Western Union

ManpowerGroup

Polaris

Patterson Companies

Archrock

Victory Capital Holdings

LCI Industries

Marriott Vacations Worldwide

Federated Hermes

Inter Parfums

WisdomTree US Smallcap Quality Dividend Growth Fund

DGRS tracks a dividend-weighted index of US small-cap stocks with growth characteristics.

U.S. small-cap equities are outperforming large caps by more than 4% in Q4 2024, driven by pro-growth sentiment following Trump's election victory. The recent rebalance of the WisdomTree U.S. SmallCap Quality Dividend Growth Index boosted exposure to Consumer Discretionary and Financials while trimming lower-quality sectors like Health Care. WTSDG's valuation and quality metrics improved, offering nearly 14% expected earnings growth for 2025 at a forward price-to-earnings significantly lower than the S&P 500's.

Small Caps Surge: High-Quality Opportunities For 2025

The WisdomTree U.S. SmallCap Quality Dividend Growth ETF (DGRS) made its debut on 07/25/2013, and is a smart beta exchange traded fund that provides broad exposure to the Style Box - Small Cap Blend category of the market.

Is WisdomTree U.S. SmallCap Quality Dividend Growth ETF (DGRS) a Strong ETF Right Now?

Doubleline Fortune 500 Equal Weight ETF

There are a lot of conversations taking place these days around market outlooks for 2025. We at VettaFi hosted our 2025 Market Outlook Symposium this week, where we picked the brains of asset managers, investment strategists, and portfolio managers.

2 Equity Plays for Cautious Bulls in 2025

Global X Artificial Intelligence & Technology ETF

Avantis U.S. Small Cap Value ETF

JPMorgan BetaBuilders U.S. Small Cap Equity ETF

Invesco Bloomberg MVP Multi-factor ETF

Global X Cybersecurity ETF

Pacer US Cash Cows Growth ETF

Pacer US Small Cap Cash Cows 100 ETF

VictoryShares US Small Cap Volatility Wtd ETF

VictoryShares US Small Cap High Div Volatility Wtd ETF

Invesco S&P Spin-Off ETF

VictoryShares US Discovery Enhanced Volatility Wtd ETF

Invesco Zacks Mid-Cap ETF

Roundhill Deep Value

WisdomTree U.S. SmallCap Dividend Fund

The Xtrackers Russell US Multifactor ETF

Dimensional US Small Cap ETF

Invesco DWA SmallCap Momentum ETF

WisdomTree U.S. SmallCap Earnings Fund

Invesco Russell 1000 Equal Weight ETF

iShares ESG Aware MSCI USA Small-Cap ETF

WisdomTree U.S. MidCap Earnings Fund

The new year is poised for a resurgence in tech IPOs, as lower interest rates and an investor shift to small- and mid-cap companies combine to create a more welcoming market for debuts. The current environment presents the most favorable conditions for the recovery of IPOs in the past three years. The S&P 400 Midcap Index and the S&P 600 Index have outperformed the S&P 500 Index since the US election Nov. 5.

Tech IPOs Poised For Return To Pre-Pandemic Normalcy In 2025

WisdomTree U.S. SmallCap Quality Dividend Growth Fund (DGRS) focuses on small-cap dividend stocks with expected earnings growth and quality characteristics. DGRS is well-diversified across sectors and holdings, and shows good valuation, growth and return compared to the Russell 2000. Despite its strengths, DGRS is behind competitor SDVY in return, dividend growth, and liquidity, though SDVY has a lower yield and higher fees.

DGRS: Good Fundamentals, But Subpar Dividend Growth

Interest rate cut cycle expectations bring focus to smaller companies. WisdomTree U.S. SmallCap Quality Dividend Growth Fund offers an attractive dividend-weight constitution. DGRS provides higher yields, lower valuation multiples amid an improved small-cap stock environment.

DGRS: A Dividend-Focused ETF Delivering Value

Agree Realty

Alexandria Real Estate Equities

Brookfield Renewable Partners

Cullen/Frost Bankers

Clearway Energy

InvenTrust Properties Corp

iShares Russell 2000 ETF

Roundhill Magnificent Seven ETF

NVIDIA

Phillips Edison & Co Inc

Invesco QQQ

Regency Centers

Rexford Industrial Realty

Robert Half Int.

Retail Opportunity Investments

SPDR S&P 500 ETF Trust

Vanguard Real Estate ETF

American consumers' savings and spending patterns, illustrated through charts, showing a shift towards credit card debt and rising delinquency rates. Market rotation towards the real estate sector, with tech stocks facing pressure and small caps outperforming. Celebrating recent investment successes with Agree Realty, Cullen/Frost Bankers, and InvenTrust Properties, while discussing new additions to the buy list.

6 Stocks I'm Buying Amid A Major Market Rotation

Among the three primary market capitalization segments, if there's one that's been highly tethered to Federal Reserve policy, it's small-caps. Smaller stocks and related ETFs were drubbed when the central bank commenced its rate tightening cycle in 2022.

This Small-Cap ETF Could Be a Rate Cut Winner

By Brian Manby, CFA, Associate, Investment Strategy Key Takeaways The current interest rate environment is negatively impacting U.S. small-cap equities, making it challenging for them to perform well compared to large caps.

Preparing for a Policy Rate Pivot With U.S. Small Caps

WisdomTree U.S. SmallCap Quality Dividend Growth Fund ETF offers a curated portfolio of small-cap companies with high growth potential and dividends. The DGRS ETF focuses on quality and dividend growth, setting it apart from traditional small-cap funds. DGRS provides diversification across sectors and has outperformed its peers in the small-cap universe.

