Morgan Stanley has filed an application with the U.S. Securities and Exchange Commission (SEC) to incorporate Bitcoin exposure into the investment strategy of its 12 mutual funds. These mutual funds may invest in Bitcoin futures and gain indirect exposure to cryptocurrencies through investment in Grayscale Bitcoin Trust, document details.
Bitcoin exposures of 12 Morgan Stanley mutual funds
Morgan Stanley’s asset management arm, Morgan Stanley Institutional Fund Inc., filed a supplementary statement with supplementary information to the U.S. Securities and Exchange Commission (SEC) on Wednesday. The purpose of the document is to enable the 12 mutual funds of investment banks to start increasing their exposure to Bitcoin.
The company explained that “Bitcoin risk exposure” has been added to the “Investment Policies and Strategies” of the 12 mutual fund portfolios under the “Other Securities and Investment Strategies” section.
Mutual funds that may begin to increase exposure to Bitcoin are Advantage Portfolio, Asian Opportunity Portfolio, Benchmarking Global Portfolio, Developing Opportunity Portfolio, Global Advantage Portfolio, Global Permanent Portfolio, Global Opportunity Portfolio, Growth Portfolio , Initial investment portfolio, international advantage investment portfolio, international opportunities, and permanent investment portfolio.
The file description:
Certain funds may invest in Bitcoin indirectly through cash-settled futures or through investments in Grayscale Bitcoin Trust (BTC) (“GBTC”), a privately provided investment tool for investing in Bitcoin.
In addition, the document also details that each investment portfolio “can obtain exposure to Bitcoin and other assets by investing 25% of its total assets in a wholly-owned subsidiary of a fund of a company organized under the laws of the Cayman Islands.口.” In addition, “Each subsidiary can invest in GBTC, cash-settled Bitcoin futures and other investments.”
Regarding the BTC-based futures contracts that certain funds may invest in, the document clarified: “The only bitcoin futures that the fund can invest in are cash-settled bitcoin futures traded on a CFTC-registered futures exchange. [the U.S. Commodity Futures Trading Commission]. “
Recently, Morgan Stanley (Morgan Stanley) revealed that it will provide wealthy customers with the right to use three bitcoin investment funds. The company’s head of emerging markets and chief global strategist said in February: “Cryptocurrency exists as an important asset class.”
What do you think of Morgan Stanley’s increase in Bitcoin exposure in its mutual funds? Let us know in the comments section below.
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