iShares Systematic Alternatives Active ETF(NASDAQ:IALT)

IALT aims to generate total returns across both strong markets and periods of stress by taking long and short positions in a broad range of global asset classes and alternative strategies. The fund employs quantitative models and proprietary ranking techniques to identify mispriced opportunities in equities, fixed income, commodities, currencies, and other instruments across developed and emerging markets. IALT can hold debt securities of any credit quality, from US Treasuries to high-yield and unrated debt, as well as various equity structures, including preferred shares, convertibles, and contingent convertible bonds. Equity holdings are not restricted by market capitalization. To enhance returns and provide hedging, the fund extensively uses derivatives such as swaps, futures, options, and forwards. Commodity exposure is obtained via a Cayman Islands subsidiary, capped at 25%. The fund may engage in active and frequent trading, resulting in high portfolio turnover.