WisdomTree Reports Monthly Metrics for September 2024

Rhea-AI Summary

WisdomTree, Inc. (NYSE: WT) reported its monthly metrics for September 2024, highlighting a record Assets Under Management (AUM) of nearly $113 billion. The company experienced inflows in U.S. equity products, cryptocurrencies, and bullish tactical positioning in oil and copper. However, these were offset by institutional reallocations out of cash positions (USFR), outflows in Japan Hedged Equity (DXJ), and profit-taking in precious metals.

Key metrics as of September 30, 2024:

• Current Total AUM: $112,577 million
• Total Net Flows: -$896 million (MTD), -$2,395 million (QTD), -$65 million (YTD)
• Blended Total Average Fee Rate: 37 bps

Notable flow rates included U.S. Equity at 1.5% MTD and Cryptocurrency at 36.9% MTD. International Developed Market Equity and Fixed Income experienced significant outflows at -31.3% and -21.8% MTD, respectively.

Positive

• Record Assets Under Management (AUM) of nearly $113 billion
• Inflows in U.S. equity products, cryptocurrencies, and bullish tactical positioning in oil and copper
• Cryptocurrency net flows show strong growth with 36.9% MTD and 140.2% YTD annualized flow rates
• Alternatives category shows positive growth with 16.5% MTD and 25.6% YTD annualized flow rates

Negative

• Total net flows were negative at -$896 million MTD and -$2,395 million QTD
• Significant outflows in International Developed Market Equity (-31.3% MTD) and Fixed Income (-21.8% MTD)
• Commodity & Currency category experienced outflows of -$741 million QTD and -$2,700 million YTD
• Overall annualized flow rate was negative at -9.8% MTD and -8.7% QTD

Insights

Financial Analyst

WisdomTree's September 2024 metrics reveal a mixed performance. The company achieved a record AUM of $112.577 billion, up from $111.192 billion at the beginning of the month. This 1.25% increase was primarily driven by market movements, which added $2.281 billion to AUM.

However, the firm experienced net outflows of $896 million, representing an annualized outflow rate of 9.8%. The most significant outflows were in International Developed Market Equity ($478 million) and Fixed Income ($372 million). These were partially offset by inflows in U.S. Equity, Commodity & Currency and Cryptocurrency products.

The blended total average fee rate remained stable at 37 bps, indicating consistent revenue generation per AUM. Year-to-date, WisdomTree has seen minimal net outflows of $65 million, suggesting overall stability in its asset base despite monthly fluctuations. The company's diversified product offerings, particularly in cryptocurrencies and alternatives, show promise with high annualized flow rates, potentially hedging against outflows in traditional asset classes.

Market Research Analyst

WisdomTree's September metrics highlight shifting investor preferences and market dynamics. The outflows from International Developed Market Equity, particularly Japan Hedged Equity (DXJ), suggest a potential reassessment of international exposure by investors. This could be due to global economic uncertainties or currency fluctuations affecting hedged products.

The inflows into U.S. Equity and Cryptocurrency products indicate a growing appetite for domestic equities and digital assets. The 140.2% YTD annualized flow rate for cryptocurrencies is particularly noteworthy, reflecting the mainstream adoption of digital assets in traditional investment portfolios.

The outflows from fixed income products, especially cash positions (USFR), might be a response to changing interest rate expectations or a shift towards higher-risk assets in search of yield. The positive flows in commodities, specifically oil and copper, suggest tactical positioning based on global economic recovery expectations or inflationary concerns. These trends provide valuable insights into investor sentiment and macroeconomic perspectives heading into the final quarter of 2024.

Record Assets Under Management

NEW YORK--(BUSINESS WIRE)-- WisdomTree, Inc. (NYSE: WT), a global financial innovator, today released monthly metrics for September 2024, including assets under management (AUM) and flow data by asset class.

Monthly Commentary:

• WisdomTree achieved record AUM of nearly $113 billion
• Inflows in U.S. equity products, cryptocurrencies, and bullish tactical positioning in oil and copper were offset by institutional reallocations out of cash positions (USFR), outflows in Japan Hedged Equity (DXJ) and profit taking in precious metals

As of September 30, 2024	AUM Rollforward ($ in millions)			Annualized Flow Rate
	MTD	QTD	YTD	MTD	QTD	YTD
Beginning of Period Total AUM	$111,192	$109,686	$100,124
Total Net Flows
U.S. Equity	$43	$328	$1,085	1.5%	4.1%	5.0%
International Dev. Mkt Equity	($478)	($1,391)	$1,462	(31.3%)	(28.5%)	12.9%
Emerging Market Equity	($153)	($20)	$254	(15.2%)	(0.7%)	3.2%
Fixed Income	($372)	($897)	($674)	(21.8%)	(16.6%)	(4.2%)
Commodity & Currency	$51	($741)	($2,700)	2.8%	(13.4%)	(16.9%)
Alternatives	$6	$54	$72	16.5%	51.7%	25.6%
Cryptocurrency	$29	$201	$434	36.9%	95.3%	140.2%
Leveraged & Inverse	($22)	$71	$2	(13.3%)	14.6%	0.2%
Total Net Flows	($896)	($2,395)	($65)	(9.8%)	(8.7%)	(0.1%)
Market Move	$2,281	$5,286	$12,518
Current Total AUM	$112,577	$112,577	$112,577
Average Total AUM	$110,806	$110,369	$106,973
Blended Total Average Fee Rate		37 bps	37 bps

Source: https://ir.wisdomtree.com/

Please visit https://ir.wisdomtree.com/ for downloadable spreadsheets containing detailed AUM and flow data by asset class and fund broken out by daily, monthly, quarterly and annual timeframes.

