the Advisor relevant to the Board’s consideration of whether to approve the continuation of the Advisory Agreement with respect to the Funds, and from the Sub-Advisors and the Advisor relevant to the Board’s consideration of whether to approve the continuation of each Sub-Advisory Agreement as it relates to IQ MacKay ESG Core Plus Bond ETF, IQ MacKay Municipal Insured ETF, IQ MacKay Municipal Intermediate ETF, IQ MacKay California Municipal Intermediate ETF and IQ Ultra Short Duration ETF (each a “Sub-Advised Fund” and collectively, the “Sub-Advised Funds”). In connection with considering approval of the continuation of the Advisory Agreement and Sub-Advisory Agreements, the Trustees who are not “interested persons” of the Trust, as that term is defined in the 1940 Act (the “Independent Trustees”), met in executive session with counsel to the Independent Trustees, who provided assistance and advice. The consideration of the continuation of the Advisory Agreement and Sub-Advisory Agreements was conducted by both the full Board and the Independent Trustees, who also voted separately.
During their review and consideration, the Board and the Independent Trustees focused on and analyzed the factors they deemed relevant, including: (1) the nature, extent and quality of the services provided by the Advisor to the Funds and by MacKay and NYL Investors with respect to the Sub-Advised Funds, and the fees charged by the Advisor and each Sub-Advisor; (2) information concerning the business and operations, compliance program and portfolio management teams of the Advisor and each Sub-Advisor; (3) the expense levels of each Fund; (4) the investment performance of the Funds; (5) the costs of the services provided and profits realized by the Advisor and its affiliates from the relationship with the Trust, including expense limitation agreements and fee waiver agreements between the Advisor and certain Funds; (6) the extent to which economies of scale would be realized as each Fund grows; (7) any “fall-out” benefits derived or to be derived by the Advisor or each Sub-Advisor from their relationships with the Trust; and (8) potential conflicts of interest. The Board considered that the Funds were actively managed exchange-traded funds (“ETFs”).
In reviewing such factors, the Board relied on certain information, including (1) a copy of the Advisory Agreement; (2) a copy of each Sub-Advisory Agreement; (3) information about applicable expense limitation and fee waiver agreements; (4) information describing the Advisor, MacKay and NYL Investors and the services provided thereby; (5) information regarding the respective compliance program and portfolio management teams of the Advisor and each Sub-Advisor; (6) copies of the Form ADV for each of the Advisor and each Sub-Advisor; (7) memoranda and guidance from legal counsel to the Independent Trustees on the fiduciary responsibilities of trustees, including Independent Trustees, in considering advisory and distribution agreements under the 1940 Act; (8) materials provided by each of the Advisor and each Sub-Advisor in response to a 15(c) request for information from legal counsel to the Independent Trustees; and (9) a presentation by personnel of the Advisor. In addition, the Board was provided data comparing the advisory fees and operating expenses (including acquired fund fees and expenses, as applicable) of the Funds with expenses and performance of other registered investment companies with similar investment objectives and policies. The Trustees also considered their personal experiences as Trustees and participants in the investment management industry, as applicable, including their experiences with the Advisor in respect of series of the Trust and IndexIQ ETF Trust.
In particular, the Trustees including the Independent Trustees, considered and discussed the following with respect to the Funds:
1.
The nature, extent and quality of the facilities and services provided by the Advisor and each Sub-Advisor. The Board reviewed the services that the Advisor and each Sub-Advisor provide to the respective Funds, noting that they had continually reviewed and overseen such services throughout the past year. The Board
Board Review of Investment Advisory Agreements (unaudited) (continued)
noted the responsibilities that the Advisor and the Sub-Advisors have as the investment advisor and sub-advisors to the respective Funds, including overall supervisory responsibility for the general management and investment of each Fund’s securities portfolio, monitoring fund compliance with regulatory requirements and Fund objectives and policies, daily monitoring of the portfolio, overseeing Fund service providers, providing officers for the Funds, ongoing reporting to the Board, and the implementation of Board directives as they relate to the Funds.
