Solid Markets Lift WisdomTree's Revenue
A rising market is good news for companies that manage money. Exchange-traded fund specialist WisdomTree Investments (NASDAQ: WETF) relies on the advisory fees that it charges to generate revenue, and higher values on the assets that it manages can help the company collect more from the percentage of assets that it charges most of its clients. Indeed, that business model is attractive enough that there's been new interest in acquisitions in the space recently.
Coming into Friday's third-quarter financial report, WisdomTree investors expected flat bottom-line performance but wanted to see signs of strength in generating revenue growth. WisdomTree largely delivered what those investors had expected to see, although modest fund outflows were still troubling to those who would prefer that the asset manager's offerings be more popular among its customer base. Let's take a closer look at how WisdomTree did and what's ahead for the ETF manager.
Image source: Getty Images.
Source: Fool.com
