WPAIWisdomTree Physical AI, Humanoids and Drones UCITS ETF - USD Acc

The Index is designed to track the performance of companies involved in physical artificial intelligence (“Physical AI”) activities, which encompasses five key categories, including (i) humanoid robotics, (ii) drones and autonomous mobility, (iii) next-generation factories (smart manufacturing), (iv) next-generation logistics & supply chain robotics and (v) emerging applications of robotics (each a “Physical AI Category”).

The selection of companies within the Index is based on their involvement in Physical AI activities. Each Physical AI Category is assigned a score that reflects its relative importance within the overall Physical AI framework (the “Thematic Score”). The Thematic Score is set at 3, 2, or 1, reflecting high, medium, or low significance of each Physical AI category’s activities to the advancement of Physical AI.

Each selected company is assigned a relevancy score of 3, 2 or 1, reflecting high, medium, or low relevancy of the company’s involvement in Physical AI activities and significance of those activities for the progress of Physical AI (the “Relevancy Score”).

The Index is equally weighted, adjusted by the Relevancy Score and Thematic Score and subject to certain caps and criteria outlined in the Index methodology. A minimum of 25 stocks are selected for inclusion in the Index.

The Index was developed by WisdomTree, Inc. (“WT”). Companies must conduct their primary business activities in one of the developed or emerging countries outlined in the Index methodology. The Index further seeks to exclude companies that are involved in certain controversial weapons such as anti-personnel mines, cluster munitions, chemical and biological weapons, depleted uranium weapons and white phosphorus weapons and those that support nuclear weapons programmes to states outside the Treaty on the Non-Proliferation of Nuclear Weapons (commonly known as the Non-Proliferation Treaty or “NPT”).

The Index is rebalanced on a quarterly basis.