WisdomTree launches European ETF platform

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WisdomTree has launched its European Ucits ETF platform. Due to increasing global demand for ‘smart beta’ exposure, WisdomTree is proud to launch its first four ETFs, listed on the London Stock Exchange (LSE), providing exposure to large and small-cap US and European equities.

Due to increasing global demand for ‘smart beta’ exposure, WisdomTree is proud to launch its first four ETFs providing exposure to large and small-cap U.S. and European equities.

WisdomTree’s four new ETFs are:

Name LSE code TER (p.a.) Index dividend yield
WisdomTree Europe Equity Income UCITS ETF

 

EEI 0.29% 5.7%
WisdomTree Europe SmallCap Dividend UCITS ETF

 

DFE 0.38% 3.9%
WisdomTree US Equity Income UCITS ETF

 

DHS 0.29% 3.6%
WisdomTree US SmallCap Dividend UCITS ETF

 

DESE 0.38% 3.6%

 

The establishment of WisdomTree’s European business marks a number of firsts for the European ETF industry.  WisdomTree becomes Europe’s first ETF provider focussed on dividend-weighted ETFs and Europe’s first issuer of dividend-weighted small-cap ETFs.

WisdomTree’s Ucits ETFs started trading on the London Stock Exchange on Friday 24 October and will initially be traded in GBP, EUR and USD.  The ETFs are Irish-domiciled and physically replicated, with the underlying shares being held with State Street, a global leading custodian and administrator. One of the world’s leading ETF market makers, KCG Europe, will act as market maker for the products.

The four funds track proprietary WisdomTree indices, most of which have been live since 2006. The indices are designed to be an alternative to market capitalisation-weighted indices, which weight stocks on price alone.  We believe the major flaw with market capitalisation weighted indices is that as stocks increase in price, their weight in the index increases and vice versa, as stocks decrease in price, their weight in the index decreases.  As a result, an index whose weights are based on market capitalisation may overweight overvalued stocks and underweight undervalued stocks.

Jonathan Steinberg, CEO and President of WisdomTree Investments, Inc. said: “WisdomTree is a proven ETF innovator and a passionate ETF industry advocate.  We are excited to bring our unique ETF focus and experience to this important market, where we seek to offer differentiated investment solutions backed by a veteran management team.”

Nik Bienkowski, Co-CEO of WisdomTree Europe commented: “We are extremely proud to be launching WisdomTree’s first Ucits ETFs in Europe.  WisdomTree is founded on well-built indices, insightful research and a track record of innovation.  In addition to BOOST ETPs, which provide investors with a unique product set to hedge portfolios or enhance returns, WisdomTree ETFs are unique, tracking broad indices, with most backed by live track records of more than eight years.”

 

Milan

The Fund Selector Forum Italy 2014 takes place on 5 November 2014 at the Four Seasons Hotel in Milan.

Click here for further details and to register: http://www.investmenteurope.net/event/2014-fund-selector-forum/

 

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