WisdomTree International Hedged Quality Dividend Growth Fund (IHDG)

Overview

This investment fund focuses on leveraging the growth potential of dividend-paying stocks from industrialized countries outside of Canada and the United States. By investing at least 80% of its total assets in securities and similar economic investments within its target index, the fund aims to capitalize on the financial performance of selected companies. These companies demonstrate growth characteristics, making them appealing for the fund’s investment strategy. Additionally, the fund employs strategies to neutralize the impact of foreign currency fluctuations against the US dollar, thus mitigating one of the risks associated with international investing. It is important to note that the fund is non-diversified, meaning it may concentrate its investments in fewer sectors or securities than diversified counterparts, potentially increasing volatility or risk under certain market conditions.

Products and Services

• Investment in Index Constituent Securities - The fund commits at least 80% of its total assets to the constituent securities of its chosen index. These investments are selected based on their potential to replicate or come close to the economic characteristics of the index's constituent securities, focusing on dividend-paying companies with growth traits outside of Canada and the U.S.
• Investment in Economically Similar Instruments - Beyond direct index securities, the fund also looks for investment opportunities in financial instruments that have substantially identical economic characteristics to those of its index constituents. This approach allows for a broader scope in capturing the growth and dividend potential of international markets.
• Currency Fluctuation Neutralization Strategies - Given the international scope of its investments, the fund implements strategies designed to mitigate the risks posed by fluctuations in the value of foreign currencies relative to the US dollar. This is crucial for protecting the fund's value from adverse currency movements, which can detract from overall investment performance.
• Focus on Non-diversified Investments - Unlike diversified funds, this fund may invest a larger portion of its assets in a smaller number of sectors or securities. While this can lead to higher volatility, it also means the fund can potentially achieve greater gains by concentrating on specific areas that exhibit significant growth characteristics.