at WisdomTree
WisdomTree is committed to the continued evolution and improvement of our product offering. In our view, Environmental, Social and Governance (ESG) represents a marked shift in investor sentiment and it is our responsibility to reflect this in our investments.
At WisdomTree, we have observed ESG concerns being front of mind for the majority of our investors. We share these concerns as being fundamentally aligned with our own and have taken the step to align our proprietary equity indices with these views through the use of exclusion criteria. Over time, our ESG approach will evolve, however, we strongly believe that ESG principles need be addressed holistically and not simply applied to a subset of impact investments only. Investors need ESG partners, not simply ESG products, and WisdomTree is committed to building a business focused on delivering the best solutions for our investors.
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How do you decide the exclusion list?
ESG means different things to different people, and there is no single ESG policy that we have seen that satisfies all clients. In fact, our research reveals that 71% of advisors in Europe believe their clients have a mixed and inconsistent idea of what ESG means to them1. We have a responsibility to reflect investors' interests and we have determined that a strong consensus exists amongst our clients that specific sets of companies should be divested from, because of their negative impact on society or the environment.
This currently includes controversial weapons, tobacco products, and thermal coal. Companies with significant involvement in these activities will be excluded from our investable universe.
By leveraging ESG ratings and controversy metrics from the industry-leading data provider Sustainalytics, we aim to ensure that the ESG metrics we rely on are as unbiased and robust as possible. These exclusions will be reviewed on a periodic basis and updated where required. Additionally, we will remove companies that are deemed non-compliant with the UN Global Compact Principles which include considerations on human rights, labour, corruption and the environment.
Furthermore, companies that are in breach of United Nations (UN) sanctions are also excluded from our investment universe. When a company is added to the exclusion list, no further investment may be made in the company, but existing holdings may be retained for a period of time to facilitate orderly divestiture.
1 Source: WisdomTree, Market Survey by Core Data Research, September 2020

Please see below a timeline of notable ESG activity we have undertaken:
- In 2019, we achieved UN Principles for Responsible Investment (UNPRI) signatory status.
- In early 2020, we began addressing sustainability questions on our gold product range and we are moving towards all WisdomTree physically-backed Exchange Traded Commodities (ETCs) being made up of 100% Post-2012 gold bars, which is the current London Bullion Market Association (LBMA) market standard for ethically sourced gold bars.
- ESG exclusions across our UCITS equity Exchange Traded Funds (ETFs) tracking proprietary WisdomTree indices will become effective on the index rebalancing date
Products with ESG Exclusions:
| Fund Name | Share Class | Ticker | Rebalancing Date |
|---|---|---|---|
| WisdomTree US Quality Dividend Growth UCITS ETF | WisdomTree US Quality Dividend Growth UCITS ETF - USD Acc | DGRA | 18/12/2020 |
| WisdomTree US Quality Dividend Growth UCITS ETF - USD | DGRW | ||
| WisdomTree US Equity Income UCITS ETF | WisdomTree US Equity Income UCITS ETF | DHS | 18/12/2020 |
| WisdomTree US Equity Income UCITS ETF - Acc | DHSA | ||
| WisdomTree US Equity Income UCITS ETF - GBP Hedged Acc | DHSG | ||
| WisdomTree US Equity Income UCITS ETF - EUR Hedged Acc | DHSF | ||
| WisdomTree Japan Equity UCITS ETF | WisdomTree Japan Equity UCITS ETF - USD Hedged | DXJ | 05/11/2020 |
| WisdomTree Japan Equity UCITS ETF - USD Hedged Acc | DXJA | ||
| WisdomTree Japan Equity UCITS ETF - GBP Hedged | DXJP | ||
| WisdomTree Japan Equity UCITS ETF - CHF Hedged Acc | DXJD | ||
| WisdomTree Japan Equity UCITS ETF - EUR Hedged Acc | DXJF | ||
| WisdomTree Japan Equity UCITS ETF - JPY Acc | DXJZ | ||
| WisdomTree Europe SmallCap Dividend UCITS ETF | WisdomTree Europe Small Cap Dividend UCITS ETF | DFE | 05/11/2020 |
| WisdomTree Europe SmallCap Dividend UCITS ETF - Acc | DFEA | ||
| WisdomTree Europe Equity UCITS ETF | WisdomTree Europe Equity UCITS ETF - USD Hedged | HEDJ | 05/11/2020 |
| WisdomTree Europe Equity UCITS ETF - USD Hedged Acc | HEDK | ||
| WisdomTree Europe Equity UCITS ETF - GBP Hedged | HEDP | ||
| WisdomTree Europe Equity UCITS ETF - CHF Hedged Acc | HEDD | ||
| WisdomTree Europe Equity UCITS ETF - EUR Acc | HEDF | 05/11/2020 | |
| WisdomTree Emerging Markets SmallCap Dividend UCITS ETF | WisdomTree Emerging Markets Small Cap Dividend UCITS ETF | DGSE | 22/10/2020 |
| WisdomTree Emerging Markets Equity Income UCITS ETF | WisdomTree Emerging Markets Equity Income UCITS ETF | DEM | 22/10/2020 |
| WisdomTree Emerging Markets Equity Income UCITS ETF - Acc | DEMR | ||
| WisdomTree UK Equity Income UCITS ETF | WisdomTree UK Equity Income UCITS ETF | WUKD | 05/11/2020 |
| WisdomTree Global Quality Dividend Growth UCITS ETF | WisdomTree Global Quality Dividend Growth UCITS ETF - USD Acc | GGRA | 22/10/2020 |
| WisdomTree Global Quality Dividend Growth UCITS ETF - USD | GGRW | ||
| WisdomTree Eurozone Quality Dividend Growth UCITS ETF | WisdomTree Eurozone Quality Dividend Growth UCITS - EUR Acc | EGRA | 05/11/2020 |
| WisdomTree Eurozone Quality Dividend Growth UCITS ETF - EUR | EGRW | ||
| WisdomTree Europe Equity Income UCITS ETF | WisdomTree Europe Equity Income UCITS ETF | EEI | 05/11/2020 |
| WisdomTree Europe Equity Income UCITS ETF Acc | EEIA | ||
| WisdomTree Battery Solutions UCITS ETF | WisdomTree Battery Solutions UCITS ETF USD Acc | VOLT | 20/11/2020 |
We will continue to address ESG factors across our product range and work with investors to ensure we continue to offer meaningful, best in class investment choices.