Q1 2025 WisdomTree Inc Earnings Call

Greetings and welcome to the Wisdom Tree Q1, 2025 earnings call. At this time all participants are in a listen only mode. A question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference. Please.

Operator: Greetings and welcome to the WisdomTree. Q1 2025 Earnings Call At this time, all participants are in a listen-only This is a question and answer session. We'll follow the formal presentation.

Operator: If anyone should require operator assistance during the conference, please press star zero on your telephone. Please note, this conference is being recorded.

Press Star Zero on your telephone keypad. Please note. This conference is being recorded.

Jessica Zaloom: I will now turn the conference over to your host, Jessica Zaloom, head of corporate. Thank you. You may begin. Good morning.

I will now turn the conference over to your host Jessica they'll do them head of corporate communications. Thank you you may begin.

Good morning, before we begin I would like to reference our legal disclaimer available in todays presentation. It's taking patient may contain forward looking statements within the meaning of the private Securities Litigation Reform Act of 1995.

Jessica Zaloom: Before we begin, I would like to reference our legal disclaimer available in today's presentation. This presentation may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. A number of factors could cause actual results to differ materially from the results discussed in forward-looking statements, including, but not limited to, the risks set forth in this presentation, in the risk factors section of the WisdomTree Annual Report on Form 10-K for the year ended December 31, 2024, and in subsequent reports filed with or furnished to the Securities and Exchange Commission. WisdomTree assumes no duty and does not undertake to update any forward-looking statements.

Speaker Change: A number of factors could cause actual results to differ materially from the results discussed in forward looking statements, including but not limited to the risks set forth in this presentation.

Speaker Change: The risk factors section of the wisdom tree annual report on Form 10-K for the year ended December 31st 2024, and in subsequent reports filed with or furnished to Securities and Exchange Commission. We can treat assumes no duty and does not undertake to update any forward looking.

Speaker Change: Statements.

Bryan Edmiston: Now it is my pleasure to turn the call over to WisdomTree CFO, Bryan Edmiston. Thank you, Jessica, and good morning, everyone. I'll begin by covering our first quarter results, along with commentary on our forward-looking guidance, before turning the call over to Jarrett and Jono for additional updates on our business. We ended the quarter with record AUM of $115.8 billion of 5.5% from the prior quarter. Net inflows totaled $3 billion, reflecting an annualized organic growth rate of 11%, with contributions that were broad-based across our global products. In the U.S., we generated over 1.8 billion of inflows, including into our fixed income and U.S.

Speaker Change: Now it is my pleasure to turn the call over to week interim CFO, Brian Anderson.

Brian Anderson: Thank you Jessica and good morning, everyone I'll begin by covering our first quarter results along with commentary on our forward looking guidance.

Speaker Change: Before turning the call over to Jarrett and Johnno for additional updates on our business.

Speaker Change: We ended the quarter with record AUM of $115 8 billion up five 5% from the prior court.

Speaker Change: Net inflows totaled $3 billion, reflecting an annualized organic growth rate of 11% with contributions that were broad based.

Speaker Change: Across our global product suite.

Speaker Change: In the U S. We generated over $1 8 billion of inflows, including into our fixed income and U S equity product categories.

Bryan Edmiston: equity product category. Our digital money market fund also attracted $100 million of AUM during the quarter. In Europe, we generated over 1.1 billion of inflows, primarily into our USITS ETF suite, including 770 million of net inflows into our European Defense Fund, which was launched in March. We also benefited from positive market movement as favorable conditions and commodities helped offset headwinds in the U.S. market.

Speaker Change: Our digital money market Fund also attracted 100 million a day AUM during the quarter.

Speaker Change: In Europe, we generated over $1 1 billion of inflows primarily into our UCITS ETF suite, including $770 million of net inflows into our European Defense Fund.

Speaker Change: Which was launched in March.

Speaker Change: We also benefited from positive market movement.

Speaker Change: Favorable conditions in commodities helped to offset headwinds in the U S market.

