Last checked at 27 Mar 2020 14:35
Statement re WisdomTree AT1 CoCo Bond UCITS ETF
NOTICE TO SHAREHOLDERS OF WISDOMTREE ISSUER PLC
This notice is important and requires your immediate attention. If you are in any doubt about its content, please consult your stockbroker, bank manager, solicitor, accountant or other financial adviser. If you have sold or transferred all your shares in WisdomTree Issuer plc please forward this document to the purchaser or transferee, or to the stockbroker, bank manager or other agent through whom the sale or transfer was effected.
27 March 2020
Dear Shareholder,
We are writing to you in your capacity as a shareholder of the WisdomTree AT1 CoCo Bond UCITS ETF (the “Sub-Fund”), a sub-fund of WisdomTree Issuer plc (the "Company").
The Sub-Fund seeks to track the price and yield performance, before fees and expenses, of the iBoxx Contingent Convertible Liquid Developed Europe AT1 Index (the "Index").
The Supplement anticipates that (a) the Index will be rebalanced on a monthly basis and (b) the weight of an issuer in the Index will be capped at 7.5% of the market value of the Index at each rebalancing date.
We are writing to inform you that, in light of recent extreme market volatility, Markit Indices Limited (the "Index Sponsor") has determined to cancel the scheduled March rebalance of its indices, including the Index. As at the date of this notice, three index constituents, UBS, HSBC and Credit Suisse, exceed the 7.5% cap with weightings of 8.07% and 7.80% and 7.67%, respectively. It is expected that this will be addressed at the next index rebalance on 30 April 2020.
Notwithstanding the above, please note that the composition of the Index is sufficiently diversified to comply with the investment restrictions and diversification provisions applicable to the Company pursuant to the European Communities (Undertakings for Collective Investment in Transferable Securities) Regulations 2011, as amended.
Should you have any questions in relation to the above, please do not hesitate to contact WisdomTree UK Limited at infoeu@wisdomtree.com.
Yours sincerely,
For and on behalf ofWisdomTree Issuer plc