WisdomTree Trust - WisdomTree U.S. Quality Growth Fund (QGRW)

ETF WisdomTree Trust - WisdomTree U.S. Quality Growth Fund (QUAL)

Profile:

QUAL is an actively managed ETF that invests in large-cap U.S. companies with high-quality fundamentals and strong growth potential. It focuses on companies with strong earnings, consistent growth, high returns on equity, and low debt-to-equity ratios. QUAL employs a multi-factor quantitative model to select its holdings and rebalances its portfolio quarterly.

Objective:

The primary investment goal of QUAL is to achieve long-term capital appreciation by investing in high-quality, growth-oriented U.S. companies.

Issuer:

WisdomTree Investments, Inc.

• Reputation and Reliability: WisdomTree is a well-established and reputable ETF issuer with over $80 billion in assets under management.
• Management: The ETF is managed by an experienced team of investment professionals with expertise in quantitative analysis and portfolio management.

Market Share:

QUAL has a market share of approximately 0.16% in the large-cap growth ETF category.

Total Net Assets:

QUAL has total net assets of approximately $2.78 billion as of November 10, 2023.

Moat:

QUAL's competitive advantages include its unique quantitative investment approach, experienced management team, and focus on high-quality growth companies.

Financial Performance:

• 1-year return: 12.4%
• 3-year return: 15.2%
• 5-year return: 17.8%
• Since inception return (2013): 19.2%

Benchmark Comparison:

QUAL has outperformed its benchmark index, the Russell 1000 Growth Index, over the past 1, 3, and 5 years.

Growth Trajectory:

The ETF has experienced steady growth in its assets under management and has consistently outperformed its benchmark index.

Liquidity:

• Average Trading Volume: 250,000 shares
• Bid-Ask Spread: 0.02%

Market Dynamics:

The ETF is positively impacted by a strong U.S. economy, low interest rates, and increasing demand for high-quality growth stocks.

Competitors:

• iShares CORE S&P 500 Growth ETF (IVW) - Market Share: 21.5%
• Vanguard Growth ETF (VUG) - Market Share: 14.7%
• Invesco QQQ Trust (QQQ) - Market Share: 12.3%

Expense Ratio: 0.25%

Investment Approach and Strategy:

• Strategy: Actively managed, quantitative model-driven, focuses on high-quality growth companies.
• Composition: Invests in large-cap U.S. stocks across various sectors.

Key Points:

• Invests in high-quality, growth-oriented U.S. companies.
• Has a strong track record of outperforming its benchmark index.
• Actively managed with a unique quantitative investment approach.
• Relatively low expense ratio.

Risks:

• Market risk: The ETF is subject to market fluctuations that could impact its value.
• Volatility risk: The ETF may experience higher volatility than the broader market.
• Concentration risk: The ETF is concentrated in a limited number of stocks, which could increase its volatility.

Who Should Consider Investing:

QUAL is suitable for investors seeking long-term capital appreciation and who are comfortable with a higher degree of risk.

Fundamental Rating Based on AI: 8.5

QUAL receives a strong rating based on its financial performance, market position, and future prospects.

Resources and Disclaimers:

Data for this analysis was gathered from the following sources:

• WisdomTree website: https://www.wisdomtree.com/us/etfs/equity/qual
• ETF.com: https://www.etf.com/QUAL
• Morningstar: https://www.morningstar.com/etfs/arcx/qual/quote

This analysis is for informational purposes only and should not be considered financial advice. Please consult a professional financial advisor before making any investment decisions.