Bryan Edmiston: Next slide. We generated 108 million of revenue during the quarter, down slightly from the fourth quarter due to two fewer trading days and a lower average fee capture offset by higher average AUM. Our revenues were 11.6% higher than the same period last year, driven by higher average AUM and higher other revenues attributable to our European-listed products. Our adjusted net income for the quarter was $23 million, or $0.16 per share. These results were impacted by seasonal compensation, including payroll taxes, benefits, and other items recognized in connection with year-end bonuses.

Speaker Change: Next slide.

Speaker Change: We generated $108 million of revenue during the quarter down slightly from the fourth quarter due to two fewer trading days and a lower average fee capture offset by higher average AUM.

Speaker Change: Our revenues were 11, 6% higher than the same period last year, driven by higher average AUM and higher other revenues attributable to our European listed products.

Speaker Change: Our adjusted net income for the quarter was 23 million or <unk> 16 per share.

Speaker Change: These results were impacted by seasonal compensation, including payroll taxes benefits and other items recognized in connection with year end bonuses.

Speaker Change: Next slide.

Bryan Edmiston: Next slide. Our 2025 guidance remains largely unchanged versus what was communicated last quarter. refer to our guidance update included in our earnings presentation for additional information.

Speaker Change: Yes.

Speaker Change: Our 2025 guidance remains largely unchanged versus what was communicated last quarter.

Speaker Change: Refer to our guidance update included in our earnings presentation for additional information.

Bryan Edmiston: That's all I have.

Jerry: That's all I have I'll now turn the call over to Jerry.

Jared: I'll now turn the call over to Jared. Thanks, Bryan. As you just heard, we had a strong quarter by the numbers, and I'd like to now build on that by walking through some of the operational drivers behind the performance and how we're positioned for what's next. So, let's start with flows and outlook. We came into 2025 with real client momentum, and Q1 was a fantastic start to the year with over $3 billion in net inflows across a diverse set of products. That said, we're now operating in a more volatile market, but that's exactly where WisdomTree shines.

Jerry: Thanks, Brian.

Jerry: As you just heard we had a strong quarter by the numbers and I'd like to now build on that by walking through some of the operational drivers behind the performance and how we're positioned for what's next so let's start with flows and outlook.

Jerry: We came into 2025 with real client momentum and Q1 was a fantastic start to the year with over 3 billion in net inflows across a diverse set of products that said, we're now operating in a more volatile market, but that's exactly where wisdom tree shines we're very.

Jared: We are very well positioned, with our AUM being more balanced today than at any point in our history. And that diversification is serving us well with our large exposures to gold and the metals in Europe and USFR here in the US. It is noteworthy that our group AUM is up this month and is up year-to-date, a standout versus our peers. It's also worth highlighting the exceptional launch of our WisdomTree European Defense Fund, which brought in $770 million in Q1 alone and has already added more than $700 million in April. This is one of the most successful launches in our history, and the fund's flow momentum, creating shares every day but one since launch, should not be overlooked.

Jerry: <unk> well positioned with our M being more balanced today than in any point in our history and that diversification is serving us well with our large exposures to gold in the metals in Europe and U S. So far here in the U S. It is noteworthy there are group AUM is up.

Jerry: This month and is up year to date, a stand out versus our peers. It's also worth highlighting the exceptional launch of our wisdom tree European Defense Fund, which brought in $770 million in Q1 alone and has already added more than $700 million in April this is Juan.

Jerry: The most successful launches in our history and the funds flow momentum, creating shares every day, but one since launch should not be overlooked.

Jerry: Beyond the impressive blows. This launch is a clear example of our ability to adapt to evolving market dynamics and act as a pioneer of unique first of their kind investment ideas, we began focusing on shifting geopolitical risks over a year ago.

Jared: Beyond the impressive flows, this launch is a clear example of our ability to adapt to evolving market dynamics and act as a pioneer of unique, first-of-their-kind investment ideas. We began focusing on shifting geopolitical risks over a year ago with the introduction of our geopolitical risk-aware model portfolios. And we've since carried those insights forward into a broader suite of ETF offerings. A case in point, we are in the final stages of repositioning our European currency hedge small-cap fund into a more expansive European opportunities fund, one that not only reflects a broader opportunity set but also embeds the geopolitical themes we believe are increasingly relevant.

