WisdomTree International SmallCap Dividend Fund (DLS)

ETF WisdomTree International SmallCap Dividend Fund (DLS)

Profile

DLS is an exchange-traded fund (ETF) that invests in small-cap stocks of companies located in developed countries outside the United States. The fund seeks to provide investors with exposure to a diversified portfolio of international small-cap stocks that pay dividends. DLS tracks the WisdomTree International SmallCap Dividend Index.

Objective

The primary investment goal of DLS is to generate income in the form of dividends while providing capital appreciation through exposure to a diversified portfolio of international small-cap stocks.

Issuer

WisdomTree Investments

Reputation and Reliability:

WisdomTree Investments is a global asset management firm with a strong reputation for innovation and product development. They are known for their expertise in thematic and strategic index investing.

Management:

The management team at WisdomTree has extensive experience in the financial services industry and a deep understanding of international markets.

Market Share

DLS has a market share of approximately 0.03% in the international small-cap dividend ETF sector.

Total Net Assets

The total net assets under management for DLS are approximately $171.8 million as of November 7, 2023.

Moat

DLS's competitive advantages include:

• Focus on dividend-paying stocks: DLS's focus on dividend-paying stocks provides investors with a steady stream of income.
• International diversification: DLS's exposure to international small-cap stocks helps to diversify portfolios and reduce risks associated with any single country.
• Cost-effective: DLS's expense ratio is relatively low compared to other similar ETFs.

Financial Performance

Historical Performance:

DLS has generated an annualized total return of 6.39% over the past 3 years.

Benchmark Comparison:

DLS has outperformed its benchmark index, the MSCI EAFE Small Cap Value Index, over the past 3 years.

Growth Trajectory

The growth trajectory for DLS is positive, driven by the increasing demand for dividend-paying stocks and the strong performance of international small-cap stocks.

Liquidity

Average Trading Volume:

The average daily trading volume for DLS is approximately 10,000 shares.

Bid-Ask Spread:

The bid-ask spread for DLS is typically around 0.05%.

Market Dynamics

Factors affecting DLS's market environment include:

• Global economic growth: Strong economic growth in developed countries can positively impact international small-cap stocks.
• Interest rates: Rising interest rates can make dividend-paying stocks less attractive to investors.
• Market volatility: Increased market volatility can lead to higher trading costs and lower liquidity for DLS.

Competitors

• iShares International Small-Cap Dividend ETF (SCZ) - Market share: 0.12%
• Vanguard International Small-Cap Dividend ETF (SDVY) - Market share: 0.10%

Expense Ratio

DLS has an expense ratio of 0.38%.

Investment Approach and Strategy

Strategy:

DLS tracks the WisdomTree International SmallCap Dividend Index, which consists of small-cap companies from developed countries outside the United States that pay dividends.

Composition:

DLS invests in a diversified basket of stocks across various sectors, including financials, industrials, and consumer discretionary.

Key Points

• Focus on dividend-paying international small-cap stocks
• Diversification across countries and sectors
• Low expense ratio
• Strong historical performance

Risks

• Volatility: DLS is subject to market volatility, which can lead to fluctuations in its price.
• Market risk: DLS's returns are dependent on the performance of international small-cap stocks, which can be more volatile than large-cap stocks.
• Currency risk: DLS is exposed to currency risk due to its investments in international stocks.

Who Should Consider Investing

DLS is suitable for investors who:

• Seek income in the form of dividends
• Want exposure to international small-cap stocks
• Have a long-term investment horizon
• Are comfortable with a higher level of risk

Fundamental Rating Based on AI

Based on an AI-based analysis of DLS's financial health, market position, and future prospects, the fund receives a 7 out of 10 rating. This rating is based on factors such as:

• Strong historical performance
• Diversified portfolio
• Experienced management team
• Competitive fees
• Positive market outlook

Resources and Disclaimers

• WisdomTree Investments website: https://www.wisdomtree.com/
• DLS fact sheet: https://www.wisdomtree.com/etfs/dls
• Morningstar DLS profile: https://www.morningstar.com/etfs/dls
• iShares International Small-Cap Dividend ETF (SCZ) profile: https://www.ishares.com/us/products/251884/ishares-international-small.-cap-dividend-etf
• Vanguard International Small-Cap Dividend ETF (SDVY) profile: https://investor.vanguard.com/etf/profile/overview/sdvy

Disclaimer:

This information is for educational purposes only and should not be considered investment advice. Please consult with a financial professional before making any investment decisions.