The Board reviewed the Advisor’s and each Sub-Advisors’ experience, resources, and strengths in managing ETFs and other investment mandates, including the Advisor’s management of the Funds and the funds of the IndexIQ ETF Trust. The Board also considered the experience of each Sub-Advisor’s team in managing strategies and asset classes similar to the Sub-Advised Funds, and their tenure in managing the portfolios of the operational Sub-Advised Funds. The Board also noted and discussed with the Advisor the resources and additional support and personnel from its affiliates New York Life Investment Management LLC (“NYLIM”) and New York Life Insurance Company, which resources enhance and support the work of the Advisor’s officers and staff. The Board also considered the tenure and experience of the personnel at the Advisor providing management and administrative services to the Funds. The Board also considered the Advisor’s marketing and distribution strategy, including the various services engaged by the Advisor in seeking to market and grow assets in the Funds.
Based on their consideration and review of the foregoing information, the Board concluded that each Fund was likely to continue to benefit from the nature, quality, and extent of these services, as well as the Advisor’s and each Sub-Advisor’s ability to render such services based on its personnel, experience, operations, and resources.
2.
Comparison of services provided and fees charged by the Advisor and each Sub-Advisor and other investment advisors to similar clients, and the cost of the services provided and profits realized by the Advisor and each Sub-Advisor from their relationships with the respective Funds. The Board then compared both the services rendered and the fees paid with respect to the Funds pursuant to the Advisory Agreement and each Sub-Advisory Agreement to contracts of other registered investment advisors providing services to similar ETFs. The Board also considered that the Advisor is responsible for payment of the sub-advisory fee to the Sub-Advisors pursuant to each Sub-Advisory Agreement, and that shareholders of the Sub-Advised Funds do not directly pay the sub-advisory fee.
In particular, the Board compared each Fund’s advisory fee and expense ratio (including acquired fund fees and expenses, as applicable) to other investment companies considered to be in each such Fund’s peer group. The Advisor presented information on how peer groups were selected for the Funds and explained that peer groups were selected using an objective methodology by a NYLIM team.
The Board noted that certain Funds had peer groups of limited size and, in certain cases, with substantial differences in portfolio management and operational costs. The Board was presented with information describing the Funds’ performance and fees, with information relative to peer groups. The Board considered unique characteristics of certain Funds relative to peer groups, particularly where such Funds had fee or total expense ratios that diverged from the median levels of the applicable peer group. The Board also discussed price pressure in the general ETF marketplace and the impact of market pressures on the price levels for actively managed ETFs such as the Funds. The Board considered the level of each of the fees under the Advisory Agreement in the context of the services being provided.
Additionally, the Trustees considered that the Advisor had put in place expense limitation agreements whereby the Advisor reimburses expenses and/or waives fees to limit the impact above set thresholds of certain expenses on shareholders of the Funds. The Board noted that such expense limitation agreements were reflected in the peer group analysis provided by the Advisor. The Board further noted that the Advisor had put in place permanent expense limitation and/or fee waiver agreements for certain Funds, which were subject to termination by the Board.
Board Review of Investment Advisory Agreements (unaudited) (continued)
After comparing each Fund’s fees with those of other investment companies in the Fund’s peer group, and in light of the nature, quality, and extent of services provided by the Advisor and each Sub-Advisor and the costs incurred by the Advisor and each Sub-Advisor in rendering those services, the Board concluded that the level of fees paid (or proposed to be paid) to the Advisor with respect to each Fund and to the Sub-Advisors with respect to each Sub-Advised Fund, is fair and reasonable.
3.
The Advisor’s, MacKay’s and NYL Investors’ profitability and the extent to which economies of scale would be realized as the Funds grow and whether fee levels would reflect such economies of scale. The Board discussed with the Advisor the costs and profitability of the Advisor in connection with its serving as investment advisor to each Fund, including operational costs. The Board also discussed additional resources available to the Advisor as part of a larger organization, including the investment of financial and human resources into the Advisor and additional support to market and distribute the Funds.
