WisdomTree Digital Funds are a big step forward in the next evolution of investing,
and the exciting future of finance.
What exactly is a digital fund?
Digital funds, which we also refer to as blockchain-enabled funds, offer a way for investors to track traditional investment assets where the investor’s ownership of digital fund shares is maintained on blockchain as a secondary record, which is truly a novel characteristic for registered investment funds. Digital funds provide access to a broad range of exposures, from equities to fixed income, and while they have a blockchain component, they do not invest in cryptocurrencies.
We structured our Digital Funds to meet the standards of registered products
WisdomTree’s Digital Funds are open-end mutual funds registered with the SEC under the 1940 Act, which means they are governed by the same high standard of rules and regulations, and required financial disclosures, as other U.S. SEC-registered investment products. The assets of the Digital Funds are held in a segregated custody account, and the Digital Funds are overseen by a Board comprised of a majority of independent trustees. For our suite of U.S. Treasury Digital Funds, the underlying assets are backed by the full faith and credit of the U.S. government. This means they do not have the same level of counterparty risk as other fixed income assets; however, they may have other risks, which are disclosed.
Over the past 20+ years at WisdomTree, we’ve developed ETFs and ETPs that improve the investing experience, and we see the utilization of blockchain technology as the next game-changer in asset management. As blockchain-enabled finance blooms, we see digital funds as setting the groundwork for a leap forward, with the potential in the future to improve liquidity, standardization, and transparency for retail investors.
Blockchain-enabled funds, available exclusively through the WisdomTree Prime app. This is the first time that WisdomTree products have ever been offered directly to financial consumers, signaling the start of a new era for investors and for the future of finance.
A natural evolution for investing—and for WisdomTree
Investors evolve. Fintech develops. WisdomTree innovates. We continue to develop smart new ways to improve the investor experience. In 2006, we launched with a big idea and an impressive mission—to create a better way to invest. This mission has been energizing us since day one, and we are continuing to strive to build the most innovative investment products for our customers. The next evolution of this vision includes the development of this new digital funds structure—because our core competencies and experience place us in a position to lead. Through our award-winning tools1, leading research team and SEC-regulated Digital Funds, we have been honing our skills and building upon our existing reputation to continue to lead in investing and be early movers in financial innovation, including blockchain-enabled finance. We’re excited to go there with you.
Meet our WisdomTree Digital Funds
New WisdomTree Digital Funds invest in traditional assets and offer investors a wide variety of exposures:
A snapshot of WisdomTree Digital Funds benefits:
- Low cost1
- Exposure to a range of major asset classes, including equities and fixed income
- Seamless access through a financial app, WisdomTree PrimeTM
- Each Digital Fund has specific strategic and investment objectives (see prospectus)
- A gateway to the potential benefits of blockchain-enabled finance. Blockchain enabled finance has the potential to facilitate spending, saving and investing to one fluid, seamless process
1An affiliated broker-dealer charges fees for facilitating transactions.