WisdomTree, A Leading Provider of ETFs, lists the ISEQ 20® UCIT on the Irish Exchange
Monday 20th April '15
Hector McNeil, Co-CEO
- WisdomTree ISEQ 20® ETF (WTIE) begins trading on the Irish Stock Exchange
- TER of 0.49% with an initial launch AUM of circa. 29m EUR
Dublin, 20 April 2015: WisdomTree, an exchange-traded fund (“ETF”) and exchange-traded product (“ETP”) sponsor, announced the listing of the ISEQ 20® UCITS ETF on the Irish Stock Exchange, concurrent to WisdomTree’s merger with the original ISEQ 20® ETF (IETF).
Hector McNeil, Co-CEO of WisdomTree Europe commented on the launch:
“The ISEQ 20® is a unique product on the Irish market providing both Irish and international investors with an opportunity for exposure to a fund tracking the 20 leading ISE quoted Irish companies. This is the only ETF of its kind listed within Europe. WisdomTree Europe sees great potential in merging the funds and making an attractive product available to a wider investor pool. The new WisdomTree ISEQ 20® UCITS ETF should provide additional benefits to investors including greater liquidity as the ISEQ 20® will now be available through more than 20 Authorised Participants (AP) and Market Makers (MMs) while being managed by the world’s sixth largest ETF provider.”
Viktor Nossek, Director of Research at WisdomTree Europe had this to say on the local economy:
“Ireland’s tough austerity and reform agenda is paying off. On the back of improved economic growth and stabilised financial system, Ireland’s budget deficit is set to shrink to within the 3% EU limit.
Investor Sentiment in Irish equities is upbeat, with the ISEQ 20® - the Irish equity benchmark containing the 20 largest stocks on the Irish Stock Exchange - having tripled its value since 2009.
With Ireland’s domestic demand rebounding, its exports strengthening and its banking sector restructured, the foundations have been laid for the ISEQ 20® to benefit from broad-based support of industrial, consumer and financial stocks and potentially sustain the strong performance longer term.”
Brian Healy, Director of Traded Markets, Development, Operations at the Irish Stock Exchange commented:
“We are delighted that WisdomTree, a leading global ETF and ETP player and proven innovator, sees the potential of the ISEQ 20® ETF given the very strong underlying index returns in recent years. With a low and competitive TER, enhanced distribution and deeper liquidity the WisdomTree ISEQ 20® UCITS ETF will provide a further avenue for cost-effective, diversified access to the Irish market for domestic and international investors. The ISE was the catalyst for the creation of the original ISEQ 20® ETF and has always been convinced of the fundamental advantages this unique product can provide to investors and other participants in the Irish market.”
The ISEQ 20® Index is a market-cap weighted index representing the 20 most liquid and largest companies quoted on the Irish Stock Exchange. On 17 April 2015, the merger was completed between WisdomTree and the original ISEQ 20® ETF, which was managed by Investec. WisdomTree, a leading international asset manager and world’s sixth largest ETF issuer, is bringing significant benefits to the merged ETF. The benefits will include:
- in practical terms, from an efficiency perspective, the merger of the funds has led to an initial reduction in the total expense ratio (“TER”) to 0.49%;
- greater liquidity and potentially tighter bid/offer spreads due to WisdomTree’s pool of over 20 APs and MMs and potentially greater AUM;
- the ISEQ 20® ETF being managed and promoted by an experienced and well established specialist ETF provider.
Notes to Editor
About WisdomTree Europe Ltd
WisdomTree Investments, Inc., through its subsidiaries in the U.S. and Europe, including WisdomTree Europe Ltd based in London, is an exchange-traded fund (“ETF”) and exchange-traded product (“ETP”) sponsor and asset manager. WisdomTree offers products covering equities, fixed income, currencies, commodities and alternative strategies. Through WisdomTree Europe Ltd, it sponsors WisdomTree UCITS ETFs and BOOST short and leverage ETPs. WisdomTree currently has approximately $61 billion (as of 16 April 2015) in assets under management globally. For more information, please visit www.wisdomtree.com.
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