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

WisdomTree Global ex-U.S. Quality Dividend Growth Fund (DNL) is an index ETF that holds about 200 large and mid-size companies outside the U.S., in both developed and emerging markets. It picks them for earnings growth and profitability. Its prospectus filed July 29, 2026 renames it the Global ex-U.S. Quality Growth Fund, and its selection rules don't screen for dividends. It costs 0.42% a year and leans heavily on chip companies such as Taiwan Semiconductor and ASML.

• Over the year to Oct 27, 2026, DNL returned +6.2%, 3rd of 4 among similar funds.
• Its 5-year annualized return was +3.4% and its 10-year +8.6%.
• In the 2020 COVID crash it fell 31.3% and regained its old high 3.9 months after the low.
• Its worst full calendar year was 2022 (-22.4%); its best was 2019 (+36.3%).
• The deepest fall in its price history was 44.5% (Mar 23, 2007 to Mar 9, 2009), recovered by Mar 30, 2011.

As of Jun 30, 2026, the fund held 212 securities; the ten largest made up 39.57% of assets.

• Over the three months to Jun 30, 2026, investors withdrew a net $4.5M (creations minus redemptions, per the N-PORT report).
• Monthly total returns reported for that quarter: +10.57%, +3.74%, +1.82%.

DNL tracks the WisdomTree Global ex-U.S. Quality Growth Index, which was formerly called the Quality Dividend Growth Index. WisdomTree, Inc. designed the index and also owns the fund's adviser. The fund is passive. It uses "representative sampling," which means it can hold a sample of the index's stocks that behaves like the whole index instead of owning every name. At least 80% of its assets must be in index stocks or close equivalents. Eligible companies come from 21 developed and 18 emerging countries and must meet size and trading-volume minimums. Emerging-market companies must also have had positive earnings over the past year.

Each company gets a growth score and a quality score, weighted equally. Growth is 50% analysts' median earnings-growth forecast, 25% five-year EBITDA growth (earnings before interest, taxes, depreciation and amortization) and 25% five-year sales growth. Quality is an equal mix of three-year average return on equity and return on assets. The roughly 200 companies with the highest combined scores make the cut. Weights start from company size and are then tilted by these scores. The index rebalances twice a year, when no single stock can exceed 7.5%.

Weights can drift between rebalances. As of June 30, 2026, Taiwan Semiconductor was 11.1% of the fund and ASML was 7.9%, out of 212 holdings. Turnover was 76%. The fund usually pays redemptions in cash, which can trigger taxable capital gains.

• DNL charges 0.42% a year, versus an average of 0.45% for the similar funds below (2nd of 4, cheapest first).
• Using the prospectus's standard example, $10,000 invested would cost about $43 in the first year and $530 over 10 years (assuming a 5% annual return).

It adds stocks from outside the U.S., including emerging markets such as Taiwan, to a portfolio that may lean mostly on U.S. companies.

DNL can broaden a portfolio beyond U.S. stocks, but it has fallen hard in downturns. It lost 39.5% in the 2008 financial crisis, 31.3% in the 2020 COVID crash and 34.9% in the 2022 bear market. It took 21.5 months after the 2022 low to recover. Its deepest drop, 44.5% from March 2007 to March 2009, took 24.7 months to recover. Its worst calendar year was 2022, at -22.27%. Anyone who has to sell shares in a year like that locks in losses. The yield was 1.16% over the 12 months to October 27, 2026, paid quarterly, so it is not an income fund. In the SEC's standard example, the 0.42% fee works out to $43 in the first year on $10,000. Past results don't predict future ones, and a plan should look at the whole portfolio, not one fund.

Matched by holdings overlap from the latest N-PORT reports.