Jerry: So with the introduction of our geopolitical risk aware model portfolios.

Jerry: And we since carried those insights forward into a broader suite of E. T S offerings.

Jerry: Case in point, we are in the final stages of repositioning our European currency hedged small cap fund into a more expansive European opportunities fund one that not only reflects a broader opportunity set but also embeds. The geopolitical themes, we believe or increase.

Jerry: Singly relevant we see greater potential in this strategy and we believe our differentiated ability to innovate and bring timely high conviction products to market is a key ingredient in driving industry, leading organic growth.

Jared: We see greater AUM potential in this strategy, and we believe our differentiated ability to innovate and bring timely, high-conviction products to market is a key ingredient in driving industry-leading organic growth. Looking beyond flows, we continue to focus on deepening and expanding the quality of our client relationships. Through Q1, we are on track to grow the total number of clients using WisdomTree products by 4% this year, a pace that continues the strong client growth we saw in 2024. And those clients are using more of our solutions than ever before, with the average product usage per client growing at a double-digit annualized rate so far this year.

Jerry: Beyond flows we continue to focus on deepening and expanding the quality of our client relationships through Q1, we are on track to grow the total number of clients using wisdom tree products by 4%. This year a pace that continues the strong client growth we saw in 2012.

Jerry: Four and those clients are using more of our solutions than ever before with the average product usage per client growing at a double digit annualized rate. So far this year and that's a powerful combination deepening relationships, while expanding reach and it is exactly.

Jared: And that's a powerful combination, deepening relationships while expanding reach, and it's exactly the formula that drives sustainable long-term organic growth. Our Model Portfolios business remains a standout, with AUA reaching $4 billion, that's up 4% to date, reflecting a nearly 20% annualized organic growth rate. This momentum highlights our growing mindshare and wallet share, even in a tough market, with 2,700 advisors now using our model. we're on track to meet our 2025 growth targets. Our portfolio consultations practice, powered by AI-driven analytics, has tripled output versus a year ago, strengthening our broader portfolio solutions offering. With an addressable market of 85,000 advisors and $8 trillion in assets, we see significant runway ahead and are focused on deepening our market penetration.

Jerry: The formula that drives sustainable long term organic growth.

Jerry: Our motto portfolios business remains a standout with a UA, reaching 4 billion, that's up 4% to date, reflecting a nearly 20% annualized organic growth rate.

Jerry: This momentum highlights our growing mind share and while Lynch wallet share even in a tough market with 2700 advisors now using our models.

Jerry: We're on track to meet our 2025 growth targets our portfolio consultations practice powered by AI, driven analytics has tripled output versus a year ago strengthening our broader portfolio of solutions offering with an addressable market of 85000 advisors.

Jerry: <unk> eight trillion in assets, we see significant runway ahead and are focused on deepening our market penetration.

Jared: Finally, on digital assets, we're continuing to build traction across both WisdomTree Prime and WisdomTree Connect. In Q1, we expanded Prime's availability to Georgia, Tennessee, and North Carolina, and we saw modest growth in both the number of accounts and client assets. As I mentioned last quarter, our target opportunity is the on-chain community, a segment where the infrastructure is still catching up and where our on- and off-ramps are not yet in place. We expect to begin enabling on-chain transfers for a subset of users in the coming months, with broader functionality coming in September.

Jerry: Finally on digital assets, we're continuing to build traction across both wisdom tree Prime and wisdom tree connect in Q1, we expanded primes availability to Georgia, Tennessee, and North Carolina, and we saw modest growth in both the number of accounts and client assets.

Jerry: As I mentioned last quarter, our target opportunity is the Unchained community a segment, where the infrastructure is still catching up and where our on and off ramps are not yet in place. We expect to begin enabling unchanged transfers for a subset of users in the coming more.

Jerry: Once with broader functionality coming in September.

