WisdomTree Assets Hit Record $162.9 Billion on Acquisitions
Operating revenues rose 11.1% to $177.2 million as the asset manager leveraged market appreciation and the Atlantic House acquisition.
WisdomTree (WT), the global asset management firm, ended the second quarter with assets under management of $162.9 billion, a 6.7% increase from the prior quarter. This marked the sixth consecutive quarter of record assets for the firm, driven by market appreciation, net inflows, and the acquisition of Atlantic House.
Operating revenues rose 11.1% sequentially to $177.2 million. The increase followed higher average AUM and contributions from the Atlantic House acquisition, alongside higher performance fees and increased other revenues from European listed ETPs. Revenue yield edged up 1 basis point to 0.43%.
Net inflows slowed during the period. The firm recorded $3.1 billion in net inflows for the second quarter, compared to $5.9 billion in the first quarter of 2026.
Profitability metrics shifted as the company integrated new assets and managed seasonal costs. The GAAP operating income margin expanded 330 basis points to 40.5%. This expansion resulted from higher revenues, a reduction in acquisition-related costs, and a comparison against seasonally elevated compensation in the previous quarter. On a year-to-date basis, the adjusted operating income margin expanded 900 basis points to 41.1%, driven largely by revenues including contributions from Ceres Partners.
Gross margin decreased 1.5 percentage points to 82.9%. The decline was due to higher expenses associated with anticipated fund launches.
Interest dynamics reflected a higher debt load and a rising rate environment. Interest expense rose 34.7% sequentially and 170.5% year-over-year. Interest income also climbed, increasing 23.6% sequentially and 53.3% year-over-year due to a higher level of interest-earning assets.
WisdomTree reduced its liabilities and returned capital to shareholders during the quarter. The company retired $126.9 million of the aggregate principal amount of convertible senior notes due in 2026 and 2029 for $207.5 million in cash. Additionally, the firm repurchased approximately 1.5 million shares of common stock for $25.9 million.