DGRS: A Solid Small-Cap Fund

Last week, the S&P 500 notched its worst weekly performance since last October. Not surprisingly, small-cap indexes weren't immune from the weakness.

With Small-Caps, Dividend Buffer Is Meaningful

The WisdomTree U.S. SmallCap Quality Dividend Growth Fund aims to track the performance of the WisdomTree U.S. SmallCap Quality Dividend Growth Index. The fund provides exposure to U.S. small cap dividend growing companies through quality and growth screens. It can be used alongside dividend yielding strategies or as an alternative to small cap quality strategies.

DGRS: Combining Small-Cap Quality With Dividend Growth

For years, small-cap stocks weren't associated with dividends, let alone quality, rising payouts. But that narrative is changing for the better.

Dividend Growth Can Be Had With Small-Caps

Large-cap equity prices had their ups and downs over the last three years but mostly kept pace with dividend growth during this cycle. Small caps with dividend growth potential that are resilient to several macroeconomic scenarios warrant further consideration. Financials was essentially diminished to market weight through the 6.5% reduction at the rebalance, while an existing under-weight in Real Estate was reduced further and an over-weight in Materials was pared.

The Fundamental Disconnect In Small Caps: Price Vs. Dividend Growth

DGRS prioritizes dividend stocks with net profit growth prospects supported by the efficient use of capital. Inside the portfolio, there are predominantly mid-cap dividend stocks, adequately valued, though with quality concerns. DGRS significantly underdelivers on EPS and revenue growth.

DGRS: Quality Concerns Remain, Performance Disappoints

There are times when value investing is in style, but it's always a good idea to avoid value traps. That sentiment is particularly applicable today with small-cap stocks and the related exchange traded funds.

Beware Small-Cap Value Traps

Has the time come to invest in small caps? Small-cap firms are pretty cheap on a historical basis, with the Russell 2000's forward p/e ratio 20% below its 10-year average.

Affordable Quality Small Caps Can Appeal

WisdomTree U.S. SmallCap Quality Dividend Growth Fund executes a strategy based on dividends, earnings growth and profitability. It is well-diversified across sectors and holdings. Valuation ratios are similar to the Russell 2000 index but quality is much better.

DGRS: Finding Dividend Growth In Small Caps

DGRS was recently promoted to a 4-star fund ranking within the Morningstar U.S. Small Value universe, a testament to its performance leadership since inception. While the regional banking crisis from earlier this year remains a foremost concern, it's important to realize that DGRS is structurally underweight in these banks due to its factor methodology. By dividend-weighting a high-quality stock basket, DGRS delivers robust profit margins during periods when inflation introduces margin pressure.

10 Fast Facts For DGRS's 10-Year Anniversary

WisdomTree Emerging Markets Quality Dividend Growth Fund

WisdomTree US Quality Dividend Growth Fund

WisdomTree Global ex-U.S. Quality Dividend Growth Fund

WisdomTree Europe Quality Dividend Growth Fund

WisdomTree International Quality Dividend Growth Fund

A key driver of long-term compound returns is dividend growth, which is driven by corporate profitability. Using over 50 years of data, a strategy that identified the top 20% of stocks by profitability posted annual returns of 11.73%, outperforming the lowest ROE group by 451 basis points per year. Profitable companies with excellent margins and efficient assets have the potential for faster dividend growth rates in the future.

The Dividend Driver: Return On Equity

Looking behind the curtain in VettaFi's data, it's small-cap dividend ETFs that are picking up steam. In a year defined by the stubborn success of megacap tech names, that may be surprising.

Ride Small Cap Dividend ETFs Interest in This Duo

DGRS: Investing In Quality Dividend-Paying Small-Cap Growth Stocks.

DGRS: Investing In Quality Dividend-Paying Small-Cap Growth Stocks

WisdomTree Europe SmallCap Dividend Fund

Invesco KBW High Dividend Yield Financial ETF

ProShares S&P MidCap 400 Dividend Aristocrats ETF

First Trust SMID Cap Rising Dividend Achievers ETF

Dividend stocks have been beating the market for quite some months. These dividend ETFs have been winning this year.

Winning Dividend ETFs So Far in First Quarter

DGRS is a small-cap fund that invests in dividend stocks with quality and growth properties. The fund holdings are too big for my definition of small-caps.

DGRS: Comes Up Short On Size, Quality And Growth

VictoryShares US EQ Income Enhanced Volatility Wtd ETF

Pacer US Cash Cows 100 ETF

Dimensional US Targeted Value ETF

iShares Core Dividend Growth ETF

WisdomTree U.S. High Dividend Fund

SPDR Dow Jones Industrial Average ETF

Global X SuperDividend US ETF

TrueShares Low Volatility Equity Income ETF

WisdomTree U.S. LargeCap Dividend Fund

WisdomTree U.S. MidCap Dividend Fund

WisdomTree U.S. Total Dividend Fund

ALPS Equal Sector Weight ETF

Invesco S&P 500 Equal Weight Communication Services ETF

Fidelity Blue Chip Growth ETF

American Century Focused Dynamic Growth ETF

First Trust Morningstar Dividend Leaders Index Fund

Fidelity MSCI Energy Index ETF

First Trust Consumer Discretionary AlphaDEX Fund

First Trust Technology AlphaDEX Fund

This article summarizes the performance of the entire U.S. equity market by examining 1Y, 3Y, 5Y, and 10Y returns for 850+ ETFs across 40 categories. Major indices declined, but investing in Energy, High-Dividend, and Large-Cap Value ETFs softened the blow. Meanwhile, searching for the bottom in mega-cap growth and thematic ETFs didn't work.

News for WisdomTree US Smallcap Quality Dividend Growth Fund ETF (DGRS)