You bought into an ETF organized as a partnership and thus became a partner. You do have to enter the Schedule K-1 you received as partnerships are "pass through" entities that pass through their activities to the individual partners - that's what the Schedule K-1 does - so that the individual partners can report their share of the partnership's activities on their own income tax returns.
This activity also affects the your basis in the partnership. You basis is not simply what you paid for your partnership units.
Tom Young