The Board considered information regarding the strategy of the Advisor to grow assets in the Funds during the calendar year, including the marketing and distribution details that were provided in the Board materials. The Board reviewed the net asset levels of the Funds and the impact of both high and low asset levels on such Funds. The Advisor presented to the Board information on the operating profits on a year over year basis. The Board also considered the impact of future asset growth on the services required and fees paid to each Sub-Advisor, noting again that such fees were paid by the Advisor out of its management fees. The Board considered whether the continued operation of certain Funds that had not attracted significant assets under management would be profitable to the Advisor and determined to continue to review the asset levels of the Funds in relation to the Advisor’s profitability. The Board also noted the existence of the Expense Limitation Agreement, and its respective impact on costs to shareholders and profitability of the Advisor.
The Board concluded that the fees paid to the Advisor and the Sub-Advisors, respectively, were reasonable when considering the relative asset levels and profitability of the Funds to the Advisor.
4.
Investment performance of the Funds. The Board considered the investment performance of the existing Funds. In particular, the Board considered the investment performance of the Funds relative to their stated objectives and the success of the Advisor and each Sub-Advisor in reaching such objectives. The Board considered each Fund’s investment performance compared to its benchmark and peer group. The Board considered that certain Funds had recently launched and had limited performance and operational history to consider.
The Board concluded that the investment performance of the Funds supported the approval of the Advisory Agreement and each Sub-Advisory Agreement.
The Board agreed that it had been furnished with sufficient information, both at the meeting and in its ongoing oversight of the Funds, to make an informed business decision with respect to the Advisory Agreement for the Funds and, with respect to the Sub-Advised Funds, the Sub-Advisory Agreements. Based on the foregoing and such other matters as were deemed relevant, and while no single factor was determinative in the decision, the Independent Trustees concluded that the terms of the Advisory Agreement with the Advisor and the Sub-Advisory Agreements between the Advisor and each Sub-Advisor were reasonable and fair to the Funds and to recommend to the Board the approval of the Advisory Agreement and Sub-Advisory Agreements. As a result, all of the Board members, including the Independent Trustees, determined that the continuation of the Advisory Agreement with the Advisor and continuation of each Sub-Advisory Agreement was in the best interests of each applicable Fund and its shareholders. The Board and the Independent Trustees, voting separately, approved the continuation of the Advisory Agreement and Sub-Advisory Agreements for an additional one-year period.
Board of Trustees and Officers (unaudited)
The Board oversees the IndexIQ ETF Trust, IndexIQ Active ETF Trust, the Advisor and the Subadvisors. Information pertaining to the Trustees and Officers of the Funds is set below. The report includes additional information about the Funds’ Trustees and Officers and is available without charge, upon request by calling 1-888-474-7725.
Independent Trustees
| | Name and
Year of Birth(1) | | | Position(s)
Held with
Trust | | | Term of
Office and
Length of
Time Served(2) | | | Principal Occupation(s) During Past 5 Years | | | Number of
Portfolios
in Fund
Complex
Overseen
by Trustee(3) | | | Other
Directorships
Held by
Trustee
During Past 5 Years | |
| | Lofton Holder, 1964 | | | Trustee | | | Since June 2022 | | | Retired; formerly, Managing Partner and Co-Founder, Pine Street Alternative Asset Management, (2011 – 2019). | | | 29 | | | Board Member, Golub Capital BDC, Inc., Golub Capital BDC 3, Inc., and Golub Capital Direct Lending Corporation (each, a business development company) (2021 – present); Board Member, Manning & Napier (investment manager) (2021 – present). | |
| | Michael A. Pignataro, 1959 | | | Trustee | | | Since April 2015 | | | Retired; formerly, Director, Credit Suisse Asset Management (2001 to 2012); and Chief Financial Officer, Credit Suisse Funds (1996 to 2013). | | | 29 | | | The New Ireland Fund, Inc. (closed-end fund) (2015 to 2023). | |