Jared: Meanwhile, WisdomTree Connect continues to differentiate us. We remain the only asset manager with a full suite of tokenized funds on-chain, and we've now opened access to institutional users across multiple blockchains. So, across the board, flows, client growth, model portfolios, digital infrastructure, we're executing on what we can control and positioning the business to capitalize on the opportunities ahead.

Jerry: Meanwhile, wisdom tree connect continues to differentiate us we remain the only asset manager with a full suite of token ice funds unchanged and we've now opened access to institutional users across multiple black change.

Jerry: So across the board flows client growth model portfolios digital infrastructure, we're executing on what we can control and positioning the business to capitalize on the opportunities ahead and with that I'll hand, it over to Jonathan.

Jon: And with that, I'll hand it over to Jon. Thanks, Jared. Hello, everyone.

Jonathan: Bounce Jaret here.

Jerry: Hello, everyone.

Jon: Last quarter, I ended my comments by saying I believe WisdomTree deserved a significant expansion of our public company multiple. Our Q1 results strongly reinforce that belief. during these volatile times. The strength and resilience of our global platform was obvious.

Speaker Change: Last quarter I ended my comments by saying I believe wisdom tree deserved a significant expansion of our public company multiple our Q1 results strongly reinforce that belief.

Speaker Change: During these volatile times, the strength and resilience of our global platform was obvious.

Let's start with growth at 116 billion assets under management were up over 6% year to date.

Jon: Let's start with growth. At $116 billion, assets under management were up over 6% year-to-date. Q1 earnings per share were up 33% compared to last year. That builds on WisdomTree's 73% increase in earnings per share in 2024. Our strong multi-year momentum continues in 2025. Uninterrupted. WisdomTree's strong organic growth and flows help drive our earnings growth. with over $3 billion in net inflows in Q1, that's an 11% organic growth rate, one of the fastest in the industry. WisdomTree is worthy of a higher multiple. We are executing exceptionally well.

Speaker Change: Q1 earnings per share were up 33% compared to last year.

Speaker Change: That builds on wisdom tree, 43% increase in earnings per share in 2024.

Speaker Change: Our strong multiyear momentum continues in 2025 uninterrupted.

Speaker Change: Wisdom tree strong organic growth in flows helped drive our earnings growth.

Speaker Change: With over $3 billion in net inflows in Q1, that's an 11% organic growth rate one of the fastest in the engine.

Speaker Change: Wisdom tree is worthy of a higher multiple.

Speaker Change: We are executing exceptionally well.

Speaker Change: Q clear recent examples of that.

Jon: Two clear, recent examples of that. as Jared and Bryan mentioned. The WisdomTree European Defense Fund, launched 7 weeks ago, has brought in over $1.4 billion in net inflows year-to-date, making it our 26th fund with more than $1 billion in AUF. It was the first UCEDD fund offering a pure basket of European defense dollars. As the Trump administration is pushing Europe to spend 5% of their GDP on self-defense. The fund has had broad appeal to all flavor of investors. virtually every region and every channel. I've been doing this for a long time, but it's still so much fun when a fund really, really connects with the moment.

Speaker Change: As Jared and Brian mentioned the Wii.

Speaker Change: Wisdom tree European Defense Fund launched seven weeks ago has brought in over $1 4 billion of net inflows year to date, making it our 26th fund with more than $1 billion in AUR.

Speaker Change: It was the first UCITS fund offering a pure basket of European defense stock.

Speaker Change: As the Trump administration is pushing Europe to spend 5% of their GDP on self defense.

Speaker Change: The fund has had broad appeal to all flavor of investors virtually every region and every channel.

Speaker Change: I've been doing this for a long time, but it is still so much fun when a fund really really connect with the moment.

Speaker Change: We are very proud of the European team and want them to enjoy it for as long as it lasts.

Jon: We are very proud of the European team and want them to enjoy it for as long as it lasts. And for WisdomTree shareholders, you never know what's possible till it happens.

Speaker Change: And for wisdom tree shareholders.

Speaker Change: Never know whats possible till it happens.

