WisdomTree to Launch 4 Funds Tied to Jeremy Siegel's Insights
What You Need to Know
The funds, to be offered via mobile app, won’t invest in cryptocurrency.
They will keep secondary share records on blockchains.
WisdomTree filed preliminary prospectuses last week for four new funds that aim to build on insights from economist Jeremy Siegel, a Wharton School emeritus finance professor and WisdomTree consultant.
The funds are “blockchain-enabled” but won’t invest in assets, such as cryptocurrencies, that rely on blockchain technology.
The WisdomTree Siegel Global Equity Digital Fund, a passive index fund, seeks to track the performance, before fees and expenses, of the WisdomTree Siegel Global Equity Index, which comprises a diversified portfolio of U.S. and international equity ETFs and investments.
Typically, at least 80% of that fund’s assets will be invested in the index’s component securities. The index, in seeking relative market outperformance, focuses on including underlying funds that exhibit higher dividend yields, according to the Jan. 19 filing from WisdomTree Digital Trust.
WisdomTree maintains the index, which is governed by a “published, rules-based methodology” with a WisdomTree index committee. The committee will “leverage insights” from Siegel and has the authority to select and replace underlying funds within the parameters of the index methodology, the filing says.
WisdomTree Digital Trust registered six other digital funds the same day, including the WisdomTree Siegel Longevity Digital Fund, the WisdomTree Siegel High Income Digital Fund and the WisdomTree Siegel Moderate Digital Fund. The moderate portfolio is designed to correspond to a traditional 60% stock/40% bond allocation.
The prospectuses indicate the funds will have no service or shareholder fees. The minimum initial purchase is $25.
Per the prospectus, investors may set up an account with WisdomTree Digital or affiliate WisdomTree Securities through a mobile app, WisdomTree Prime, for which the firm currently has a waitlist.
