Designed to provide broad exposure to the Mid Cap Value segment of the US equity market, the WisdomTree U.S. MidCap ETF (EZM Quick QuoteEZM - Free Report) is a passively managed exchange traded fund launched on February 23, 2007.

The fund is sponsored by Wisdomtree. It has amassed assets over $819.27 million, making it one of the average sized ETFs attempting to match the Mid Cap Value segment of the US equity market.

Why Mid Cap Value

Mid cap companies, with market capitalization in the range of $2 billion and $10 billion, offer investors many things that small and large companies don't, including less risk and higher growth opportunities. These types of companies, then, have a good balance of stability and growth potential.

While value stocks have lower than average price-to-earnings and price-to-book ratios, they also have lower than average sales and earnings growth rates. When you look at long-term performance, value stocks have outperformed growth stocks in nearly all markets. But in strong bull markets, growth stocks are more likely to be winners.

Costs

When considering an ETF's total return, expense ratios are an important factor, and cheaper funds can significantly outperform their more expensive counterparts in the long term if all other factors remain equal.

Annual operating expenses for this ETF are 0.38%, putting it on par with most peer products in the space.

It has a 12-month trailing dividend yield of 1.3%.

Sector Exposure and Top Holdings

It is important to delve into an ETF's holdings before investing despite the many upsides to these kinds of funds like diversified exposure, which minimizes single stock risk. And, most ETFs are very transparent products that disclose their holdings on a daily basis.

This ETF has heaviest allocation to the Energy sector -- about -999900% of the portfolio. Industrials and Materials round out the top three.

Looking at individual holdings, Dreyfus Trsy Oblig Cash Mgmt Cl Ins accounts for about 67.99% of total assets, followed by Us Dollar and Aptiv Holdings Ltd (APTV).

The top 10 holdings account for about 107.17% of total assets under management.

Performance and Risk

EZM seeks to match the performance of the WisdomTree U.S. MidCap Earnings Index before fees and expenses. The WisdomTree U.S. MidCap Index is a fundamentally weighted index that measures the performance of earnings-generating companies within the mid-capitalization segment of the U.S. Stock Market.

The ETF has added about 8.98% so far this year and is up roughly 2.53% in the last one year (as of 12/08/2025). In the past 52-week period, it has traded between $51.81 and $67.46.

The ETF has a beta of 1.06 and standard deviation of 19.4% for the trailing three-year period, making it a medium risk choice in the space. With about 544 holdings, it effectively diversifies company-specific risk.

Alternatives

WisdomTree U.S. MidCap ETF carries a Zacks ETF Rank of 3 (Hold), which is based on expected asset class return, expense ratio, and momentum, among other factors. Thus, EZM is a good option for those seeking exposure to the Style Box - Mid Cap Value area of the market. Investors might also want to consider some other ETF options in the space.

The iShares Russell Mid-Cap Value ETF (IWS) and the Vanguard Mid-Cap Value ETF (VOE) track a similar index. While iShares Russell Mid-Cap Value ETF has $14.14 billion in assets, Vanguard Mid-Cap Value ETF has $19.74 billion. IWS has an expense ratio of 0.23% and VOE charges 0.07%.

Bottom-Line

Passively managed ETFs are becoming increasingly popular with institutional as well as retail investors due to their low cost, transparency, flexibility and tax efficiency. They are excellent vehicles for long term investors.

To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.