WisdomTree, Inc. Goodwill & Intangibles Disclosure
23. Goodwill and Intangible Assets
Goodwill
The table below sets forth goodwill which is tested annually for impairment on November 30th:
| Total | ||||
| Balance at January 1, 2025 | $ | 86,841 | ||
| Add: Goodwill—Ceres Acquisition | 141,783 | |||
| Balance at December 31, 2025 | $ | 228,624 | ||
Goodwill arising from the Ceres Acquisition represents expected synergies from the integration of Ceres and the Company, including capital raising activities for a new farmland fund to be formed. Goodwill is not amortized for financial reporting purposes, and it is expected to be deductible for tax purposes.
Goodwill was tested for impairment on November 30, 2025. The quantitative impairment test was performed using a market approach, whereby the market capitalization of the Company (a single reporting unit) was compared to its carrying value. The market capitalization was derived from the Company’s publicly traded stock price plus a reasonable control premium. The fair value of the reporting unit exceeded its carrying value and therefore no impairment was recognized.
Of the total goodwill of $228,624 at December 31, 2025, $85,042 is not deductible for tax purposes as the acquisitions that gave rise to the goodwill were structured as stock acquisitions. The remainder of the goodwill is deductible for U.S. tax purposes.
Intangible Assets
The table below sets forth the Company’s intangible assets which are tested annually for impairment on November 30th:
| Balance at December 31, 2025 | ||||||||||||
| Item | Gross Asset | Accumulated Amortization | Net Asset | |||||||||
| ETFS Acquisition | $ | 601,247 | $ | $ | 601,247 | |||||||
| Ceres intangible assets | 143,500 | (1,435 | ) | 142,065 | ||||||||
| Software development | 9,823 | (4,178 | ) | 5,645 | ||||||||
| Balance at December 31, 2025 | $ | 754,570 | $ | (5,613 | ) | $ | 748,957 | |||||
| Balance at December 31, 2024 | ||||||||||||
| Item | Gross Asset | Accumulated Amortization | Net Asset | |||||||||
| ETFS Acquisition | $ | 601,247 | $ | $ | 601,247 | |||||||
| Software development | 6,855 | (2,206 | ) | 4,649 | ||||||||
| Balance at December 31, 2024 | $ | 608,102 | $ | (2,206 | ) | $ | 605,896 | |||||
ETFS Acquisition (Indefinite-Lived)
In connection with the ETFS Acquisition, which was completed on April 11, 2018, the Company identified intangible assets valued at $601,247 related to the right to manage AUM through customary advisory agreements. These intangible assets were determined to have indefinite useful lives and are not deductible for tax purposes.
The Company performed its indefinite-lived intangible asset impairment test related to these customary advisory agreements on November 30, 2025. The results of this analysis identified no indicators of impairment to be recognized based upon a quantitative assessment (discounted cash flow analysis) which relied upon significant unobservable inputs including a projected revenue growth rate of 3% and a weighted average cost of capital of 9.0%.
Ceres Acquisition (Finite-Lived)
In connection with the Ceres Acquisition, which was completed on October 1, 2025, the Company identified intangible assets valued at $143,500 related to purchase price allocated to a customary advisory agreement ($135,000) and trade name ($8,500). These intangible assets were determined to have a finite life (estimated useful life of 25 years) and are deductible for tax purposes.
As of December 31, 2025, expected amortization expense for the unamortized finite-lived intangible assets for the next five years and thereafter is as follows:
| 2026 | $ | 5,470 | ||
| 2027 | 5,470 | |||
| 2028 | 5,470 | |||
| 2029 | 5,470 | |||
| 2030 | 5,470 | |||
| 2031 and beyond | 113,365 | |||
| Total expected amortization expense | $ | 142,065 |
The weighted-average remaining useful life of the finite-lived intangible assets is 24.8 years.
Software Development (Finite-Lived)
Internally-developed software is amortized over a useful life of three years. During the years ended December 31, 2025, 2024 and 2023, the Company recognized amortization expense on internally-developed software of $1,972, $1,522 and $634, respectively.
As of December 31, 2025, expected amortization expense for the unamortized finite-lived intangible assets for the next five years and thereafter is as follows:
| 2026 | $ | 2,612 | ||
| 2027 | 1,807 | |||
| 2028 | 1,155 | |||
| 2029 | 71 | |||
| Total expected amortization expense | $ | 5,645 |
The weighted-average remaining useful life of the finite-lived intangible assets is 2.4 years.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 25, 2026 | Showing above |
| 2024 | Feb 26, 2025 | |
| 2023 | Feb 23, 2024 | |
| 2022 | Feb 28, 2023 | |
| 2021 | Feb 25, 2022 | |
| 2020 | Feb 19, 2021 | |
| 2019 | Feb 28, 2020 | |
| 2018 | Mar 1, 2019 | |
| 2017 | Mar 1, 2018 | |
| 2016 | Mar 1, 2017 | |
| 2015 | Feb 29, 2016 | |
About Goodwill & Intangibles Disclosures
Goodwill and intangible asset disclosures reveal the premium paid in acquisitions and how management assesses whether that premium retains its value. Since goodwill is no longer amortized under US GAAP, the annual impairment test is the only mechanism that adjusts carrying values downward — making the assumptions behind that test critically important for investors.
Key signals: a history of goodwill impairments suggests management consistently overpays for acquisitions. Watch the gap between reporting unit fair value and carrying amount — when fair value exceeds carrying amount by less than 10-20%, a small decline in business performance could trigger a write-down. For finite-lived intangibles, examine useful life assumptions across customer relationships, technology, and trade names; aggressive estimates inflate near-term earnings. Compare total intangibles-to-total-assets ratios against peers to assess acquisition dependency. Rising goodwill as a percentage of equity can signal balance sheet fragility.