That results in an ETF dominated by consumer stocks (discretionary and staples combine for 38%) and to a lesser extent, energy at almost 15%. Apple (NasdaqGM: AAPL) is the largest member of the S&P 500, but in RWL, that stock is fourth behind Dow components Wal-Mart (NYSE: WMT), Exxon Mobil (NYSE: XOM) and Chevron (NYSE: CVX).
Three WisdomTree (NasdaqGM: WETF) ETFs were highlighted by Kiplinger’s. WisdomTree, the fifth-largest U.S. ETF sponsor, weighs many of its ETFs by the ability of the funds’ holding to grow and maintain dividends or, in the case of the WisdomTree MidCap Earnings Fund (NYSEArca: EZM) core earnings.
EZM focuses on core earnings “computed by Standard & Poor’s, as the weighting metric. Core Earnings is a standardized calculation of earnings developed by Standard & Poors designed to include expenses, incomes and activities that reflect the actual profitability of an enterprises ongoing operations,” according to WisdomTree. [Broad Market ETFs Hitting New Highs]
EZM is up 31.4% this year and has touched a series of record highs. The WisdomTree International SmallCap Dividend Fund (NYSEArca: DLS) and the WisdomTree Emerging Markets SmallCap Dividend Fund (NYSEArca: DGS) were also highlighted by Kiplinger’s. Those two funds have $2.55 billion in combined assets under management. Both weigh components by annual dividends paid.
RevenueShares Large Cap Fund
ETF Trends editorial team contributed to this post.