The indomitable rise of the WisdomTree Europe Hedged Equity Fund (NYSEArca: HEDJ) continues as the exchange traded fund has officially joined the $10 billion in assets under management club.
Buoyed by year-to-date inflows of $4.34 billion as of Feb. 17, by far the best inflows of any ETF, HEDJ is a $10.6 billion ETF, underscoring a growth trajectory that has been nothing short of jaw-dropping. Roughly $9.4 billion of HEDJ’s current assets under management total has come into the ETF since the start of 2014. Last year, investors poured nearly $5.1 billion into the ETF, a number surpassed by just eight other ETFs. [Investors Keep Piling Into Euro Hedged ETF]
“There is uncertainty about the future of the euro and there could be more volatility to come. We believe this makes Europe an attractive place to neutralize currency exposure. A weakening euro may help boost the competitiveness of European exports, an element HEDJ seeks to take advantage of through its exporter tilt,” said WisdomTree Chief Investment Strategist Luciano Siracusano in a statement.
With its asset ascent, HEDJ is now the second-largest currency hedged ETF behind its stablemate, the WisdomTree Japan Hedged Equity Fund (NYSEArca: DXJ). Though overshadowed somewhat by euro hedged ETFs this year, DXJ and rival yen hedged ETFs have continued to capture fresh capital. DXJ is home to $13.2 billion in AUM after adding $1 billion year-to-date. [Good Deals With Japan ETFs]
HEDJ is close to adding another impressive accomplishment: Wresting the title of largest Europe ETF from the Vanguard FTSE Europe ETF (NYSEArca: VGK). The unhedged VGK has lost $781.6 million in assets this year, bringing its AUM total to $11.3 billion at the end of January.
Of the more than 1,400 ETFs (not including ETNs) trading in the U.S., HEDJ is just one of 50 to have $10 billion or more in assets.