WisdomTree has been managing Japan-specific ETFs for nearly 10 years. The key to success has been an ability to combine creativity to capitalize on Japan’s most salient investment themes with flexibility to enhance and expand the toolkit as conditions evolve.
Most people who invest outside the U.S. tend to focus on well-established benchmarks such as the MSCI EAFE Index or MSCI Emerging Markets indexes. Yet both of these indexes have a particular hole. Neither provides exposure to international small caps.
At WisdomTree, we spend a lot of time researching and writing about trends in fundamentals, such as dividends or earnings, and one topic that always attracts a lot of interest is dividend growth. With regard to U.S. markets, we have continually made the case that above-average dividend growth has been supporting above-average market returns over the past few years.
Recently, the emerging markets (EM) have been embattled in a storm of currency weakness and disappointing performance. However, that tide may be starting to turn.
On May 8, Professor Jeremy Siegel and I chatted with David Bianco, Head of U.S. Equity Strategy at Deutsche Bank, about S&P valuations, earnings growth and the impact of a stronger dollar and weaker oil prices on earnings.