WisdomTree Yield Enhanced Global Aggregate Bond Fund

C000204789 Fund Overview

WisdomTree Yield Enhanced Global Aggregate Bond Fund is a US mutual fund managed by WisdomTree Trust, categorised as Europe Equity. ABC INVEST provides holdings, performance, costs, cashflows, risk data, prospectus documents and SEC filings, sourced from SEC filings.

• Type: US mutual fund
• Manager: WisdomTree Trust
• Category: Europe Equity
• Assets under management: $5.36M
• SEC CIK: 0001350487
• SEC series ID: S000063172
• Share class ID: C000204789

C000204789 Investment Objective and Strategy

WisdomTree Yield Enhanced Global Aggregate Bond Fund describes its objective and strategy as follows, from its latest prospectus filed with the SEC by WisdomTree Trust.

Investment objective

The WisdomTree Yield Enhanced Global Aggregate Bond Fund (the “Fund”) seeks to track the price and yield performance, before fees and expenses, of the Bloomberg Barclays Global Aggregate Enhanced Yield Index (USD Hedged) (the “Index”).

Principal investment strategy

The Fund employs a passive management or indexing investment approach designed to track the performance of the Index. The Fund generally uses a representative sampling strategy to achieve its investment objective, meaning it generally will invest in a sample of the securities in the Index whose risk, return and other characteristics resemble the risk, return and other characteristics of the Index as a whole. Under normal circumstances, at least 80% of the Funds total assets (exclusive of collateral held from securities lending) will be invested in component securities of the Index and investments that have economic characteristics that are substantially identical to the economic characteristics of such component securities. The Fund may invest in exchange-traded funds (ETFs) that invest in the foregoing securities (each, an Underlying Fund).

Each Underlying Fund, which is expected to be advised by WisdomTree Asset Management or its affiliates, may constitute a substantial portion of the Funds assets. The Index is designed to broadly capture the global investment grade, fixed income securities market while seeking to (1) enhance yield within desired risk parameters and constraints, and (2) neutralize exposure to the fluctuations in the value of foreign currencies relative to U.S. dollars. The Index uses a rules-based approach to re-weight distinct subgroups of the Bloomberg Barclays Global Aggregate Index (the Global Agg Universe), with the aim of earning a higher yield while broadly maintaining the risk characteristics of the Global Agg Universe when hedged into U.S. dollars. The Global Agg Universe includes, but is not limited to, constituents from Europe, Asia Pacific, United States and Canada.

The subgroups identified within the Global Agg Universe reflect the different risk dimensions of investment grade securities, such as currency denomination, sector (asset class) exposure (i.e., treasuries, agency, credit, or securitized), interest rate risk (i.e., duration) and credit risk (i.e., spread). Each subgroup is defined and constructed to encompass a distinct investable exposure offering unique characteristics. The Index re-weights these subgroups based on a two-step process. First, the Index allocates weights between sectors of each major currency bucket of the Global Agg Universe, while adhering to the risk dimensions specified below relative to the applicable currency bucket. Second, the Index allocates weights between each major currency bucket to enhance the net yield of the Global Agg Universe.

Yield can typically be increased by shifting exposure along any of a number of these risk dimensions and re-weighting the subcomponents of the Global Agg Universe. Risk is quantified as tracking error of the Index against the market value weighted combination of the above components. Constituent securities in the Index include securities issued by sovereigns, other government-related entities and corporations, debt that is backed by both residential and commercial mortgages, and asset-backed securities. Each constituent security is publicly issued in global or regional financial markets, features a fixed rate coupon and has at least one year until final maturity. Securities with coupons linked to inflation and floating rate benchmarks are excluded from the Index as well as private placements and bonds with equity- like features, such as preferred and convertible securities.

The duration range of the Index is expected to be within one year of the duration of the Global Agg Universe. Historically, such universe has had a duration range between approximately four and eight years. Duration is a measure used to determine the sensitivity of a portfolio to changes in interest rates with a longer duration portfolio being more sensitive to changes in interest rates. For example, the value of a fund with a portfolio duration of eight years would be expected to drop by 8% for every 1% increase in interest rates. The Fund may invest up to 20% of its assets in other fixed income securities and/or such other investments that the Adviser and/or Sub-Adviser believe will help the Fund track the performance of the Index. To the extent the Index concentrates (i.e., holds 25% or more of its total assets) in the securities of a particular industry or group of industries, the Fund will concentrate its investments to approximately the same extent as the Index.

C000204789 Costs and Fees

C000204789 costs about $20 per $10,000 invested per year in fund expenses.

• Net expense ratio: 0.20%
• Gross expense ratio: 0.26%
• Portfolio turnover: 31%
• Brokerage commissions: 0.77 bps of average net assets (SEC N-CEN)

C000204789 Cashflows

Over the 12 months to 2020-05, WisdomTree Yield Enhanced Global Aggregate Bond Fund had net inflows of $2.65M, from monthly SEC N-PORT filings.

C000204789 Debt Constituents

No individual debt constituents are reported in WisdomTree Yield Enhanced Global Aggregate Bond Fund's latest SEC N-PORT filing.

C000204789 Prospectus and SEC Filings

Official WisdomTree Yield Enhanced Global Aggregate Bond Fund filings on SEC EDGAR — prospectus, portfolio holdings and annual reports.

• Prospectus (485BPOS) — filed 2020-01-16
• Prospectus (485BPOS) — filed 2018-11-26
• Prospectus supplement (497) — filed 2019-04-18
• Portfolio holdings (N-PORT) — filed 2020-07-23
• Portfolio holdings (N-PORT) — filed 2020-04-09
• Portfolio holdings (N-PORT) — filed 2020-01-28
• Annual census (N-CEN) — filed 2019-11-12

Related Funds

Other Europe Equity funds tracked on ABC INVEST:

• GraniteShares YieldBOOST MU ETF (MUYY)
• 21Shares Canton Network ETF (TCAN)
• Leverage Shares 2X Long AEHR Daily ETF (AEHG)
• Leverage Shares 2X Long AXTI Daily ETF (AXTL)
• T-Rex 2x Long Lite Daily Target ETF (LITU)

Data Sources

ABC INVEST compiles this page from public filings made to the U.S. Securities and Exchange Commission (SEC) through EDGAR: portfolio holdings and monthly cashflows from Form N-PORT, expenses and returns from fund prospectuses (Form 485BPOS) and the SEC DERA Risk/Return Summary data sets, annual data from Form N-CEN, and shareholder reports from Form N-CSR.