View Morningstar Peer Group Ranking
Source: Morningstar
Past performance does not guarantee future results.
Fund Market Price Total Return Data as of 12/31/2011, returns do not include front end loads. The Peer Group for WisdomTree Emerging Markets Equity Income Fund, and the MSCI Emerging Markets Index is the Morningstar US OE Diversified Emerging Markets and US ETF Diversified Emerging Markets Universe.
The index benchmark in the table is analyzed as if it were a separate manager and is used in this analysis because it is the cap-weighted benchmark index for the fund (DEM).
2012 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance, rankings and ratings are no guarantee of future results. The Percent Rank in Category is the funds' total-return percentile rank relative to all funds within the same Morningstar Category and is subject to change each month. Regarding ranking of funds, 1 = Best.
Source: WisdomTree
Performance is historical and does not grarantee future results. Current performance may be lower or higher than quoted. Investment returns and principal value of an investment will fluctuate so that an investor's shares, when redeemed, maybe be worth more or less than their original cost. Performance data for the most recent month-end is available at www.wisdomtree.com.
WisdomTree shares are bought and sold at market price (not NAV) and are not individually redeemed from the Fund. Total Returns are calculated using the daily 4:00 p.m. EST net asset value (NAV). Market price returns reflect the midpoint of the bid/ask spread as of the close of trading on the exchange where Fund shares are listed. Market price returns do not represent the returns you would receive if you traded shares at other times.
You cannot invest directly in an index.
DEM may give investors access to faster-growing emerging market economies, but with a rigorous valuation based investment approach focused on high dividend stocks. Complement or replace index funds tracking the MSCI Emerging Markets Index with an index that gives similar exposure to emerging markets, but with historically a lower valuation (lower P/E ratio1 and higher historic dividend yield).
View fund performance history »
Take advantage of potentially higher-yielding stocks in emerging markets to augment global dividend income.
Because DEM has had a high correlation3 to the MSCI Emerging Markets Index, investors can use DEM to capture unrealized losses in emerging markets funds, while maintaining broad equity exposure to the developing world.
The strategies above are to illustrate various uses of the fund, when suitable. Please consult with your fi nancial professional to determine which strategy may apply to your particular financial plan.
1 Price/earnings ratio is a valuation ratio of a company's current share price compared to its per-share earnings. Lower values are generally thought of as a positive driver of future investment performance, as each dollar of earnings costs less on the basis of the share price; conversely, higher valuations are generally thought of as a negative driver of future investment performance
2 Neither WisdomTree Investments, Inc., nor its affiliates, nor ALPS Distributors and its affi liates provide tax advice. All references to tax matters or information provided are for illustrative purposes only and should not be considered tax advice and cannot be used for the purpose of avoiding tax penalties. Investors seeking tax advice should consult an independent tax advisor.
3Correlation is a statistical measure of how an index moves in relation to another index or model portfolio. A correlation ranges from -1 to 1. A correlation of 1 means the two indexes have moved in lockstep with each other. A correlation of -1 means the two indexes have moved in exactly the opposite direction.
The MSCI Emerging Markets Index is a free float-adjusted market capitalization index that is designed to measure emerging markets equity performance.
Dividend Yield: A financial ratio that shows how much a company pays out in dividends each year relative to its share price as a percentage.
WisdomTree has always believed in the power of dividends. And for good reason. Dividends have been considered an objective measure of a company's health, value and profitability - one that is harder to manipulate than accounting metrics. And dividends provide benefits that can help solve many of the challenges investors face.
Challenges |
The dividends of dividends |
| Current bonds rates are very low | Dividend stocks provide the potential for income growth. |
| Rising inflation | Historically, dividends have grown faster than inflation in the United States.* |
| Eroded portfolio value Long retirements Need to sell assets to generate income | Dividend stocks provide the potential for both capital appreciation and income. |
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Source: WisdomTree, U.S. Bureau of Labor, 2010.
The WisdomTree dividend ETFs are designed to track indexes that are built differently. We begin by focusing only on companies that are paying dividends. But the key to how we generate more income potential is that we weight each stock by the dividend income it generates, rather than by the company's market value (the way most ETFs do it).
In the hypothetical example below, the dividend-weighted portfolio generates approximately 30% more dividend income and almost 1% of additional dividend yield than the market cap-weighted option. What's more—it did this using the same 3 stocks and the same initial investment.
This hypothetical example shows how different stocks might be weighted using market cap weighting and dividend weighting. It is not reflective of any actual index or fund and is for illustrative purposes only.
The simple, fundamental approach makes a critical difference.
Download the "Deconstructing WisdomTree Index
Performance in Emerging Markets." White Paper »
WisdomTree's Jeremy Schwartz discusses Emerging Markets with Michael Johnston of ETF Database