| | Paul D. Schaeffer, 1951 | | | Trustee Chair of the Board | | | Since April 2015 Since March 2023 | | | President, ASP (dba Aspiring Solution Partners) (financial services consulting) (2013 to present); Consultant and Executive Advisor, Aquiline Capital Partners LLC (private equity investment) (2014 to present). | | | 29 | | | Management Board Member, RIA in a Box LLC (financial services consulting) (2018 to 2021); Context Capital Funds (mutual fund trust) (2 Portfolios) (2014 to 2018); Management Board Member, Altegris Investments, LLC (registered broker-dealer) (2016 to 2018); Management Board Member, AssetMark Inc. (financial services consulting) (2016 to 2017); PopTech! (conference operator) (2012 to 2016); Board Member, Pathways Core Training (nonprofit) (2019 to present); Board | |
Board of Trustees and Officers (unaudited) (continued)
| | Name and
Year of Birth(1) | | | Position(s)
Held with
Trust | | | Term of
Office and
Length of
Time Served(2) | | | Principal Occupation(s) During Past 5 Years | | | Number of
Portfolios
in Fund
Complex
Overseen
by Trustee(3) | | | Other
Directorships
Held by
Trustee
During Past 5 Years | |
| | | | | | | | | | | | | | | | | Member, Center for Collaborative Investigative Journalism (non-profit) (2020 – present). | |
| | Michelle A. Shell, 1975 | | | Trustee | | | Since June 2022 | | | Visiting Scholar, Harvard Business School (2020 to present); Visiting Assistant Professor of Operations Management, Boston University Questrom School of Business (2020 to present); Business researcher and consultant, self-employed (2013 – 2020). | | | 29 | | | U.S. Charitable Gift Trust (public charity offering donor-advised funds and trust products) (2017 – present); Pathstone (investment advisory firm offering comprehensive family office services) (2022 – present). | |
Interested Trustee
| | Name and
Year of Birth(1) | | | Position(s)
Held with
Trust | | | Term of
Office and
Length of
Time Served(2) | | | Principal Occupation(s) During Past 5 Years | | | Number of
Portfolios
in Fund
Complex
Overseen
by Trustee(3) | | | Other
Directorships
Held by
Trustee
During Past 5 Years | |
| | Kirk C. Lehneis, 1974(4) | | | President | | | Since January 2018 | | | Chief Operating Officer and Senior Managing Director, New York Life Investment Management LLC (since 2016); Chief Executive Officer, IndexIQ Advisors LLC (since 2018); Chairman of the Board, NYLIM Service Company LLC (since September 2017); President, MainStay DefinedTerm Municipal Opportunities Fund, MainStay Funds, MainStay Funds Trust, and MainStay VP Funds Trust (since September 2017); President, MainStay CBRE Global Infrastructure Megatrends Fund (since 2021). | | | 29 | | | None. | |
Board of Trustees and Officers (unaudited) (continued)
Officers
| | Names and
Year of Birth(1) | | | Position(s)
Held with
Trust | | | Term of
Office and
Length of
Time Served(2) | | | Principal Occupation(s) During Past 5 Years | |
| | Jack R. Benintende,
1964 | | | Vice President | | | Since March 2023 | | | Chief Operating Officer, IndexIQ Advisors LLC (since February 2023), Treasurer and Principal Financial and Accounting Officer, MainStay Funds (since 2007) and MainStay Funds Trust (since 2009). | |
| | Adefolahan Oyefeso, 1974 | | | Treasurer, Principal Financial Officer and Principal Accounting Officer | | | Since April 2018 | | | Vice President of Operations & Finance, IndexIQ Advisors (2015 to present); Director of the Fund Administration Client Service Department at The Bank of New York Mellon (2007 to 2015). | |
| | Matthew V. Curtin, 1982 | | | Secretary and Chief Legal Officer | | | Since June 2015 | | | Chief Legal Officer, IndexIQ Advisors LLC (since 2015), Chief Compliance Officer, IndexIQ ETF Trust and IndexIQ Active ETF Trust (June 2015 to January 2017); Associate General Counsel, New York Life Insurance Company (since 2015). | |
| | Kevin M. Gleason,
1966 | | | Chief Compliance Officer | | | Since June 2022 | | | Chief Compliance Officer, IndexIQ ETF Trust and IndexIQ Active ETF Trust, The MainStay Funds, MainStay Funds Trust, MainStay MacKay DefinedTerm Municipal Opportunities Fund, MainStay CBRE Global Infrastructure Megatrends Fund and MainStay VP Funds Trust (since 2022); Senior Vice President, Voya Investment Management, LLC and Chief Compliance Officer, Voya Family of Funds (2012 to 2022). | |
(1)
The address of each Trustee or officer is c/o IndexIQ Advisors, 51 Madison Avenue, New York, New York 10010.
