Fund Description: IQ 500 International ETF is an exchange-traded index fund or Index ETF which is a separate investment portfolio of the IndexIQ ETF Trust, an open-end investment management company. <p> INVESTMENT OBJECTIVE: The IQ 500 International ETFgenerally to the price and yield performance of its underlying index, of the IQ 500 International Index.<p> INDEX DESCRIPTION: The IQ 500 International Index selects and weights securities utilizing a rule-based methodology incorporating three fundamental factors: sales, market share, and operating margin. The top 500 international securities, based on their composite rank, are included in the index. <p> FUND STRATEGY: The Fund employs a passive management or indexing investment approach designed to track the performance of the Underlying Index, which was developed by IndexIQ LLC, an affiliate of IndexIQ Advisors LLC, the Fund’s investment advisor. The Fund invests, under normal circumstances, at least 80% of its net assets, plus the amount of any borrowings for investment purposes, in the investments included in the Underlying Index In addition, the Fund may invest up to 20% of its net assets in investments not included in its Underlying Index, but which the Advisor believes will help the Fund track the Underlying Index. The Fund may also invest in one or more financial instruments, including but not limited to futures contracts and swap agreements. The Underlying Index consists of a number of Underlying Index Components selected in accordance with IndexIQ’s rules-based methodology. <p> FUND MANAGEMENT: IndexIQ Advisors LLC serves as the investment advisor to the Fund.