WisdomTree runs ETFs and licenses its own indexes to other firms, like a fund factory that also sells the recipes.
Revenue comes from ETF management fees and index licensing, with gross margins around 72% and net margins around 22% in 2025, indicating recurring, high-margin income.
WisdomTree's proprietary indexes and ETF brand create switching costs, but BlackRock and Vanguard dominate with lower fees, eroding its edge. Moat level: eroding.