Jon: Next, I'd like to draw your attention to our tokenized products, which brought in over 100 million inflows year-to-date. It's just the beginning. I know it's early. But it's exciting to see this strategic initiative. starting to prove itself with tangible success. Remember, WisdomTree has the most extensive suite of tokenized real-world assets across equities, fixed income, and commodities. WisdomTree has positioned itself to be a huge beneficiary as adoption expands. another multiple expander. On the AUM front, diversification continues to be a real strength for WisdomTree across geographies, asset classes, and client types. It wasn't always that way. 10 years ago, this was not a strength for the company.

Speaker Change: Next I'd like to draw your attention to our <unk> products, which brought in over $100 million inflows year to date.

Speaker Change: It's just the beginning.

Speaker Change: I know it's early.

Speaker Change: But it's exciting to see this strategic initiative.

Speaker Change: <unk> to prove itself with tangible successes.

Speaker Change: Remember wisdom tree has the most extensive suite of Cocainize real world assets across equities fixed income and commodities.

Speaker Change: Wisdom tree has positioned itself to be a huge beneficiary.

Speaker Change: Adoption expands.

Speaker Change: Another multiple expander.

On the upfront diversification continues to be a real strength for wisdom tree across geographies and asset classes and client types.

Speaker Change: It wasn't always that way.

Speaker Change: 10 years ago. This was not a strength for the company.

Jon: But today it is. It's the result of years of disciplined organic and inorganic execution. Another reason I feel WisdomTree is undervalued.

Speaker Change: But today it is.

Speaker Change: It's the result of years of disciplined organic and inorganic execution.

Speaker Change: Another reason I feel wisdom tree is undervalued.

Jon: Lastly, I'd like you to think about our business model. With 116 billion in AUM and approximately 300 employees, our efficiency stands out. as WisdomTree begins to deploy AI across every aspect of our global platform. I'm energized by how it will further improve our efficiency. and the speed and quality of our execution. The future is incredibly bright for WisdomTree. We have the platform, the strategy, and the execution to drive real, lasting value creation for our shareholders in the years ahead.

Speaker Change: Lastly, I'd like you to think about our business model.

Speaker Change: With $116 billion in AUR, and approximately 300 employees our efficiency stands out.

Speaker Change: As wisdom tree begins to deploy AI across every aspect of our global platform.

Speaker Change: Im energized by how it will further improve our efficiency and speed and quality of our execution.

Speaker Change: The future is incredibly bright for wisdom tree, we have the platform the strategy and the execution to drive real lasting value creation for our shareholders in the years ahead.

Speaker Change: Thank you now, let's open up the call for Q&A.

Jon: Thank you.

Operator: Now let's open up the call to Q&A. Thank you. And at this time, we will conduct our question and answer. If you would like to ask a question, please press star 1 on your telephone keypad. Confirmation tone will indicate that your line is in the question.

Speaker Change: Thank you and at this time, we will conduct our question and answer session.

Speaker Change: If you would like to ask a question. Please press star one on your telephone keypad.

Speaker Change: A confirmation tone will indicate that your line is in the question queue.

Speaker Change: You May press Star followed by the number two if you would like to remove your question from the queue for participants using speaker equipment. It may be necessary to pick up your handset before pressing the star keys.

Operator: press star followed by the number two if you would like to remove your For participants using speaker equipment, it may be necessary to pick up your handset before pressing the start key. To get to ask a question, press star 1 on your...

Speaker Change: Once they got to ask a question press star one on your telephone keypad will pause for a moment, while we poll for questions.

Operator: We'll pause for a moment while we pull.

Speaker Change: Yeah.

Speaker Change: Our first question comes from George Sutton with Craig Hallum. Please state your question.

George Sutton: Our first question comes from George Sutton with Craig Hallam. Thank you and many congrats on the European Defense Fund. That's a that's a biggie.

Speaker Change: Thank you and many congrats on the European Defense Fund, that's a that's a biggie so.

