The phenomenal success of WisdomTree Japan Hedged Equity (NYSEArca: DXJ) has been a huge story in ETFs this year. However, WisdomTree Investments (NasdaqGM: WETF) also oversees a family of ETFs that take a different approach to popular dividend strategies.

The firm is “arguably the most innovative ETF provider out there,” writes Andres Cardenal for The Motley Fool.

“In the world of dividend investing, most people usually think about big companies in conservative sectors, and most dividend ETFs typically go in that direction,” Cardenal said. “But it sometimes pays to be creative, and dividend-weighted ETFs with a focus on smaller companies could be a better alternative in terms of generating superior returns in the long term.”

One example is WisdomTree Trust SmallCap Dividend Fund (NYSEArca: DES) which gives exposure to smaller company growth.

WisdomTree’s index methodology for its U.S.dividend family is notably different than a market-capitalization weighted approach: the company includes only dividend-paying companies in its universe, and weights these constituents based on their indicated dividend streams. [ETF Chart of the Day: U.S. Small-Cap Funds]

Dividend-focused indices usually feature large, mature companies that have a slower growth rate and a steady dividend payout. WisdomTree has developed fundamentally-weighted indices that breakout from the traditional market-cap approach. This allows the index focus to zero in on earnings or payouts rather than market capitalization. Some of the smallest companies have higher dividend payouts than the mature large-cap stocks. [Growth and Yield with Small-Cap Dividend ETFs]

Next page: More WisdomTree dividend ETFs