Thu, Oct. 1, 12:22 PM
- It was just over a month ago when Citi turned from bull to bear on WisdomTree (WETF -5.8%), without stopping at neutral. That downgrade to Sell from Buy came with a price target of $15.
- The stock having more or less hit that target, Citi cuts it further to $12. Also cut are earnings forecasts, with Citi's for Q3, 2016, and 2017 now below consensus by 10%, 19%, and 20%, respectively.
- Cyclical pressure could result in additional hedged currency outflows, overwhelming growth elsewhere, says Citi, and competition in the Smart Beta space is heating up, calling into question growth and scarcity value assumptions.
- via HiddenGemTrader
- Previously: Another Goldman ETF opens for business (Oct. 1)
Mon, Sep. 21, 9:53 AM
- Morgan Stanley throws in the towel on Wisdom Tree Investments (WETF +1.6%), downgrading from Overweight to Equal Weight.
- The team also cuts Waddell & Reed (WDR +0.6%) and Janus Capital (JNS flat) to Underweight from Equal Weight.
- All three are lower somewhere in the area of 20% over the last three months.
Thu, Sep. 3, 12:04 PM
- Speaking at his post-meeting press conference, ECB President Mario Draghi said no "immediate" boost to QE was discussed at today's policy gathering, but he reiterated the bank's willingness to act if necessary.
- The ECB did boost the percentage of any single issue of bonds it can buy to 33% from 25%.
- Up ahead of Draghi, European stocks added to gains, with the Stoxx 50 closing higher by 2.2%. Flat ahead of Draghi, the euro sunk 1.1% to $1.1104.
- Germany (NYSEARCA:EWG) +2.7%, France (NYSEARCA:EWQ) +2.2%, Italy (NYSEARCA:EWI) +2.5%, Spain (NYSEARCA:EWP) +1%, U.K. (NYSEARCA:EWU) +1.9%.
- Enjoying the strong dollar today is the leader in currency-hedged ETFs, WisdomTree (WETF +3.1%).
Thu, Aug. 27, 1:21 PM
- Attributing the sharp pullback in WisdomTree (WETF +9.2%) to transitory macro volatility, Jefferies' Surinder Thind says this is the same high growth potential company today as it was one week ago, only now with a better price.
- The outlook for a strong dollar (which benefits WETF's lineup of currency-hedged ETFs) and rising rates remains intact, says Thind.
- Thind calls the recent insider sales non-events as they were due to personal circumstances. He notes CEO Jonathan Steinberg has sold nothing of late.
- Previously: WisdomTree lower on two-notch Citi downgrade (Aug. 26)
Wed, Aug. 26, 10:00 AM
- After the carnage of the last few sessions, it takes some stones to lob in a downgrade today, and indeed there are only a small handful of them.
- One is for WisdomTree (WETF -4.5%) which is cut all the way from Buy to Sell by Citigroup's William Katz. The new price target of $15 represents 20x Katz's 2016 EPS estimate.
- "The flow story is deteriorating and lead indicators are softening rapidly," says Katz, and the rapid AUM decline and elevated spending means margin pressures are at hand. Also noted is a quicker pace of management stock sales.
Fri, Jul. 31, 8:46 AM
Fri, Jul. 31, 7:06 AM
Thu, Jul. 30, 5:30 PM
Thu, Jul. 23, 12:56 PM
- "Unless you have strong view on a currency and are good at market timing, [the 50/50 strategy] is the hedge of least regret," IndexIQ founder Adam Patti tells Barron's.
- Currency-hedged ETFs are all the rage, and IndexIQ's new trio of entrants tweaks the model somewhat in that they're all 50/50 hedged/unhedged.
- The three: The IQ 50 Percent Hedged FTSE International ETF (HFXI), the IQ 50 Percent Hedged FTSE Europe ETF (HFXE), and the IQ 50 Percent Hedged FTSE Japan ETF (HFXJ).
- This month alone there have been 15 new currency-hedged ETFs hitting the market as providers aim to take a piece of the lucrative pie currently dominated by WisdomTree (NASDAQ:WETF).
