WisdomTree U.S. Multifactor Fund

The fund seeks to replicate the price and yield performance of the benchmark index, before fees and expenses, by investing in companies in the United States.

The sub-adviser’s investment process starts with a list of companies in the benchmark index and the research team utilizes quantitative techniques and fundamental analysis to identify investment opportunities.

As part of its strategy, the fund employs a passive management or indexing investment approach that is designed to track the performance of the Index.

The Index is generally comprised of 200 U.S. companies with the highest composite scores based on two fundamental factors (value and quality measures) and two technical factors (momentum and correlation).

Next, the research team invests significantly in component securities of the Index and investments that have economic characteristics that are substantially identical to the economic characteristics of such component securities.

In addition, the research team employs a representative sampling strategy, which means that the fund will hold a portfolio of securities with generally the same risk and return characteristics of the Index.

Then the manager constructs a portfolio of stocks from a list of companies favored by the research team and allocates capital based on its conviction level.

To the extent that the Index concentrates 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.