WisdomTree Investments (WETF-Q)

(A Top Pick Nov 6/13. Down 24.6%.) This is the ETF manufacturer, so they do a lot of ETF's. He got stopped out of this.

At an interesting level and trading in line with companies that have way less growth. Continuing to see asset flows and new products being introduced by the company that is being undervalued by the market.

(Top Pick Nov 1/13, Up 29.45%) Fantastic call. Took a little money off the table on this. Excellent management team. The right market momentum in terms of product portfolio. The ETF world will grow. Continues to believe the trend is your friend.

The ETF business is going to be over $3.5 trillion. Large major mutual fund companies are ceding flows to the ETF industry. This is 7th-9th largest but the accounts are very large with a lion’s share of new info. Their flagship, which is a 3^rd of their assets, is the Wisdomtree Japan, hedged to the US because you don’t want to be part of a falling yen. Tomorrow they start trading in the hedged Korean ETF.

ETF provider. Likes the way management operates. The trend in the ETF space is going to be a trend for a long time. Majority of assets that are coming into the equity markets are going into ETFs. This one is essentially a third-party marketer for other people’s products, so they don’t take any liability in terms of how to rebalance portfolios or what to put in it. Recently changed one of their partners on the servicing side, which will increase operating margins by 400 basis points.