WisdomTree is an innovative ETF sponsor, index developer, and asset manager that uses its own fundamentally weighted index methodology. They also license their indexes to third parties for proprietary products and offer a platform to promote the use of WisdomTree ETF’s in 401(k) plans.
For a lot of people, understanding stock market and index terminology can be confusing and sometimes overwhelming. But being aware of organizations, such as WisdomTree, gives you great leverage into figuring out more about how to utilize your money to make you more money.
From the WisdomTree website, ETFs are “are index funds whose shares are listed on a stock exchange and traded like equity securities at market prices. ETFs allow investors to buy or sell shares of a fund that represents the collective performance of a selected group of securities. ETFs are designed to add the flexibility, ease and liquidity of stock trading to the benefits of traditional index-fund investing.”
Most ETFs today are cap weighted, meaning they buy as stock prices go up and sell as they go down. WisdomTree believes this as a structural flaw and governs indexes to help refrain from such methods, in order to truly value a stock instead of overweighing overvalued stocks and underweighting undervalued stocks.
With a strong team of senior executives from leading firms across the financial services industry and supported by seasoned advisors Michael Steinhardt and Jeremy Siegel, who serve as Chairman and Senior Advisor, respectively. WisdomTree provides an ETF Pioneer-Innovative product line with strong traction in one of the fastest growing segments of the asset management industry.
This is only the tip of the iceberg in learning what WisdomTree can do for your stock portfolio as an ETF index, learn more by visiting their website at http://www.wisdomtree.com