Surging Global Deal Volume Sends 'MNA' to Record High

The video tutorial discusses the IQ merger arbitrage ETF, known as MNA, which employs a standard arbitrage strategy used by hedge funds. The fund focuses on buying shares of firms targeted for takeovers and hedging the market using sector ETFs and swaps. Timing is crucial, as MNA only trades after official deal disclosures, aiming for small incremental returns. The fund's assets have grown significantly, with a focus on US pharma and defense sectors. Despite asset growth, MNA's returns lag behind the broader market, with an expense ratio of 77 basis points and hidden fees due to short positions.

What trends in global deal-making were noted for the year 2019?

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What is the expense ratio of the M&A fund, and what does it indicate?

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