George Sutton: So I wondered if we could talk a little bit more in detail about the on and the off ramp opportunity for WisdomTree Prime. You mentioned some near term timing, but then also a little more expanded rollout in September. Can you just give us a better sense of what you mean by that? Absolutely, George. Thank you for the question.

George Sutton: Wondered if we could talk a little bit more in detail about the on and the off ramp opportunity for wisdom tree Prime you mentioned some near term timing, but then also a little more expanded.

George Sutton: Rollout in September can you just give us a better sense of what you mean by that.

Speaker Change: Absolutely George Thank you for the question will pack our head of digital assets will you take this.

Will Peck: Will Peck, our head of digital assets. Will, will you take this? Hey, George. Yeah, thanks for the question. You know, good morning. So in terms of the on and off brands, I mean, I think that's actually one of the most critical features if you're doing something in the public blockchain space, right? The ability to interact with stable coins that are out there, other crypto assets like Bitcoin and Ether, and allow our products to travel to external wallets as well, right? So that, to me, is like one of the core user experience enhancements and really allows us to go after the crypto-native community that's out there.

Speaker Change: Hey, George Thanks for the question good morning.

Speaker Change: So in terms of the on and off ramps I mean, I think that's actually one of the most critical features if youre doing something in the public blockchain space right the ability to interact with stable coins that are out there other crypto assets like bitcoin and Easter and allow our products to travel two external walls as well right.

Speaker Change: So that to me is like one of the core user experience enhancements and really allows us to go after the crypto native community. That's out there. So as we've talked about in the past it's been you know a.

Will Peck: So as we've talked about in the past, it's been, you know, a regulatory grind. You could say we still need some states. We still need some of these product features like the external transferability. We're targeting rolling that out in kind of a measured way over the course of the summer, which sets up in September where we could really kind of increase marketing spend and really go after that user base from there. So that's some of the stuff that Jarrett was referring to when he made that point in the prepared remarks.

George Sutton: Our regulatory grind you could stay we still need some states we still need some of these product features like the external transferability, we're targeting rolling that out and kind of a measured way over the course of the summer, which steps up in September where we could really kind of increased marketing spend and really go after that user base from there. So that's some of the stuff that add chair it was referring to when he made at that point.

Speaker Change: In the prepared remarks.

Will Peck: And Will, just a brief follow-up there, relative to partners or distribution, is September the time frame when we might anticipate some partner announcements and things like that? We're not going to give any sort of specific forecast in terms of that. I mean, I think we're in lots of conversations currently, you know, as you know, we mentioned, we had $100 million in flows here to date through the WisdomTree Connect platforms through some partner relationships. So we're seeing the early green shoots of a lot of those relationships so far. And I think we'll continue to build those out in that time period.

Speaker Change: Well just a brief follow up there relative to partners or distribution.

Speaker Change: As of September the timeframe, when we might anticipate some partner announcements and things like that.

We're not going to give any sort of specific forecast in terms of that I mean, I think we're in lots of conversations currently you know as we mentioned we had $100 million in flows year to date through the wisdom for connect platforms through some partner relationship. So we're seeing the early green shoots of a lot of those relationships.

Speaker Change: So far and I think we'll continue to build those out and at that time period, but theres no kind of like guidance in terms of partnership announcements.

Will Peck: But there's no kind of like guidance in terms of partnership announcement.

George Sutton: And if I could just ask, John, a follow-up on the AI deployment. Can you give us a little bit more of a sense of how it's going to get deployed and what sort of impacts you might anticipate? Oh, yeah.

Speaker Change: And if I could just ask John with a follow up on the AI deployment can you give us a little bit more of a sense of how it's going to get deployed when what sort of impacts you might anticipate.

Speaker Change: Yes.

Speaker Change: And I'm going to turn it over to you Jared in a moment, but I will say that regulated financial services requires employees and so you can't just go.

Jon: And I'm going to turn it over to you, Jared, in a moment. But I will say that, you know, regulated financial services requires employees. And so you can't just go, you know, the FTC won't. You know, look, just to code for approval, human beings have to stand in the middle. So, and we have this incredible culture, which I think is a true advantage in implementing AI throughout the firm.

