Related Party Transactions

3 Months Ended

Mar. 31, 2020

18. Related Party Transactions

The Company’s revenues are derived primarily from investment advisory agreements with related parties. Under these agreements, the Company has licensed to related parties the use of certain of its own indexes for the U.S. and WisdomTree UCITS ETFs. The Board of Trustees and Board of Directors (including certain officers of the Company) of the related parties are primarily responsible for overseeing the management and affairs of the entities for the benefit of their stakeholders and have contracted with the Company to provide for general management and administration services. The Company is also responsible for certain expenses of the related parties, including the cost of transfer agency, custody, fund administration and accounting, legal, audit, and other

non-distribution

services, excluding extraordinary expenses, taxes and certain other expenses, which is included in fund management and administration on the Company’s Consolidated Statements of Operations. In exchange, the Company receives fees based on a percentage of the ETPs’ average daily net assets. The advisory agreements may be terminated by the related parties upon notice.

The following table summarizes accounts receivable from related parties which are included as a component of accounts receivable on the Company’s Consolidated Balance Sheets:


	March 31, 2020		December 31, 2019
Receivable from WTT	$	11,220	$	14,765
Receivable from ManJer Issuers		7,612		9,036
Receivable from WMAI and WTI		1,283		1,559
Receivable from WTAMC (Note 24)		—		227
Receivable from WTCS		54		80

Total	$	20,169	$	25,667

The allowance for credit losses on accounts receivable from related parties is insignificant when applying historical loss rates, adjusted for current conditions and supportable forecasts, to the amounts outstanding in the table above. Amounts outstanding are all invoiced in arrears, are less than 30 days aged and are collected shortly after the applicable reporting period.

The following table summarizes revenues from advisory services provided to related parties:


	Three Months Ended
	March 31, 2020		March 31, 2019
Advisory services provided to WTT	$	39,601	$	42,223
Advisory services provided to ManJer Issuers		20,258		19,273
Advisory services provided to WMAI and WTI		2,528		2,504
Advisory services provided to WTAMC		365		546
Advisory services provided to WTCS		198		294

Total	$	62,950	$	64,840

The Company also has investments in certain WisdomTree ETFs of approximately $19,636 and $16,886 at March 31, 2020 and December 31, 2019, respectively. Losses and gains related to these ETFs for the three months ended March 31, 2020 and 2019 were ($290) and $353, respectively.