The WisdomTree [profile] team is celebrating a big milestone for a core, seven-year-old ETF.
Today the New York City-based, fundamental indexer revealed that its WisdomTree SmallCap Dividend Fund (DES) has crossed the $1 billion line in assets. The ETF launched in WisdomTree's original core equity ETF suite on June 16, 2006.
Company Press Release
WisdomTree SmallCap Dividend Fund (DES) Surpasses $1 Billion in Assets
Passive Dividend-Weighted Approach to Small Caps Establishes Strength in Low Interest Rate Environment
Fund Launched in Company's Original Core Equity ETF Suite in June 2006
NEW YORK, Dec. 4, 2013 -- WisdomTree (Nasdaq:WETF), an
exchange-traded fund ("ETF") sponsor and asset manager, today announced
the WisdomTree SmallCap Dividend Fund (DES) recently surpassed $1
billion in assets. DES is designed to track the WisdomTree SmallCap
Dividend Index (WTSDI), a fundamentally weighted index that measures
the performance of the small-capitalization segment of the U.S.
dividend-paying market.
Luciano Siracusano, WisdomTree Chief Investment Strategist, commented,
"By weighting the U.S., small cap market by the dividends companies
pay, WisdomTree has been able to create a potential source of income
for investors looking for alternatives in today's low-interest rate
environment."
A Disciplined Focus on Relative Value
Market capitalization-weighted indexes typically have no mechanism to
reduce weight in stocks with extended valuations, potentially building
risk in an index. One solution could be to look for small cap indexes
that rebalance annually back to a measure of relative value, such as
cash dividends.
The underlying WisdomTree Index for DES measures the performance of the
small-capitalization segment of the US dividend-paying market, and
includes more than 600 companies with a combined market capitalization
of more than $600 billion. The Index selects stocks from a universe of
approximately 1,300 dividend-paying securities based on their market
capitalization, and then weights each constituent annually to reflect
the proportionate share of the aggregate cash dividends each component
company pays to shareholders, based on its most recently declared
dividend per share.
"There are a variety of dividend focused funds and investment
strategies, but we believe DES provides the broadest exposure to the
small cap segment of the U.S. dividend-paying market. For investors
looking for potential dividend income in a portfolio, we believe DES
could serve as a core exposure to the U.S. small cap asset class,"
Siracusano added.
Dividends are not guaranteed and a company's future abilities to pay
dividends may be limited. A company currently paying dividends may
cease paying dividends at any time.
Investors should carefully consider the investment objectives, risks,
charges and expenses of the Funds before investing. To obtain a
prospectus containing this and other important information, call
866-909-9473 or visit wisdomtree.com. Read the prospectus carefully
before investing.
There are risks associated with investing, including possible loss of
principal. Funds focusing their investments on certain sectors and/or
smaller companies increase their vulnerability to any single economic
or regulatory development. This may result in greater share price
volatility. Please read the Fund's prospectus for specific details
regarding the Fund's risk profile.
You cannot invest directly in an index. Performance is historical and
does not guarantee future results. Current performance may be lower or
higher than quoted. Investment returns and principal value of an
investment will fluctuate so that an investors' shares, when redeemed,
may be worth more or less than their original cost. Performance data
for the most recent month-end is available at www.wisdomtree.com.
WisdomTree Funds are distributed by ALPS Distributors, Inc.Luciano
Siracusano is a registered representative of ALPS Distributors,
Inc.WIS006051 (12/2014)
About WisdomTree
WisdomTree(R) is a New York-based exchange-traded fund ("ETF") sponsor
and asset manager. WisdomTree currently offers 55 ETFs across Equities,
Fixed Income, Currency Income and Alternatives asset classes.
WisdomTree also licenses its indexes to third parties for proprietary
products and promotes the use of WisdomTree ETFs in 401(k) plans.
WisdomTree currently has approximately $34.1 billion in ETF assets
under management. For more information, please visit www.wisdomtree.com
or follow us on Twitter @WisdomTreeETFs.
WisdomTree is the marketing name for WisdomTree Investments, Inc. and
its wholly owned subsidiary WisdomTree Asset Management, Inc.
WisdomTree Asset Management, Inc. is a registered investment advisor
and is the investment advisor to the WisdomTree Trust and the
WisdomTree ETFs. The WisdomTree Trust is a registered open-end
investment company. Each WisdomTree ETF is a series of the WisdomTree
Trust.