Speaker Change: The SEC won't.

Speaker Change: Look just to code for approval human beings have to stand in the middle.

Speaker Change: So and we have this incredible culture, which I think.

Speaker Change: Is it true advantage in implementing AI throughout the firm, but Jarrett why don't you go into the specifics.

Jared: But, Jared, why don't you go into the specifics. Sure. And I think, you know, just following up on that, a lot of people talk about using AI. We're really doing it. And I think the size of our company makes that more possible. We've got everyone in the company involved.

Jarrett: Sure I think.

Jarrett: Just following up on that a lot of people talk about using AI.

Jarrett: We're really doing it.

Jarrett: Thank the size of our company makes it more possible.

Jarrett: We've got everyone in the company involved in we're really looking at three broad buckets of where we can use AI to enhance our performance in the first bucket is really how do we enhance the customer experience and customer outcomes. The second one is how do we enhance growth and efficiency.

Jared: And we're really looking at three broad buckets of where we can use AI to enhance our performance. And the first bucket's really how do we enhance the customer experience and customer outcomes? The second one is how do we enhance growth and efficiency? And the third one, I think, is very interesting, is how do we actually enhance decision-making? And in all cases, it's about doing more better and doing more faster. And I can go into more detail. But, you know, in every part of the company, we're seeing results, whether that's in sales research, marketing, tech, and even in our legal workstream.

Jarrett: And the third one I think is very interesting is how do we actually enhance decision making in all cases, it's about doing more better and doing more faster.

Jarrett: And I can go into more detail, but you know in every other than every part of the company. We're seeing results whether that's in sales research marketing tech and even in our legal work streams. So it's across the board with every employee.

Jared: So it's across the board with every employee.

Jarrett: Perfect. Congrats on the results thanks, guys.

George Sutton: Perfect, congrats on the results. Thanks, guys. Thank you.

Jarrett: Thank you.

Jarrett: And a reminder to the audience to ask a question press star one.

Operator: For reminders to the audience, to ask a question, press star 1.

Speaker Change: Your next question comes from Mike Grondahl with Northland Securities. Please state your question.

Mike Grondahl: Your next question comes from Mike Grondahl with Northland Securities. Hey, guys, thanks. Um, can you just give us a little bit of update on your crypto funds today? You know, digital assets, and sort of how you see those developing over the next year or two? And then secondly, just kind of, I know you can't name names, but like, how does the pipeline look for some new ETFs? Jeremy or I think maybe you could touch on our crypto in Europe or in the U.S. You want to start there? Maybe, Will, you'll have something to add. Yeah, you know, in the U.S., from a pure crypto perspective, we've focused on Bitcoin.

Mike Grondahl: Hey, guys. Thanks can.

Can you just give us a little bit of update on your crypto funds today Digi.

Mike Grondahl: Digital assets and sort of how you see those developing over the next year or two.

Mike Grondahl: And then secondly, just kind of I know you can't name names, but like how does the pipeline look for some new Etfs.

Mike Grondahl: Yes.

Mike Grondahl: Jeremy or I think maybe you could touch on or crypto in Europe or in the U S. You want to start there may be we'll you'll have something to add.

Mike Grondahl: Yeah, you know in the U S Europe and from a pure crypto perspective, we've focused on bitcoin and then in Europe. We've had a it's really where we've shown a lot more leadership in having baskets, we launched a E.

Jared: And then in Europe, it's really where we've shown a lot more leadership in having baskets. We launched a broad 20-coin basket product, and we had some good early capital, around $100 million, come into that type of basket. We've taken in over $100 million in the crypto offering in Europe this year. And so we're seeing good leadership out of Europe. We continue to look at the U.S. in what to do, in terms of more crypto offerings. We're certainly focused on that in the Prime app that Will is going to talk about. But I think as you get a new regulatory environment in the U.S., we'll start to look to see what else we can do in the U.S.

