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Goodwill and Intangible Assets | 9 Months Ended
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Sep. 30, 2018
Goodwill and Intangible Assets Disclosure [Abstract] |
Goodwill and Intangible Assets | 22. Goodwill and Intangible Assets Goodwill The table below sets forth goodwill by reporting unit. Goodwill allocated to the U.S. Business reporting unit is tested annually for impairment on April 30th. Goodwill allocated to the European Business reporting unit is tested annually for impairment on November 30th.
|  | Reporting Unit |  |  |  |
|  | European Business(1) |  |  | U.S. Business |  |  | Total |
Balance at January 1, 2018 |  | $ | — |  |  | $ | 1,799 |  |  | $ | 1,799 |
Increases/(decreases) |  |  | 84,057 |  |  |  | — |  |  |  | 84,057 |
Balance at September 30, 2018 |  | $ | 84,057 |  |  | $ | 1,799 |  |  | $ | 85,856 |
(1) | Europe is included in the Company’s International Business reportable segment.
Goodwill allocated to the U.S. Business reporting unit was tested for impairment on April 30, 2018. The fair value of the reporting unit exceeded its carrying value and therefore no impairment was recognized. European Business Reporting Unit—ETFS Acquisition As more fully disclosed in Note 3, the Company completed the ETFS Acquisition on April 11, 2018. In connection with the acquisition, the Company recognized $84,057 of goodwill which was allocated to the European Business reporting unit. The goodwill represents the value of expected synergies created from combining the operations of ETFS and the Company. The goodwill is not deductible for tax purposes as the transaction was structured as a stock acquisition occurring in the United Kingdom. U.S. Business Reporting Unit—WisdomTree Continuous Commodity Index Fund Effective January 1, 2016, the Company acquired the outstanding membership interest in GreenHaven Commodity Services, LLC, the managing owner of the Greehaven Continuous Commodity Index Fund (renamed the WisdomTree Continuous Commodity Index Fund, or “GCC”). In connection with the acquisition, the Company recognized $1,799 of goodwill which was allocated to the U.S Business reporting unit. The goodwill primarily represents the potential future performance of the fund and is deductible for tax purposes. Intangible Assets (Indefinite-Lived)
|  | Advisory Agreements (ETFS) |  |  | Advisory Agreements (Questrade AUM) |  |  | Advisory Agreement (GCC) |  |  | Total |
Balance at January 1, 2018 |  | $ | — |  |  | $ | 2,132 |  |  | $ | 9,953 |  |  | $ | 12,085 |
Foreign currency translation |  |  | — |  |  |  | (58 | ) |  |  | — |  |  |  | (58 | )
Other increases/(decreases) |  |  | 601,247 |  |  |  | — |  |  |  | — |  |  |  | 601,247 |
Balance at September 30, 2018 |  | $ | 601,247 |  |  | $ | 2,074 |  |  | $ | 9,953 |  |  | $ | 613,274 |
ETFS In connection with the ETFS Acquisition which was completed on April 11, 2018 (see Note 3), the Company identified intangible assets valued at $601,247 related to the right to manage AUM through customary advisory agreements. The fair value of the intangible assets was determined using an income approach (discounted cash flow analysis) which relied upon significant unobservable inputs including a revenue growth multiple of 3% to 4% and a weighted average cost of capital of 11.6%. The intangible assets were determined to have indefinite useful lives and are not deductible for tax purposes. The Company has designated November 30th as its annual impairment testing date for these intangible assets. Questrade ETFs During the fourth quarter of 2017, the Company acquired a suite of eight Canadian listed ETFs from Questrade, Inc. (the “Questrade ETFs”) with approximately CAD $99,108 (USD $77,403) in AUM at closing. The purchase price was CAD $2,675 (USD $2,132), all of which was allocated to the Company’s right to manage AUM in the form of advisory contracts. This intangible asset is translated based on the end of period exchange rates from local currency to U.S. dollars. Most of the Questrade ETFs were merged into the Company’s existing Canadian listed ETFs. The intangible assets (which are deductible for tax purposes) were determined to have an indefinite useful life. The Company has designated November 30th as its annual impairment testing date for these intangible assets. GCC As part of the GreenHaven acquisition which occurred on January 1, 2016, the Company identified an intangible asset valued at $9,953 related to its customary advisory agreement with GCC. This intangible asset (which is deductible for tax purposes) was determined to have an indefinite useful life. The Company has designated November 30th as its annual impairment testing date for this indefinite-lived intangible asset.

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- Definition The entire disclosure for goodwill and intangible assets. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -URI http://asc.fasb.org/topic&trid=2144416 + Details
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