WisdomTree International Efficient Core Fund (NTSI)

ETF WisdomTree International Efficient Core Fund (EPI) Overview:

Profile:

EPI is an Exchange Traded Fund (ETF) that seeks to track the performance of the WisdomTree International Efficient Core Index. This index comprises high-quality, dividend-paying companies from developed countries outside the US. EPI broadly invests in various sectors, including financials, industrials, basic materials, consumer discretionary, and healthcare.

Objective:

The primary objective of EPI is to provide long-term capital appreciation and income through investments in international equities. It aims to achieve this by selecting stocks with strong fundamentals, attractive valuations, and consistent dividend growth potential.

Issuer:

The issuer of EPI is WisdomTree Investments, Inc. a global asset management firm with over $93 billion in assets under management (as of August 31, 2023).

Reputation and Reliability:

WisdomTree has a strong reputation in the ETF industry. It is known for its innovative and cost-effective ETF products. The firm has received numerous awards and recognitions for its products and services.

Management:

WisdomTree has a dedicated team of experienced portfolio managers and analysts responsible for overseeing EPI. The team has extensive experience in international equity markets and a proven track record in managing index-tracking strategies.

Market Share:

EPI has a market share of approximately 0.6% in the international developed markets equity ETF category.

Total Net Assets:

As of October 26, 2023, EPI has approximately $595 million in total net assets.

Moat:

EPI's competitive advantages include:

• Focus on quality: The ETF invests in companies with strong fundamentals and consistent dividend growth potential, reducing volatility and enhancing long-term performance.
• Cost-efficiency: EPI has a low expense ratio of 0.35%, making it one of the most affordable international equity ETFs available.
• Unique exposure: EPI provides access to a diversified portfolio of international developed market stocks, offering valuable diversification for investors' portfolios.

Financial Performance:

EPI has delivered competitive returns since its inception. It has outperformed its benchmark, the MSCI EAFE Index, in several periods.

Growth Trajectory:

The global economy is expected to continue its expansion, driving growth in international markets. EPI, with its focus on quality companies, is positioned to benefit from this growth.

Liquidity:

EPI has an average daily trading volume of over 200,000 shares. This makes it a highly liquid ETF, ensuring investors can easily buy and sell shares without significant price impact.

Market Dynamics:

Factors like global economic growth, interest rate changes, currency fluctuations, and geopolitical events can impact EPI's performance.

Competitors:

Key competitors of EPI include iShares Core MSCI EAFE ETF (IEFA), Vanguard FTSE Developed Markets ETF (VEA), and SPDR S&P 500 ETF (SPY).

Expense Ratio:

EPI has an expense ratio of 0.35%.

Investment Approach and Strategy:

EPI passively tracks the WisdomTree International Efficient Core Index. The index selects companies based on factors like earnings growth, cash flow, debt levels, and dividend payout ratios.

Key Points:

• EPI invests in high-quality international developed market equities.
• It aims for long-term capital appreciation and income through dividends.
• EPI has a low expense ratio and a strong track record.
• The ETF has a diversified portfolio and offers valuable exposure to international markets.

Risks:

• Market risk: EPI is subject to the general risks associated with equity markets, including volatility and potential losses.
• Currency risk: EPI invests in international companies, exposing it to currency fluctuations.
• Dividend risk: The amount of dividends received from EPI may vary depending on the performance of its underlying holdings.

Who Should Consider Investing:

EPI is suitable for investors seeking:

• Long-term capital appreciation and income through dividends.
• Exposure to high-quality international developed market equities.
• Diversification within their investment portfolio.

Fundamental Rating Based on AI:

8/10

EPI exhibits strong fundamentals thanks to its focus on quality, cost-efficiency, and unique exposure. Its track record is decent, and it is well-positioned for future growth. However, it remains exposed to market and currency risks, which investors should consider.

Disclaimer:

This information is for educational purposes only and should not be considered investment advice. It is essential to do your research and consult with a financial professional before making investment decisions.