(2)
Trustees and Officers serve until their successors are duly elected and qualified.
(3)
The Fund is part of a “fund complex” as defined in the 1940 Act. The fund complex includes all operational open-end funds (including all of their portfolios) advised by the Advisor and any funds that have an investment advisor that is an affiliated person the Advisor.
(4)
Mr. Lehneis is an “interested person” of the Trust (as that term is defined in the 1940 Act) because of his affiliations with the Advisor.
IndexIQ Active ETF Trust
Annual Report | April 30, 2023
IQ Ultra Short Duration ETF (ULTR)
Q MacKay ESG Core Plus Bond ETF (ESGB)
IQ MacKay Multi-Sector Income ETF (MMSB)
IQ MacKay ESG High Income ETF (IQHI)
IQ MacKay Municipal Insured ETF (MMIN)
Q MacKay Municipal Intermediate ETF (MMIT)
IQ MacKay California Municipal Intermediate ETF (MMCA)
IQ Winslow Large Cap Growth ETF (IWLG)
IQ Winslow Focused Large Cap Growth ETF (IWFG)
Investment Advisor
IndexIQ Advisors LLC
51 Madison Avenue
New York, NY 10010
Distributor
ALPS Distributors, Inc.
1290 Broadway, Suite 1100
Denver, CO 80203
Custodian/Fund Administrator/Transfer Agent
The Bank of New York Mellon
240 Greenwich Street
New York, NY 10286
Legal Counsel
Chapman and Cutler LLP
1717 Rhode Island Avenue
Washington, DC 20036
Independent Registered Public Accounting Firm
PricewaterhouseCoopers LLP
300 Madison Avenue
New York, NY 10017
The Report to Shareholders is attached herewith.
Item 2. Code of Ethics.
| (a) | The registrant, as of the end of the period covered by this report, has adopted a code of ethics that applies to the registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, regardless of whether these individuals are employed by the registrant or a third party. |
| (c) | There have been no amendments, during the period covered by this report, to a provision of the code of ethics that applies to the registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, regardless of whether these individuals are employed by the registrant or a third party, and that relates to any element of the code of ethics description. |
| (d) | The registrant has not granted any waivers, including an implicit waiver, from a provision of the code of ethics that applies to the registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, regardless of whether these individuals are employed by the registrant or a third party, that relates to one or more of the items set forth in paragraph (b) of this item’s instructions. |
Item 3. Audit Committee Financial Expert.
The Registrant’s Board of Trustees has one audit committee financial expert serving on its Audit Committee, an “independent” Trustee, Michael Pignataro. Under applicable securities laws, a person who is determined to be an audit committee financial expert will not be deemed an “expert” for any purpose, including without limitation for the purposes of Section 11 of the Securities Act of 1933, as a result of being designated or identified as an audit committee financial expert. The designation or identification of a person as an audit committee financial expert does not impose on such person any duties, obligations, or liabilities that are greater than the duties, obligations, and liabilities imposed on such person as a member of the Audit Committee and Board of Trustees in the absence of such designation or identification.
Item 4. Principal Accountant Fees and Services.
