WisdomTree and ETFS Capital face off over performance concerns

Graham Tuckwell of ETFS Capital

WisdomTree is facing a revolt from its biggest shareholder over the firm’s “dismal performance”, which is attempting to topple its CEO and chair.

Graham Tuckwell is chair of ETFS Capital, which holds an 18.3% stake in the firm, and accused the firm of failing to provide necessary management oversight, resulting in "massive stockholder value destruction". In a letter to WisdomTree's board yesterday (12 April), Tuckwell noted that since the firm acquired the ETFS ETC business in 2018, its total stockholder return had been -34%, compared to a positive return of 34% for the Russell 2000 index and 51% for ETF provider BlackRock. He argued the firm had "repeatedly refused to engage" since last year, noting ETFS had made various sugge...