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Is WisdomTree International Equity ETF (DWM) a Strong ETF Right Now?

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Launched on 06/16/2006, the WisdomTree International Equity ETF (DWM - Free Report) is a smart beta exchange traded fund offering broad exposure to the Broad Developed World ETFs category of the market.

What Are Smart Beta ETFs?

For a long time now, the ETF industry has been flooded with products based on market capitalization weighted indexes, which are designed to represent the broader market or a particular market segment.

Market cap weighted indexes offer a low-cost, convenient, and transparent way of replicating market returns, and are a good option for investors who believe in market efficiency.

But, there are some investors who would rather invest in smart beta funds; these funds track non-cap weighted strategies, and are a strong option for those who prefer choosing great stocks in order to beat the market.

These indexes attempt to select stocks that have better chances of risk-return performance, based on certain fundamental characteristics or a combination of such characteristics.

Methodologies like equal-weighting, one of the simplest options out there, fundamental weighting, and volatility/momentum based weighting are all choices offered to investors in this space, but not all of them can deliver superior returns.

Fund Sponsor & Index

DWM is managed by Wisdomtree, and this fund has amassed over $692.42 million, which makes it one of the average sized ETFs in the Broad Developed World ETFs. This particular fund seeks to match the performance of the WisdomTree International Equity Index before fees and expenses.

The WisdomTree International Equity Index is a fundamentally weighted Index that measures the performance of dividend-paying companies in the industrialized world, excluding Canada and the United States.

Cost & Other Expenses

Expense ratios are an important factor in the return of an ETF and in the long-term, cheaper funds can significantly outperform their more expensive cousins, other things remaining the same.

Annual operating expenses for DWM are 0.48%, which makes it on par with most peer products in the space.

It's 12-month trailing dividend yield comes in at 2.65%.

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.

Looking at individual holdings, Hsbc Holdings Plc (HSBA) accounts for about 1.74% of total assets, followed by Intesa Sanpaolo Spa (ISP) and Novartis Ag (NOVN).

Its top 10 holdings account for approximately 11.29% of DWM's total assets under management.

Performance and Risk

Year-to-date, the WisdomTree International Equity ETF has added roughly 13% so far, and was up about 20.62% over the last 12 months (as of 08/11/2026). DWM has traded between $64.60 $76.98 in this past 52-week period.

DWM has a beta of 0.66 and standard deviation of 14.08% for the trailing three-year period, which makes the fund a low risk choice in the space. With about 1420 holdings, it effectively diversifies company-specific risk .

Alternatives

WisdomTree International Equity ETF is a reasonable option for investors seeking to outperform the Broad Developed World ETFs segment of the market. However, there are other ETFs in the space which investors could consider.

iShares MSCI EAFE ETF (EFA) tracks MSCI EAFE Index and the iShares Core MSCI EAFE ETF (IEFA) tracks MSCI EAFE Investable Market Index. iShares MSCI EAFE ETF has $79.89 billion in assets, iShares Core MSCI EAFE ETF has $194.95 billion. EFA has an expense ratio of 0.32% and IEFA changes 0.07%.

Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Broad Developed World ETFs

Bottom Line

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.

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