The International Securities Exchange and AlphaClone LLC, a provider of hedge fund position replication, have teamed up to promote AlphaClone's innovative hedge fund position replication index, dubbed the AlphaClone Hedge Fund Long/Short Index.

Their partnership will serve as a platform to license and promote the index to third-party exchange-traded funds providers looking to offer their clients to alternative investment products. In fact, the first licensing agreement to bring AlphaClone's methodology to market was made with Exchange Traded Concepts earlier this year to launch a new hedge fund position replication ETF. The AlphaClone Alternative Alpha ETF is expected to launch in the second quarter of 2012.

"Our partnership with AlphaClone represents a new direction for ISE," stated Gary Katz, president and chief executive of ISE. "As we continue to expand our presence in indexes and exchange-traded products, we are looking for compelling opportunities to commit our resources to assist ETFs in coming to market. Our collaboration with AlphaClone is an excellent first initiative in this area."


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