Audit Fees
| (a) | The aggregate fees billed for each of the last two fiscal years for professional services rendered by the principal accountant for the audit of the registrant's annual financial statements or services that are normally provided by the accountant in connection with statutory and regulatory filings or engagements for those fiscal years are $167,592 for 2023 and $93,200 for 2022. |
Audit-Related Fees
| (b) | The aggregate fees billed in each of the last two fiscal years for assurance and related services by the principal accountant that are reasonably related to the performance of the audit of the registrant's financial statements and are not reported under paragraph (a) of this Item are $0 for 2023 and $0 for 2022. |
Tax Fees
| (c) | The aggregate fees billed in each of the last two fiscal years for professional services rendered by the principal accountant for tax compliance, tax advice, and tax planning are $0 for 2023 and $0 for 2022. |
All Other Fees
| (d) | The aggregate fees billed in each of the last two fiscal years for products and services provided by the principal accountant, other than the services reported in paragraphs (a) through (c) of this Item are $0 for 2023 and $0 for 2022. |
| (e)(1) | Per Rule 2-01(c)(7)(A), the Audit Committee pre-approves all of the Audit, Audit-Related, Tax and Other Fees of the Registrant. |
| (e)(2) | With respect to the services described in each of Items 4(b) through (d), no amount was approved by the audit committee pursuant to paragraph (c)(7)(A) of Rule 2-01 of Regulation S-X. |
| (f) | The percentage of hours expended on the principal accountant's engagement to audit the registrant's financial statements for the most recent fiscal year that were attributed to work performed by persons other than the principal accountant's full-time, permanent employees was less than fifty percent. |
| (g) | The aggregate non-audit fees billed by the principal accountant for services rendered to the registrant’s investment adviser (not including any subadvisor whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the registrant were (i) approximately $13,219,000 for the fiscal year ended April 30, 2023, and (ii) $12,492,273 for the fiscal year ended April 30, 2022. |
| (h) | The registrant’s Audit Committee has determined that the non-audit services rendered by the principal accountant for the fiscal year ended April 30, 2023 to the registrant’s investment adviser and any entity controlling, controlled by, or under common control with the registrant’s investment adviser that provides ongoing services to the registrant that were not required to be pre-approved by the Audit Committee because they did not relate directly to the operations and financial reporting of the registrant were compatible with maintaining the respective independence of the principal accountant during the relevant time period. |
Item 5. Audit Committee of Listed Registrants.
| (a) | The Fund has a designated Audit Committee in accordance with Section 3(a)(58)(A) of the Securities and Exchange Act of 1934 (the “Exchange Act”) and the members of such committee are Michael Pignataro Michelle Shell, Lofton Holder and Paul Schaeffer. |
Item 6. Investments.
| (a) | Schedule of Investments in securities of unaffiliated issuers as of the close of the reporting period is included as part of the report to shareholders filed under Item 1(a) of this form. |
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.
Not applicable.
Item 8. Portfolio Managers of Closed-End Management Investment Companies.
Not applicable.
Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.
Not applicable.
Item 10. Submission of Matters to a Vote of Security Holders.
There have been no material changes to the procedures by which the shareholders may recommend nominees to the registrant’s board of trustees, where those changes were implemented after the registrant last provided disclosure in response to the requirements of Item 407(c)(2)(iv) of Regulation S-K (17 CFR 229.407) (as required by Item 22(b)(15) of Schedule 14A (17 CFR 240.14a-101)), or this Item.
Item 11. Controls and Procedures.
| (a) | The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”) (17 CFR 270.30a-3(c))) are effective, as of a date within 90 days of the filing date of the report that includes the disclosure required by this paragraph, based on their evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934, as amended (17 CFR 240.13a-15(b) or 240.15d-15(b)). |
| (b) | There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17 CFR 270.30a-3(d))) that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting. |
Item 12. Disclosure of Securities Lending Activities for Closed-End Management Investment Companies.
Not applicable.
Item 13. Exhibits.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| (Registrant) | IndexIQ Active ETF Trust | |
| By (Signature and Title) | /s/ Kirk C. Lehneis | |
| | Kirk C. Lehneis | |
| | (Principal Executive Officer) | |
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
| By (Signature and Title) | /s/ Kirk C. Lehneis | |
| | Kirk C. Lehneis | |
| | (Principal Executive Officer) | |
| By (Signature and Title) | /s/ Adefolahan O. Oyefeso | |
| | Adefolahan O. Oyefeso | |
| | (Principal Financial Officer) | |
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