Cryptocurrency News

Guggenheim’s new fund could be exposed to bitcoin, SEC filing shows



Global investment firm Guggenheim Investments has applied to the United States Securities and Exchange for a new fund that could be exposed to bitcoin (B T c)

As of Tuesday’s filing, the new Guggenheim Active Allocation Fund will be a diversified, closed-end management investment fund that may To ask Investment exposure through cash-settled derivative instruments for cryptocurrencies such as bitcoin. Such instruments include exchange-traded futures, investment instruments that offer BTC as well as other cryptocurrencies through direct investment or indirect exposure such as derivative contracts, filing notes.

The company stated that the fund’s exposure to crypto could result in substantial losses to the fund, citing several risks associated with the industry:

“Cryptocurrency is a new technological innovation with a limited history; it is a highly speculative asset and future regulatory actions or policies may limit, perhaps to a materially unfavorable extent, the value of a fund’s indirect investment in cryptocurrency and that of cryptocurrency.” The ability to exchange or use it for payment.

According to the document, Guggenheim’s Chief Investment Officer Scott Minrad will be responsible for day-to-day management of the fund’s portfolio, along with Assistant CIO Anne Buchwalter Walsh, Managing Director Steve Brown and Director Adam Bloch.

Last year, the Guggenheim put out another SEC filing, saying its Guggenheim Macro Opportunities Fund may indirectly seek investment risk in bitcoin. By way of investment up to 10% of its net asset value In Grayscale Bitcoin Trust.

Minerd is known for its somewhat mixed stance on crypto and bitcoin. Executive refers to the crypto market Later as “Tulipmania” Bitcoin is around $30,000. submerged to on 19 May. Despite comparing the crypto industry to a financial bubble, Minerd is still bullish on bitcoin in the long term, having predicted earlier this year that BTC Could Potentially Reach $600,000.