Launched on June 16, WisdomTree Investments’ family of ETFs tracks WisdomTree’s proprietary indexes of dividend-paying companies. The fund family weights stocks in the index by dividend instead of the traditional method of market capitalization.
IBD explains that a company’s per-share dividend is multiplied by the number of outstanding shares. That number, the total cash paid by that company to its shareholders, is the company’s weight to the WisdomTree index.
It is an interesting concept. Remember that you need to be diversified because one segment of an asset class may do well for several years and then be taken over by another area (dividend-paying versus growth as an example) and no one knows when that will occur and for how long it will last.
These blog entries are not a recommendation for any particular financial asset or company but to inform you of what types of ooportunities and strategies exist in the marketplace. You must evaluate the fund prospectus thoroughly and understand what these products risks and objectives are and whether they fit into your asset allocation model. You do have an asset allocation model, right?
An Introduction
Hi. Welcome to BourGroup and my blog. Phil
Phil Bour is a CERTIFIED FINANCIAL PLANNER(tm) professional since 2004, a Magna Cum Laude college graduate and an accounting professional for over 35+ years. I love numbers, statistics and economic history.
I am also an Enrolled Agent (EA) to represent taxpayers before the Internal Revenue Service and to prepare tax returns.
"Phil"osophy: I believe that you can manage your money on your own (not necessarily through individual stock selection but through mutual funds, ETF's and other solutions) once you receive some one-time, professional guidance. Why pay annual fees when there may be little added value? For additional information, first read the "An Introduction" label at the left. Then move on to others.
Phil Bour is a CERTIFIED FINANCIAL PLANNER(tm) professional since 2004, a Magna Cum Laude college graduate and an accounting professional for over 35+ years. I love numbers, statistics and economic history.
I am also an Enrolled Agent (EA) to represent taxpayers before the Internal Revenue Service and to prepare tax returns.
"Phil"osophy: I believe that you can manage your money on your own (not necessarily through individual stock selection but through mutual funds, ETF's and other solutions) once you receive some one-time, professional guidance. Why pay annual fees when there may be little added value? For additional information, first read the "An Introduction" label at the left. Then move on to others.