1. Execution Platforms

Execution Platforms offer their clients the ability to invest on their own into shares, ETPs and other financial products. Execution Platforms typically offer transaction-based fees, and do not offer financial advice.

2. Financial Advisers

Financial Advisers often provide holistic services to their clients that include both advice and execution. Advisers may offer both fixed fee, and transactional fees schedules. VouchedFor and Unbiased can both help investors find an adviser.

3. Stockbroker

A stockbroker is a professional entity or individual that is registered to trade on a stock exchange. Stockbrokers typically trade shares as well as ETPs. Most brokers charge transaction-based fees, however this may vary. UK investors can find a list of stockbrokers on the exchange here.

Exchanges

Below is a list of European exchange venues where WisdomTree products are listed

• London Stock Exchange
• Borsa Italiana
• Deutsche Boerse
• Euronext Amsterdam
• Euronext Paris
• SIX Swiss Exchange

What are the costs?

The price of securities will depend on the current value of the underlying index or asset on which the ETP is based. It will also include various fees and charges:

1. Product costs
   
   1. Total Expense Ratio (TER) (%)
      This refers to the fees subtracted to cover the cost of operating the product and is typically expressed as an annualised percentage. For more information about specific product fees, please see individual product pages. Also sometimes referred to as the Management Fee or the Management Expense Ratio (MER).
      
   2. Rebalancing costs
      The cost incurred by physical ETPs when they buy and sell securities. When the underlying index changes its constituents, the ETP must do likewise. Transaction costs depend on how many and how often the index constituents change: the greater the number and frequency, the more expensive the rebalancing costs will be.
      
   3. Swap spread
      The fee paid by synthetic ETP providers to the swap counterparties for the swap agreements. Generally, more illiquid or exotic exposures have more expensive swap spreads. Sometimes the swap spread is incorporated into the TER of ETPs.
      
   4. Securities lending
      
      Revenue incurred by physical ETPs can reduce the cost of the ETP. WisdomTree does not engage in securities lending.
      
2. Bid/Offer Spread
   
   This refers to the price a market maker* charges an investor when they buy or sell an ETP on a stock exchange. This is often quoted in basis points, one-hundredth of a percent, so a 10 basis point spread would indicate a 0.1% difference between the market maker’s bid (the price at which an investor would sell) and the price the market maker offers (the price at which an investor would buy).
   
3. Broker/Platform charges
   
   This refers to the charges exacted by the broker or platform for executing the requested order.

A market maker is a specialist in providing prices for investors to buy or sell at.