WisdomTree launched its first ETFs in June of 2006, pioneering the concept of fundamental weighting. WisdomTree sponsors distinct ETFs that span asset classes and countries around the world.
Top and Bottom Performers Expose Market Trends
We are firm believers of full transparency and periodically share our top- and bottom-performing strategies to both uncover market trends and show potential pockets of value.
We just launched a new way to help showcase, over various time periods, how our investment solutions have performed , with an interactive feature to change time periods and display both top and bottom performers overall or just for a particular asset class.
For those investors looking for positive momentum trends, the top performers can give an idea of what strategies are standing out, while contrarians and value investors might look for the bottom end of the range to see what has come under pressure.
Top 10 Performers Year-To-Date
During this time period, a number of emerging market–focused strategies have been top performers, including high-dividend emerging markets, broad emerging market dividends and emerging market small caps . The single top-performing Fund in the WisdomTree lineup is the WisdomTree Middle East Dividend Fund (GULF) —rising oil prices are supporting the regional markets, despite the fact that direct Energy sector exposure is limited in that region because the major oil companies are private.
In addition to emerging markets, we also see high-yield bonds with negative duration on the top-performers list, as well as a negative duration strategy performing well with the rise in long-term interest rates .
The WisdomTree U.S. Multifactor fund (USMF) also has shone through in 2018, with the best performance of WisdomTree equities strategies for the U.S. markets in early 2018.
Bottom Performers Year-to-Date
- On the bottom-performers list, we see lagging strategies focused on U.S. high-dividend stocks, where rising interest rates are putting pressure on some of the stocks sensitive to interest rates, such as in the Utilities and Consumer Staples sectors.
- Other bottom performers have been Japan-focused strategies, with the rising yen causing pressure on Japanese markets. This might be an area where valuations make this an attractive contrarian idea, particularly if you think the trends in interest rates might cause the yen’s strong performance to be temporary.
10 Years of Strong Performance
This new interactive performance chart can also showcase our strong performers going back a decade. In the 10 year view of the chart below, we see at the top of our list mid- and small-cap earnings strategies. What is interesting about these mid - and small-cap earnings strategies is that valuations are in 2018 still lower than large-cap equities generally. The price-to-earnings ratios for both strategies are between 13.5x and 15x on current estimated earnings, and the lower corporate tax rates should continue to support the more local economy for U.S. midcaps and small caps.
We encourage you to use this new interactive chart to keep tabs on what investment strategies stand out over various time periods—and we look forward to showcasing further features of these tools in the near future.
Access our top- and bottom-performing exchange-traded funds at any time here .
RSS Import: Original Source
Investors should carefully consider the investment objectives, risks, charges and expenses of the Funds before investing. U.S. investors only: To obtain a prospectus containing this and other important information, please call 866.909.WISE (9473), or click here to view or download a prospectus online. Read the prospectus carefully before you invest. There are risks involved with investing, including the possible loss of principal. Past performance does not guarantee future results.
You cannot invest directly in an index.
Foreign investing involves currency, political and economic risk. Funds focusing on a single country, sector and/or funds that emphasize investments in smaller companies may experience greater price volatility. Investments in emerging markets, real estate, currency, fixed income and alternative investments include additional risks. Due to the investment strategy of certain Funds, they may make higher capital gain distributions than other ETFs. Please see prospectus for discussion of risks.
WisdomTree Funds are distributed by Foreside Fund Services, LLC, in the U.S. only.