Global investment company Guggenheim Investment Company has applied to the US Securities and Exchange Commission to establish a new fund that may seek exposure to Bitcoin (Bitcoin).
According to documents submitted on Tuesday, the new Guggenheim Active Allocation Fund will be a diversified closed-end management investment fund Look for Cash-settled derivatives are invested in cryptocurrencies such as Bitcoin. The filing explains that such tools include exchange-traded futures, investment tools that provide exposure to BTC and other cryptocurrencies through indirect exposure such as direct investment or derivative contracts.
The company stated that the fund’s exposure to cryptocurrencies could cause the fund to suffer significant losses, and listed some risks related to the industry:
“Cryptocurrency is a new technological innovation with a limited history; it is a highly speculative asset. Future regulatory actions or policies may limit the value of the Fund’s indirect investment in cryptocurrencies and the exchange or use of The ability to pay may be severely disadvantageous.”
According to the document, Guggenheim’s Chief Investment Officer Scott Minerd will be responsible for the day-to-day management of the fund’s portfolio together with Assistant Chief Information Officer Anne Bookwalter Walsh, Managing Director Steve Brown and Director Adam Bloch.
Last year, Guggenheim submitted another document to the US Securities and Exchange Commission, stating that its Guggenheim Macro Opportunity Fund may indirectly seek investment exposure to Bitcoin By investing up to 10% of its net asset value In the Grayscale Bitcoin Trust.
Minerd is known for its different positions on cryptocurrencies and Bitcoin. Executives mentioned the crypto market After being a “tulip mania” Bitcoin fell to nearly $30,000 May 19th.Despite comparing the crypto industry to a financial bubble, Minerd is still bullish on Bitcoin for a long time and predicted earlier this year BTC may reach 600,000 USD.