THIS IS WISDOMTREE
A Relentless Focus on Performance and Creating Better Ways to Invest

In 2006, WisdomTree launched with a big idea and an impressive mission — to create a better way to invest.

We believed investors shouldn’t have to choose between cost efficiency and performance potential, so we developed the first family of ETFs designed to deliver both. Our strategies combine the promise of active management, such as the potential of outperformance against a benchmark, with the benefits of passive management to create ETFs built for performance. WisdomTree has launched many first-to-market ETFs and pioneered alternative weighting methods commonly referred to as “smart beta.” But our ETFs are not beta, smart or otherwise—they are an investment innovation we call "Modern Alpha™".




What Is Modern Alpha™?

At WisdomTree, we believe investors shouldn’t have to choose between cost efficiency and performance potential. Modern Alpha™ combines the outperformance potential of active management with the benefits of passive management—to offer investors cost-effective funds that are built to perform.

The traditional active management, or “legacy alpha” can often carry higher cost, less transparency in your portfolio and the risk of human judgment. But it can also mean an outperformance potential. The traditional passive investing, or “legacy beta” usually offers lower cost, and more transparency and objectivity. But it doesn’t give investors the opportunity to potentially outperform the market. Modern Alpha™ combines the positives of each of the legacy investment approaches to enhance the investment experience.

 

*Ordinary brokerage commissions apply. Low cost represents lower expense ratio compared to higher priced investment options and ETFs.




The Benefits of Modern Alpha™

In an environment where investors demand more value for their money, where regulations increasingly concern investors best interests, and where fee pressure is growing, ETFs offer a number of advantages including lower fees, zero investment minimums, greater transparency, and more. Of course, not all ETFs are created equal.

WisdomTree’s Modern Alpha™ ETFs offer additional advantages, including the potential for:

  • Enhanced portfolio returns
  • Increased dividend income
  • Reduced portfolio volatility and risk
  • More efficient exposure to risk premiums
In Their Own Words
Jonathan Steinberg
CEO and President
WisdomTree Asset Management
Professor Jeremy Siegel
Senior Advisor
WisdomTree Asset Management
Michael Steinhardt
Michael Steinhardt
WisdomTree Investments, Inc.
Professor Jeremy Siegel and Jeremy Schwartz
Senior Advisor and Director of Research
WisdomTree Asset Management

Our Modern Alpha™ Family

Our Modern Alpha™ family of ETFs provides the potential to outperform in many ways.
Dividend-Weighted
Dividend-weighted ETFs magnify the effects dividends have on performance, providing the potential for more income, for strength during down markets, for enhanced returns and reduced risk, and for improved overall portfolio returns.
Learn More about Dividends
Earnings-Weighted
Earnings-weighted ETFs provide the potential to benefit from only profitable companies (many ETFs invest in unprofitable companies) and to lower the P/E ratio for the given market, helping to manage valuation risk and magnify the effects that earnings have on risk and return characteristics.
Learn More about Domestic Core Equity
Factor
Factor ETFs provide the potential to benefit from exposure to specific factors (risk premiums) that have been proven to drive returns.
Learn More about Multifactor
Currency Hedged
Currency-hedged ETFs provide the potential to reduce portfolio volatility and risk by either hedging currency risk altogether or hedging it dynamically—to avoid it when it might hurt returns and to capitalize on it when it might help returns.
Learn More about Currency Hedged Equity
Ex-State-Owned Enterprise
Ex-State-Owned Enterprise ETFs help avoid the state-owned companies in emerging markets that may not always have investor interests in mind, providing the potential to reduce risk and enhance returns.
Learn More about Ex-State Owned Enterprise
Fixed Income
Fixed income ETFs provide the potential to enhance yields, to reduce risk and to capitalize on local currency debt as well as the ability to manage risk, and more.
Learn More about Fixed Income
Alternative
Alternative ETFs enable investors to access sophisticated institutional strategies in the ETF format, providing the potential for enhanced returns, reduced risk and increased diversification.
Learn More about Alternative
Asset Allocation
Asset Allocation ETFs provide investors with one trade access to a diversified portfolio of equities and bonds. By gaining exposure via an ETF, investors can use these strategies as a core holding or as a complement to other diversifying assets. In addition to having no investment minimums, our asset allocation ETFs provide low fees, full transparency and daily liquidity*.
Learn More about Asset Allocation
Thematic
Thematic ETFs provide investors with targeted exposure to a specific secular or economic trend which allows for potentially higher risk-adjusted returns vs. broader-based strategies.
Learn More about Thematic


The Rules of Modern Alpha™

At WisdomTree, we believe in following rules—just not those set by others. We make our own rules and develop both our own Indexes and our own ETFs. But we do not innovate simply for innovation’s sake.

When considering whether to develop a new investment, we always ask the three following questions. If the answer to at least two of these criteria is not yes, we will not pursue the investment idea.

 

 

Is it a truly distinct investment?
Because we don’t believe in developing “me too” investments.
Does the strategy add value?
Because we want to offer unique access, a distinct way to reduce risk or a better way to achieve a goal.
Are we adding value through structure?
Because we want people to be able to access sophisticated strategies with all the advantages of ETFs.