Asset management companies continue to adopt bitcoin as a key tool for diversifying the investment portfolio

 

Asset management companies continue to

adopt bitcoin as :

a key tool for diversifying the investment portfolio

Given the potential benefits of Bitcoin's role as a diversification product

for the portfolio :

asset managers continue to actively increase their allocation to Bitcoin.

In a recent note :

digital asset trading company QCP Capital

revealed that asset managers are still adding customizations

Bitcoin as a :

"portfolio diversification product."

In addition :

requests for regulated assets such as accumulators

and FCNs flocked, revealing a strong turnout

Diversify Bitcoin investment portfolios, writes Singapore-based cryptocurrency.

"Experimentally :

wealth offices in big banks were surprised by the huge demand from customers

for market-traded bitcoin funds, as well as orders for regulated

products such as accumulators and FCNs."

Bitcoin targets a level of $100,000.

• Bitcoin recently surpassed $70,000 after news that the London Stock

• Exchange was planning to launch bonds

• Traded for Bitcoin and Ethereum in May.

However :

QCP expects the leading cryptocurrency to maintain momentumbreaking records

And maybe up to the desired $100,000 level.

Note that Bitcoin's ability to deliver potential returns independent of

traditional assets has become an attractive proposal

for these managers, despite the unpredictable nature of the market.

At the same time

1. the possibility of bitcoin continuing
2. its upward trajectory may depend on
3. broader macroeconomic factors.

For its part

many analysts may consider that bitcoin's next rally becomes more relevant to 

the market If there is no significant shift towards risk avoidance.

In this context :

the QCP report presents two trading ideas for consideration.

First :

the basis of bitcoin at present shows a rise

with the front portion yield exceeding 20%,

This offers an opportunity for strategic positioning in the market.

Second :

• the use of accumulators, which allows investors to acquire bitcoin 

• at a reduced price, may be useful before attention

• Expected of players in traditional markets.

At the time of writing, the leading cryptocurrency trades at $70,584

an increase of 5.12%

In the last 24 hours.

The main cryptocurrency is up nearly 9% over the past week

and nearly 37% over the past month.

It is only 4.6% :

away from its all-time high of $73,750 recorded on March 14.

• Bitcoin bonds traded on the London Stock Exchange will be offered.

• The London Stock Exchange announced plans to launch trading notes

• (ETNs) for bitcoin and ethereum on May 28.

These decisions come after the stock exchange's previous announcement to

accept crypto ETNs during the second quarter of this year.

According to the LSE notification

companies interested in including bitcoin

• and ethereum feedback on the market can

• New applications from April 8, representing an important step towards

• the adoption of digital assets in key markets.

While ETFs and ETNs offer an opportunity to invest in a range of assets

However :

they differ in structure.

ETFs represent partial ownership of underlying assets

similar to a basket of shares.

On the other hand, ETNs work more like unsecured bonds issued by banks.

When investors buy ETN, they actually lend to the bank for a note that

guarantees returns based on to the performance of a particular indicator or asset.

It should be noted that the future Bitcoin and Ethereum ETNs on the London Stock

Exchange will be regulated by a body Financial Behaviors (FCA), limiting 

participation for "professional investors" only.

• These classifications include credit institutions and certified investment

• companies operating in financial markets,With retail investors

• excluded from access to these ETNs.

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