About WisdomTree

WisdomTree is a global financial innovator, offering a well-diversified suite of exchange-traded products (ETPs), models, solutions and products leveraging blockchain technology. We empower investors and consumers to shape their future and support financial professionals to better serve their clients and grow their businesses. WisdomTree is leveraging the latest financial infrastructure to create products that provide access, transparency and an enhanced user experience. Building on our heritage of innovation, we are also developing and have launched next-generation digital products, services and structures, including digital or blockchain-enabled mutual funds and tokenized assets, as well as our blockchain-native digital wallet, WisdomTree Prime^® and institutional platform, WisdomTree Connect™.*

*The WisdomTree Prime digital wallet and digital asset services and WisdomTree Connect institutional platform are made available through WisdomTree Digital Movement, Inc., a federally registered money services business, state-licensed money transmitter and financial technology company (NMLS ID: 2372500) or WisdomTree Digital Trust Company, LLC, in select U.S. jurisdictions and may be limited where prohibited by law. WisdomTree Digital Trust Company, LLC is chartered as a limited purpose trust company by the New York State Department of Financial Services to engage in virtual currency business. Visit https://www.wisdomtreeprime.com, the WisdomTree Prime mobile app or https://www.wisdomtreeconnect.com for more information.

WisdomTree currently has approximately $112 billion in assets under management globally.

For more information about WisdomTree, WisdomTree Connect and WisdomTree Prime, visit: https://www.wisdomtree.com.

Please visit us on X, formerly known as Twitter, at @WisdomTreeNews.

WisdomTree^® is the marketing name for WisdomTree, Inc. and its subsidiaries worldwide.

PRODUCTS AND SERVICES AVAILABLE VIA WISDOMTREE PRIME:

NOT FDIC INSURED | NO BANK GUARANTEE | NOT A BANK DEPOSIT | MAY LOSE VALUE | NOT SIPC PROTECTED | NOT INSURED BY ANY GOVERNMENT AGENCY

The products and services available through the WisdomTree Prime app and WisdomTree Connect are not endorsed, indemnified or guaranteed by any regulatory agency.

Cautionary Statement Regarding Forward-Looking Statements

This press release may contain a number of “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, statements about our ability to achieve our financial and business plans, goals and objectives and drive stockholder value, including with respect to our ability to successfully implement our strategy relating to WisdomTree Prime^® and WisdomTree Connect™, our ability to continue to make achievements in AUM, levels of net flows and other risk factors discussed from time to time in WisdomTree’s filings with the Securities and Exchange Commission (“SEC”), including those factors discussed under the caption “Risk Factors” in our most recent annual report on Form 10-K, filed with the SEC on February 23, 2024, and in subsequent reports filed with or furnished to the SEC. These forward-looking statements are based on WisdomTree’s management’s current expectations, estimates, projections and beliefs, as well as a number of assumptions concerning future events. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside WisdomTree’s management’s control, that could cause actual results to differ materially from the results discussed in the forward-looking statements. Forward-looking statements included in this release speak only as of the date of this release. WisdomTree does not undertake any obligation to update its forward-looking statements to reflect events or circumstances after the date of this release except as may be required by the federal securities laws.

Category: Business Update

View source version on businesswire.com: https://www.businesswire.com/news/home/20241010628544/en/

Media Relations

WisdomTree, Inc.

Natasha Ramsammy

+1.917.267.3798

nramsammy@wisdomtree.com / wisdomtree@fullyvested.com

Investor Relations

WisdomTree, Inc.

Jeremy Campbell

+1.917.267.3859

Jeremy.Campbell@wisdomtree.com

Source: WisdomTree, Inc.

FAQ

What was WisdomTree's (WT) AUM as of September 30, 2024?

WisdomTree's (WT) Assets Under Management (AUM) as of September 30, 2024, was $112,577 million, reaching a record high of nearly $113 billion.

How did WisdomTree's (WT) cryptocurrency assets perform in September 2024?

WisdomTree's (WT) cryptocurrency assets showed strong performance with net inflows of $29 million and an annualized flow rate of 36.9% for the month of September 2024.

What was the total net flow for WisdomTree (WT) in September 2024?

WisdomTree (WT) reported a total net outflow of $896 million for the month of September 2024, with an annualized flow rate of -9.8%.

Which asset classes experienced the largest outflows for WisdomTree (WT) in September 2024?

The largest outflows for WisdomTree (WT) in September 2024 were in International Developed Market Equity (-$478 million) and Fixed Income (-$372 million).