Slide 1: WisdomTree Physical AI, Humanoids, and Drones Fund
May 2026 WisdomTree Physical AI, Humanoids, and Drones Fund WDRN
Slide 2: Table of contents
1. What is Physical AI? 2. Why Physical AI? Table of 3. contents WisdomTree Physical AI, Humanoids, and Drones Fund 4. Portfolio Characteristics 5. Appendix WisdomTree Physical AI, Humanoids, and Drones 2
Slide 3: What is Physical AI?
What is Physical AI? Artificial Intelligence is moving from digital to the physical world WisdomTree Physical AI, Humanoids, and Drones 3
Slide 4: Physical AI represents the next phase of automation
Physical AI represents the next phase of automation, where falling compute costs and powerful macro forces are embedding intelligence in the physical economy. WisdomTree Physical AI, Humanoids, and Drones 4
Slide 5: AI is shifting from the digital to the physical world
AI is shifting from the digital to the physical world + Edge AI platforms like NVIDIA Jetson Thor are extending AI from digital applications into the physical world. + Real-time inference enables machines to perceive, decide, and act autonomously in the real world. Source: WisdomTree, Introducing NV
Slide 6: Physical AI comes in many forms
Physical AI comes in many forms Humanoid Robotics Drones and Autonomous Vehicles Factory & Warehouse Robotics General-purpose robots designed for Autonomous aerial and ground systems Robotic systems that automate storage, human environments that enable scalable logistics, inspection, picking, transp
Slide 7: The Structural Forces Driving the Physical AI Revolution
The Structural Forces Driving the Physical AI Revolution Demographic Declines Necessitate Automation: Ageing populations and declining labour force participation increase reliance on automation to sustain productivity and economic growth. Robotics Deployment has Reached Industrial Scale: Robotics is
Slide 8: Why Physical AI?
Why Physical AI? How physical AI is shaping the world and the structural forces behind it WisdomTree Physical AI, Humanoids, and Drones 8
Slide 9: Declining labor force participation accelerates the need for automation
Declining labor force participation accelerates the need for automation U.S. Labor Force Participation Rate 68 67 66 65 64 63 62 61 60 59 58 Jan 95 Jan 98 Jan 01 Jan 04 Jan 07 Jan 10 Jan 13 Jan 16 Jan 19 Jan 22 Jan 25 Source: Federal Reserve Economic Data, Federal Reserve Bank of St. Louis, https://
Slide 10: U.S. reshoring makes robot-first production a necessity
U.S. reshoring makes robot-first production a necessity 21 January 2025 — 24 February 2025 –Apple 4 March 2025 — TSMC: Additional $100 25 March 2025 — Hyundai Motor Group: Stargate Project committed $500 billion over four billion for U.S. semiconductor $21 billion (2025–2028) in U.S. auto (SoftBank,
Slide 11: Hyundai MetaPlant demonstrates the modern manufacturing paradigm
Hyundai MetaPlant demonstrates the modern manufacturing paradigm ~500 welding robots ~300 automated guided vehicles (AGVs) ~1,300 employees Scaling to 500k vehicles per year Welding robots piece together the steel skeleton of a car in Hyundai’s manufacturing plant near Savannah, GA. Source: The Hyun
Slide 12: Military adoption accelerates drone development and commercial spillover
Military adoption accelerates drone development and commercial spillover Estimated Drone Install Base (millions) 2500 1,969 2000 1,716 1,473 1500 1,257 1,072 1000 887 695 513 500 358 236 98 130 18 24 33 47 69 0 2024 2025 2026 2027 2028 2029 2030 2032 2034 2036 2038 2040 2042 2044 2046 2048 2050 Sour
Slide 13: Vision-Language-Action models serve as robotic brains for physical AI
Vision-Language-Action models serve as robotic brains for physical AI From Sensory Inputs to Action + NVIDIA’s Project GR00T is a general- purpose Vision-Language-Action (VLA) model designed to bridge the gap between digital reasoning and physical execution. + It enables humanoid robots to understan
Slide 14: Humanoids are moving from prototype to scaled deployment
Humanoids are moving from prototype to scaled deployment Hundreds of UBTECH Walker S2 being prepared for delivery to partners primarily in the automotive and logistics sectors, inclu ding major players such as BYD, Geely Auto, FAW-Volkswagen, Dongfeng Liuzhou Motor, and Foxconn. Source: UBTECH, UBTE
Slide 15: Autonomous robotaxi services are set to scale in 2026
Autonomous robotaxi services are set to scale in 2026 Commercial Service Live Planned Service Expansion Testing & Data Collection Atlanta, GA Dallas, TX Baltimore, MD Austin, TX Denver, CO Buffalo, NY Los Angeles, CA Detroit, MI Boston, MA Phoenix, AZ Houston, TX Minneapolis, MN San Francisco, CA La
Slide 16: WisdomTree Physical AI, Humanoids and Drones Fund (WDRN)
WisdomTree Physical AI, Humanoids and Drones Fund (WDRN) Investing in the full breadth of Physical AI WisdomTree Physical AI, Humanoids, and Drones 16