Tue, Jul. 21, 10:33 AM
- The WisdomTree (NASDAQ:WETF) Strong Dollar U.S. Equity Fund (USSD) seeks to minimize exposure to companies with significant revenue from exports vulnerable to a strengthening dollar. The WisdomTree Weak Dollar U.S. Equity Fund (USWD) looks to maximize exposure to exporters which might benefit from a weakening greenback.
- Each fund has an expense ratio of 0.33%.
- Source: Press Release
Thu, Jul. 16, 9:33 AM
- WisdomTree (NASDAQ:WETF) last week added to its suite of currency-hedged funds with the WisdomTree International Hedged Equity Fund (HDWM), which offers the same strategy as the nine-year old DEFA Fund (NYSEARCA:DWM), but without currency risk.
- The WisdomTree Barclays U.S. Aggregate Bond Enhanced Yield Fund (AGGY) targets a yield-enhanced approach to the Barclays U.S. Aggregate Index (ETF: AGG).
- Source: Press release
Thu, Jun. 25, 11:01 AM
- Mostly known for its suite of leveraged products, ProShares gets into the hot currency-hedged sector with its Hedged FTSE Europe ETF (HGEU) and its Hedged FTSE Japan ETF (HGJP).
- The expense ratios are 0.27% and 0.23%, respectively, versus an average expense ratio for currency-hedged European stock ETFs of 0.56% and 0.48% for similar Japan funds (according to ProShares). There are $47B in assets in currency-hedged ETFs, and WisdomTree's (NASDAQ:WETF) Europe Hedged Equity ETF (NYSEARCA:HEDJ) and its Japan Hedged Equity ETF (NYSEARCA:DXJ) are the most notable, with nearly $40B in AUM between them.
- Previously: State Street gets into currency-hedged ETFs (June 10)
- See also: Leverage comes to currency-hedged ETFs (June 25)
- ETFs: DXJ, EWJ, VGK, FEZ, HEDJ, IEV, EPV, EZU, DBJP, NKY, FEU, EZJ, JEQ, EEA, JPNL, EURL, EWV, FEP, UPV, DBEU, HEWJ, ITF, ADRU, HEZU, FEEU, JPP, IEUR, FIEU, FJP, DBEZ, FEUZ, SBEU, HFEZ
Mon, Jun. 22, 12:11 PM
- Still liking WisdomTree's (WETF -0.2%) prospects, but noting a reduced risk/reward profile after a 31% gain YTD (and 80% Y/Y). KBW's Robert Lee downgrades to Market Perform from Outperform.
- The company's growth at this time remains heavily leveraged to the success of its currency-hedged strategies, says Lee, and AUM as of $62.5B is below his quarter-end estimate.
- Citi's William Katz reiterates his Buy rating, but says the stock could be in for a choppy period given "mixed U.S. dollar dynamics."
Thu, Jun. 11, 10:00 AM
- WisdomTree (NASDAQ:WETF) taps the expertise of Western Asset Management for the WisdomTree Western Asset Unconstrained Bond Fund (UBND). The net expense ratio is 0.55%.
- The unconstrained strategy tries to allow fund managers to stray away from traditional benchmarks, and hopefully avoid areas of overvaluation and poor risk-reward tradeoffs.
- Source: Press Release
Wed, Jun. 10, 3:18 PM
- The SPDR Euro Stoxx 50 Currency Hedged ETF (Pending:HFEZ) is the cousin to State Street's (NYSE:STT) $5B SPDR Euro Stoxx ETF (NYSEARCA:FEZ).
- For now, including a fee waiver, State Street's offering has an expense ratio of 0.32% (slated to rise to 0.61% in 18 months) versus WisdomTree's (NASDAQ:WETF) industry leader, the WisdomTree Europe Hedged Equity Fund (NYSEARCA:HEDJ) at 0.58%, the iShares Currency Hedged MSCI EMU ETF (NYSEARCA:HEZU) at 0.51%, and Deutsche's X-trackers MSCI Europe Hedged Equity ETF (NYSEARCA:DBEU) at 0.45%.
- Source: Barron's
Wed, Jun. 10, 9:15 AM
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