Adding a real constraint to an index fund usually comes at a cost with standard providers. A local fiscal eligibility rule, an ESG exclusion, a sector limit: any of these tends to widen tracking error and break the operational processes built for a generic index. Teams end up choosing between the constraint they actually need and a fund that behaves the way it should.
iQ Index Tracking removes that trade-off. We compute the optimal basket, sized to your exact requirements, and hand it to you ready to execute, with automated tax-loss harvesting running on top. In tests against the method one European retail banking asset manager was already using, this cut annual transaction costs by 58%. We work with a select number of asset managers ready to launch something genuinely differentiated as early adopters, not another tracker off the shelf.
