Not all dividend-paying stocks are alike. Value-screened dividend payers that consistently raise their yields saw strong returns in 2021 and 2022. Will the good times continue?
In the upcoming webcast, WisdomTree’s Original Idea and Value Investing for the 2020s: A Discussion featuring Professor Siegel, Jeremy Schwartz, Global Chief Investment Officer, WisdomTree Asset Management; Professor Jeremy Siegel, Senior Investment Strategy Advisor, WisdomTree Asset Management; and Jonathan Steinberg, Chief Executive Officer, WisdomTree Asset Management, will cover the benefits of rotating toward value, as well as how investors can find income in today’s unique market environment.
For instance, the WisdomTree U.S. Quality Dividend Growth Fund (NasdaqGM: DGRW) tracks the WisdomTree U.S. Dividend Index with market capitalization of at least $2 billion. The Index comprises the 300 companies in the WisdomTree U.S. Dividend Index with the best-combined rank of growth and quality factors. The growth factor ranking is based on long-term earnings growth expectations. In contrast, the quality factor ranking is based on three-year historical averages for return on equity and return on assets. The Index is dividend weighted annually to reflect the proportionate share of the aggregate cash dividends each component company is projected to pay in the coming year, based on the most recently declared dividend per share.
The WisdomTree US SmallCap Quality Dividend Growth Fund (DGRS) invests in small-cap U.S. equity companies that pay dividends and display growth characteristics and applies a quality and growth screen to securities. The fund seeks to track the WisdomTree U.S. SmallCap Quality Dividend Growth Index, a fundamentally weighted index based on dividend projections for the next year that screens U.S. small-cap companies for long-term earnings growth expectations, return on equity, and return on assets.
Additionally, for international exposure, investors can look to something like the WisdomTree International Quality Dividend Growth Fund (CBOE: IQDG). IQDG follows the WisdomTree International Quality Dividend Growth Index (WTIDG), which tracks the investment results of dividend-paying companies with growth characteristics in the developed world, excluding Canada and the United States.
Financial advisors who are interested in learning more about value investment ideas can register for the Wednesday, May 11 webcast here.