WisdomTree, Inc.

What they do

WisdomTree operates as an ETP sponsor and asset manager, providing investment advisory services through subsidiaries in the U.S. and Europe, with products covering equities, commodities, fixed income, leveraged-and-inverse, cryptocurrency, currency, alternatives and private assets. Its U.S. listed ETFs held $88.5 billion in AUM at December 31, 2025, and its European listed ETPs held $53.5 billion. The company also offers digital asset products including tokenized Digital Funds, the WisdomTree Connect institutional platform and the WisdomTree Prime digital wallet, and entered private assets through its October 2025 acquisition of Ceres, a farmland investment manager.

Revenue drivers

• U.S. listed ETFs — The largest AUM block at $88.5 billion as of December 31, 2025, up from $79.1 billion a year earlier on market appreciation and net inflows; revenue is earned primarily through advisory fees on assets.
• European listed ETPs — AUM grew to $53.5 billion at December 31, 2025 from $30.7 billion at December 31, 2024 on market appreciation and net inflows; also cited as a source of higher other revenues.
• Private assets (Ceres) — The October 1, 2025 Ceres acquisition added $1.8 billion of private assets AUM, primarily in Ceres Farms, LLC, which grew to $1.9 billion at December 31, 2025 on $37.0 million of inflows and market appreciation; Ceres contributed to 2025 revenue growth and year-to-date 2026 margin expansion.
• Digital assets — Digital asset AUM rose from $0.0 billion at December 31, 2024 to $0.8 billion at December 31, 2025, with substantially all 2025 inflows into the WisdomTree Treasury Money Market Digital Fund; the smallest AUM category.

Recent performance

Second quarter 2026 operating revenues were $177.2 million, up 11.1% from the prior quarter, with net income of $44.3 million and diluted EPS of $0.28 (adjusted EPS $0.31). Ending AUM reached a record $162.9 billion, up 6.7% from the prior quarter due to the Atlantic House acquisition, market appreciation and net inflows. Net inflows were $3.1 billion, driven by commodity, international developed equity and U.S. equity products, partly offset by outflows from leveraged and inverse products. The average advisory fee was 0.36%, unchanged from the prior quarter, while the revenue yield rose 1 basis point to 0.43%. Operating income margin was 40.5% (42.6% as adjusted) and year-to-date operating margin was 39.0%, up 780 basis points year over year.

Strategy

WisdomTree continues to broaden beyond its core ETP business into digital assets and blockchain-enabled financial services, including tokenized real-world assets, stablecoins, the WisdomTree Connect institutional platform and the WisdomTree Prime digital wallet. It expanded into private assets through the Ceres farmland acquisition and added Atlantic House Holdings Limited, which contributed to second-quarter AUM growth. Management highlights a diversified platform across ETFs, private markets, liquid alternatives and tokenized infrastructure, describing broad-based momentum across regions, asset classes and client segments. The company also retired $126.9 million aggregate principal of convertible notes in the quarter and repurchased $25.9 million of common stock at an average price of $17.40 per share.

Risks

• AUM concentration — The company depends on a limited number of products generating substantial revenue, and a mix shift or decline in those products would pressure results.
• Market and commodity exposure — Declining prices and volatile markets can reduce AUM and revenue, and the product lineup carries exposure to declining commodity prices.
• Third-party reliance — WisdomTree relies on third-party vendors for critical administrative, custody and portfolio management services, and European products carry counterparty risk.
• Acquisition integration — The company faces operational risks related to post-acquisition integration of Ceres and other strategic transactions, including intangible amortization and acquisition-related costs.

Outlook

Management describes the second quarter as the sixth consecutive quarter of record AUM, with momentum it says is broad-based across regions, asset classes and client segments rather than dependent on any single product, market or geography. It credits operating discipline and points to sustainable organic growth and margin expansion, with the 13% annualized organic flow growth rate cited in the earnings release. The company frames itself as still in the early stages of its platform build across ETFs, private markets, liquid alternatives and tokenized infrastructure.