WisdomTree expands defence ETF range with Asia and global exposures

The new instruments are the WisdomTree Asia Defence UCITS ETF (ticker WDAF) and the WisdomTree Global Defence UCITS ETF (ticker WDGF). Both began trading on 31 March on Börse Xetra, Borsa Italiana, Euronext Paris and SIX Swiss Exchange. The London Stock Exchange listing is scheduled for 1 April.

WDAF tracks the WisdomTree Asia Defence UCITS Index and has a total expense ratio (TER) of 0.50%. WDGF tracks the WisdomTree Global Defence UCITS Index with a TER of 0.40%.

Context

The two ETFs add to the WisdomTree Europe Defence UCITS ETF (WDEF), launched in March 2025. According to data provided by WisdomTree, WDEF has reached USD 5.258 billion in assets under management, making it the fastest-growing equity ETF in Europe (reaching USD 3 billion in a matter of months). In the first months of 2026, the product recorded USD 1.3 billion in net inflows.

The firm notes that defence spending is becoming structural in many regions, with governments implementing multi-year procurement programmes, replenishing stockpiles and investing in advanced technologies, including cyber capabilities, space systems, unmanned platforms and artificial intelligence.

The strategies

The WisdomTree Asia Defence UCITS ETF targets defence companies in the Asia-Pacific region, excluding China. The index aims to capture the defence investment cycle in Asia, where governments are increasing military budgets and strengthening domestic supply chains.

The WisdomTree Global Defence UCITS ETF provides exposure to global companies that derive a significant portion of revenues from defence activities. The selection focuses on firms directly involved in defence manufacturing, systems and technologies, partially excluding revenues from sectors such as civil aerospace. The index combines rearmament cycles across different regions, with differences in procurement timelines and spending priorities.

Both indices use a revenue-based methodology for exposure scoring and weighting. Included companies must meet investability criteria to ensure liquidity and diversification. The indices exclude companies involved in certain controversial weapons, as specified in the methodology.

Pierre Debru, Head of Research Europe at WisdomTree, said: “Defence has become a structural investment theme rather than a short-term reaction to geopolitical events. Governments are embedding defence spending into long-term security strategies, creating sustained procurement pipelines and industrial investment cycles. With these new ETFs, investors can access the theme through both a global strategy that captures multiple rearmament cycles and a dedicated Asia strategy focused on a region where defence spending is accelerating rapidly.”

Alexis Marinof, CEO Europe at WisdomTree, added: “WisdomTree has built a strong reputation for delivering differentiated thematic ETFs backed by proprietary research and index design expertise. The addition of Global Defence and Asia Defence strengthens our defence offering and provides investors with new ways to access a theme that is becoming increasingly important in portfolios. As geopolitical tensions persist and governments prioritise security and resilience, defence remains a powerful example of how policy-driven megatrends can shape long-term investment opportunities.”

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