Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, the WisdomTree Emerging Markets SmallCap Dividend Fund (DGS -0.08%) has earned a coveted five-star ranking.
With that in mind, let's take a closer look at DGS, and see what CAPS investors are saying about the ETF right now.
DGS facts
|
Inception |
October 2007 |
|
Total Assets |
$1.3 billion |
|
Investment Approach |
Seeks to track the price and yield performance of the WisdomTree Emerging Markets SmallCap Dividend Index. |
|
Expense Ratio |
0.64% |
|
Dividend Yield |
3% |
|
1-Year / 3-Year / 5-Year Annualized Returns |
23% / 7.6% / 5.4% |
|
Alternatives |
SPDR S&P Emerging Markets Small Cap (EWX 0.23%) WisdomTree Emerging Markets Equity Income (DEM 0.05%) iShares MSCI Emerging Markets Small Cap Index (EEMS 0.12%) |
Sources: Morningstar and Motley Fool CAPS.
On CAPS, 98% of the 199 members who have rated DGS believe the ETF will outperform the S&P 500 going forward.
Just last week, one of those Fools, Seattleldg, succinctly summed up the DGS bull case for our community:
Emerging market stocks seem unloved these days and on sale. I have been burned on several emerging market small cap companies so buying an ETF with a broader exposure seems more prudent. I like the dividend focus of this ETF. In countries with less than stellar accounting practices, dividends offer some insurance that these companies are legitimately earning what they claim. I also like the fact that this ETF is dividend weighted rather than cap weighted. Dividend weighting ensures that the ETF will have a value bent. The current 3% dividend yield is nice while we wait for world markets to improve. The expense ratio is 0.64% (in line with other similar emerging market ETFs).
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