Slide 17: WisdomTree Physical AI Strategy
WisdomTree Physical AI Strategy Targeted Physical AI Exposure Differentiated from Core Technology + Purpose-built exposure to AI deployment in the + Lower benchmark overlap supports Physical AI physical world: humanoids, drones, smart as an incremental satellite allocation rather than factories, and
Slide 18: Strategy Coverage: Physical AI Ecosystem Verticals
Strategy Coverage: Physical AI Ecosystem Verticals Next-Gen Drones / Next-Gen Emerging Humanoid Logistics & Autonomous Factories (Smart Applications of Robotics Supply Chain Mobility Manufacturing) Robotics Robotics + Companies developing + Autonomous Mobility + Companies advancing + Companies provi
Slide 19: A Two-Lens Approach to Selection and Weighting
A Two-Lens Approach to Selection and Weighting Each eligible company is evaluated through two complementary lenses. Higher conviction across both lenses concentrates index weight where the case for Physical AI exposure is strongest. LENS 1 LENS 2 Company Relevance Thematic Importance How central is
Slide 20: Methodology in Practice: A Drones Example
Methodology in Practice: A Drones Example How the two lenses translate to concrete classifications, using companies in the Drones / Autonomous Mobility vertical. Company Relevance (illustrative: Drones) Company Company Relevancy Rationale Red Cat Higher Rapidly scaling drone provider securing sUAS c
Slide 21: Index Methodology Overview
WisdomTree WisdomTree Physical AI, Humanoids, and Drones Index – Methodology Overview WisdomTree leverages its internal research to identify companies involved in physical AI activities. Preliminary Universe The research process involves rigorous analysis of company documents, regulatory filings (e.
Slide 22: Top 20 Index Constituents
Top 20 Index Constituents Name Thematic Vertical Detail Weight (%) 1 Tesla Inc Humanoid Robotics Optimus humanoid robot / Tesla full-self driving 5.5% 2 NVIDIA Corp Humanoid Robotics Jetson Thor platform / Isaac GR00T models 4.3% 3 Hyundai Motor Co Humanoid Robotics Boston Dynamics’ Atlas robot 4.0%
Slide 23: Index Portfolio Characteristics
Index Portfolio Characteristics How WisdomTree Physical AI, Humanoids, and Drones Index differentiates from other technology exposures WisdomTree Physical AI, Humanoids, and Drones 23
Slide 24: Targeting Leading Physical AI Applications Across High-Growth Verticals
Illustrative Examples of Leading Companies Targeting Leading Physical AI in Each of the Five Verticals Applications Across High- Company Vertical Index Weight (%) Growth Verticals Red Cat Drones/Autonomous 3.70% Holdings Mobility Rainbow Humanoid Robotics 2.90% Humanoid Robotics Robotics 7% 2% Next-
Slide 25: Scaling physical AI goes beyond the semiconductors and software industries
Scaling physical AI goes beyond the semiconductors and software industries 25% 20% 20.4% 19.7% 15% 14.0% 10% 9.8% 9.6% 8.6% 6.5% 5% 4.6% 3.5% 3.3% 0% Aerospace & Machinery Electronic Electrical Automobiles Semiconductors Software Communications Automobile Other Defense Equipment Instr. Equipment & E
Slide 26: Physical AI is differentiated from existing AI and technology exposures
Physical AI is differentiated from existing AI and technology exposures Nasdaq 100 Semiconductors Broad Artificial Intelligence Lower overlap 9.5% 7.4% 10.5% with technology benchmarks Weight Overlap Weight Overlap Weight Overlap supports Physical AI’s role as a 4 4 10 strong satellite allocation. S
Slide 27: Oriented for growth and scale
Oriented for growth and scale WisdomTree Physical AI, Metric Nasdaq Humanoids, and Drones Index Price to Earnings (ex-negative*) 42.1x 33.7x Forward Price to Earnings (ex-negative*) 32.3x 25.4x Price to Sales 3.4x 5.4x Sales Growth Trailing 1Y 43.4% 18.5% Estimated Fwd Sales Growth 1Y 69.2% 24.5% Wi
Slide 28: Breaking down the WisdomTree Physical AI, Humanoids, and Drones Index
Breaking down the Breaking down the WisdomTree Physical AI, Humanoids, and Drones Index Thematic Vertical Industry Country Market Cap 1.7% 6.5% 6.8% 11.5% 3.3% 20.4% 18% 3.5% 3.6% 13.7% 4.6% 3.7% 35.1% 3.7% 8.6% 4.5% 50% 53.0% 19.7% 9.6% 9.5% 32% 9.8% 42.7% 10.5% 14.0% Aerospace & Defense United Sta
Slide 29: Important Information
Important Information Please see the WisdomTree Glossary for definition of terms. Investors should carefully consider the investment objectives, risks, charges and expenses of the Fund before investing. For a prospectus or, if available, the summary prospectus containing this and other important inf
Slide 30: Important Information
Important Information References to specific securities and their issuers are for illustrative purposes only and are not intended to be, and should not be interpreted as, recommendations to purchase or sell such securities. You cannot invest directly in an index. Additional information is available