While the majority of ETFs are market cap-weighted — meaning they give more weight to companies selling at higher prices than those offering stronger fundamentals - WisdomTree has developed a proprietary index methodology designed to help magnify the effect fundamentals have on risk and return characteristics.
The WisdomTree Dividend Indexes typically weight each stock eligible for inclusion by its share of the Dividend Stream®, defined as the sum of regular cash dividends paid by all the companies in the respective Index.
This ETF is designed to track the
which measures the performance of dividend-paying equities in Japan, while mitigating, or hedging, the impact of the Japanese yen fluctuations versus the U.S. dollar. Eligible companies must be listed on the Tokyo Stock Exchange.View Index Details
|Rank in Index||Company Name||Dividend Amount (Billions of USD)**||Weight||Final Weight*|
|1||Mitsubishi UFJ Financial Group, Inc.||$2.17||6.13%||5.00%|
|2||Takeda Pharmaceutical Co Ltd||$1.81||5.31%||5.00%|
|4||Honda Motor Co Ltd||$1.39||3.92%||3.99%|
|5||Mitsui & Co Ltd||$1.28||3.35%||3.40%|
|6||Japan Tobacco Inc||$1.15||3.22%||3.27%|
|7||Nissan Motor Co Ltd||$1.15||3.17%||3.23%|
|8||Toyota Motor Corp||$0.88||2.66%||2.70%|
|9||Astellas Pharma Inc||$0.75||2.56%||2.60%|
Sources: WisdomTree, S&P
Holdings subject to change.
*The WisdomTree Japan Dividend Index is typically reconstituted annually in June, at which time each component's weight is adjusted to reflect its dividend-weighting. The Index had a special reconstitution after the close of trading on November 30, 2012 to reflect a change in the methodology. Companies in the Japan Dividend Index with greater than 80% of their revenue coming from Japan were no longer eligible for inclusion and thus removed from the index at respective weights at that point in time. The maximum weight of any individual security in the Japan Dividend Index is capped at 5% at the date of rebalance. The weight column contains the weights of securities before the 5% cap is applied and the final weight column displays the weights with the 5% cap.
The weights may fluctuate above the specified caps during the year, but will reset at each annual rebalance date.
**Dividend Amounts as of 5/31/2012