Mike Grondahl: A broad 20, Queen basket product and we had some good early capital around $100 million come in to that type of basket, we've taken in over $100 million in the crypto offering in Europe. This year and so we're seeing good leadership out of Europe. We continue to look at the U S and what you do in terms of more crypto offerings for certain.

Mike Grondahl: So that in the prime App that will is overseeing.

Mike Grondahl: But I think as you get a new regulatory environment in the U S will start to look to see what else. We can do in the U S is a very restrictive environment here in the U S for a while in terms of the broader product set you you asked about.

Jared: It was a very restrictive environment here in the U.S. for a while.

Jared: In terms of the broader products that you asked about, we can't talk about things that are not filed or coming to market. But Jared highlighted... new opportunities fund for Europe, it's another version of what they're doing with defense over in the UCEDD form. We filed for more of that flavors in the U.S. as well. So we're going to be continuing to expand new products as we always do, looking at the right. And we're very excited that we're as diversified as ever with both growth, value, thematics. Really in terms of the global rotation that's happening this year, you're seeing our AUM hold up much better than the broader sort of U.S.

Mike Grondahl: Can't talk about things that are not filed or coming to market, but jarrett highlighted this new opportunities fund for Europe. Its a.

Mike Grondahl: Another version of what Theyre doing with defense over and they use it for them, we filed for more of that flavors in the U S. As well. So we're gonna be continue to expand new products as we always do looking at the right themes and and you know we were very excited that we're a diversified as ever with both growth value fanatics are really in terms of the.

Mike Grondahl: Mobile rotation that's happening this year youre seeing our AUM holds up much better than the broader.

Mike Grondahl: U S market opportunity set and we're excited about that.

Jared: market opportunity set, and we're excited about that.

Pam: Well, thank you Pam.

Jared: Thank you. No, I think Jeremy covered the crypto ETPs very well. Very excited about that. And there's a lot of natural synergy with what we're doing in tokenization, where, you know, like I mentioned earlier, we've got a really robust client pipeline for WisdomTree Connect over the course of the year. The money market fund's obviously been a hit so far. We're also seeing some interest in equities as well. So we're excited about that. And I think, you know, over time, we're really going to be levered to the stablecoin growth story here in the US. We're seeing stablecoin legislation making its way through Congress right now, which is just going to open up a huge user base for our products, WisdomTree Prime as well, in addition to WisdomTree Connect.

Speaker Change: I think Jeremy covered the crypto etp's very well very excited about that and Theres a lot of natural synergy with what we're doing in compensation.

Speaker Change: Where like I mentioned earlier, we've got a really robust client pipeline for wisdom for conduct over the course of the year the money market funds, obviously been a hit so far we're also seeing some interest in equities as well. So we're excited about that and I think over time, we're really going to be levered to the stable coin growth story here in the U S. We're seeing stable claim legislation, making its way through.

Speaker Change: Congress right now, which is just going to open up a huge user base for our products wisdom tree prime as well an additional wisdom from connects so we're quite excited about it.

Jared: So we're quite excited about it.

Jared: Thank you all.

Speaker Change: Thanks, Paul.

Speaker Change: Any other questions.

Operator: Any other questions? I know that. Thank you. Thanks. Thank you.

Speaker Change: No.

Speaker Change: Thank you.

Speaker Change: Thank you thanks, Mike.

Speaker Change: Thank you and there are no further questions in queue at this time, so I'll hand, the floor back to Jonathan Steinberg for closing remarks.

Jonathan Steinberg: And there are no further questions in queue at this time, so I'll hand the floor back to Jonathan Steinberg for closing. Thank you. A very strong, clean quarter.

Jonathan Steinberg: Thank you.

Jonathan Steinberg: A very strong clean quarter, we appreciate.

Jonathan Steinberg: We appreciate your support and attention on today's call, and we'll speak to you in 90 days. Thank you, everybody. Have a good day.

Jonathan Steinberg: Your support and attention on today's call and we'll speak to you in 90 days. Thank you everybody have a good day.

Jonathan Steinberg: Thank you and that concludes today's call. All parties may disconnect have a good day.

Operator: Thank you and that concludes today's call. All parties may disconnect.