IndexIQ is now live on ConvergEx's award-winning order management system, the Eze OMS, and ConvergEx has also signed an agreement to be an authorized participant for IndexIQ's suite of exchange traded funds (ETFs).

Based in Rye Brook, New York, IndexIQ is a leading developer of index-based liquid alternative investment solutions that combine the benefits of traditional index investing with the risk-adjusted return potential sought by active managers.

As a client of the Eze OMS, IndexIQ leverages Eze's extensive portfolio management and modeling capabilities to rebalance ETFs against Standard & Poor's market indices on a daily basis and against internally generated indices on a monthly basis. IndexIQ also uses the Eze OMS to manage real-time cash inflows and redemptions.

"The Eze OMS's flexible architecture allowed us to configure our system to IndexIQ's specific needs from modeling to order execution," said Michael Maguire, managing director of Global Consulting for ConvergEx's Eze Castle Software. "We were able to streamline IndexIQ's workflows with automated modeling schemes, collaborative session management tools, and real-time views for P&L and exposure to monitor firm-wide trading activity."

Additionally, with a recently signed authorized participant agreement, ConvergEx's ETF trading desk can now offer IndexIQ's clients efficient pricing of their ETF products on a net asset value basis. "Utilizing our proprietary ETF pricing model and dedicated ETF trading professionals, ConvergEx will be able to provide liquidity and cost transparency for Index IQ's next generation alternative ETFs," said Thomas Smykowski, managing director and head of ConvergEx's Global Portfolio and ETF Desk.