German asset management company Union Investment seeks BTC exposure for several funds

Union Investment, a $500 billion asset management company, is planning to increase Bitcoin (Bitcoin) As part of a targeted pilot program for its institutional clients, provided to several investment funds, providing convincing evidence that encryption is becoming the mainstream of Europe’s largest economy.

Frankfurt-based institution Tell Bloomberg said on Monday that it is considering adding BTC to a handful of investment funds that are only open to private investors. For each fund, Bitcoin exposure will be limited to no more than 2% of total assets. Portfolio manager Daniel Bathe said that the new investment strategy may begin in the fourth quarter, but did not give a fixed timetable.

Union Investment is the investment arm of DZ Bank Group, which has more than 800 cooperative banks. As of June 30, 2021, the assets under joint investment management amounted to US$507 billion, making it one of the largest asset management companies in Germany.

Germany is quickly becoming a hotbed of crypto investment, especially among institutional participants. August 2nd, a New law allowing institutional funds to hold cryptocurrencies The entry into force laid the foundation for the wider adoption of digital assets, even in German pension funds. At the same time, German securities broker S Broker recently announced a set of products focused on cryptocurrencies.

related: What the SEC can learn from German regulators

At the retail level, Germans are not ranked high in cryptocurrency adoption, According to a recent survey by the financial comparison website Finder. The survey of 42,000 people estimated that only 11% of Germans had access to digital assets. Although this is higher than the United States and the United Kingdom, it ranks far below emerging markets and other European countries.

Bitcoin is once again the first cryptocurrency born Push to 52,000 USD. Prices have recovered about 79% from the summer trough. In the process, the total market value of Bitcoin once again approached $1 trillion.