This collaboration with Eaglebrook would facilitate its vision of expanding its services beyond exchange-traded funds (ETFs).
Cathie Wood-led ARK Invest has since 2015 been involved in crypto equity and security investment. Having come up with a series of growth throughout this period, Ark Investment has announced a collaboration with digital asset platform Eaglebrook to make its two actively-managed crypto strategies available to its registered investment advisors. As demanded by the collaboration, the strategies would be available as Separately Managed Accounts.
“The strategies will be separately managed accounts (SMAs) designed to meet the needs of financial advisors, wealth managers, and their clients by offering direct ownership, low minimums, and portfolio reporting integration among other benefits,” Cathie Wood, ARK’s founder and CEO.
It is worth noting that SMA exists as a portfolio created by a financial advisor or investment firm for a single investor. With ETF on the other hand, shares of the fund are owned by investors rather than underlying securities.
This collaboration would facilitate its vision of expanding its services beyond exchange-traded funds (ETFs).
According to the press release, Ark Crypto Strategies, by investing in tokens based on the blockchain, seek to capitalize on three primary revolutions. Its crypto strategy also seeks to capitalize on the monetary revolution. In addition, it seeks to capitalize on financial and internet revolutions. This is done by managing the top 10 to 20 coins representing opportunities important to the major theme identified by Ark. This is said to include Decentralized Finance, Web3, Smart Contract Networks, and Infrastructure and Scaling.
In a statement, Yassine Elmandjra, ARK’s crypto asset analyst disclosed that the crypto ecosystem is fundamentally stronger than investors in traditional Asset Management are willing to acknowledge based on the price action in the last year.
“We’re thrilled to be offering actively managed crypto strategies to advisors during a time when, we believe, much of the speculative behavior has died down. We believe this presents an attractive entry point for investors,” said Elmandjra.
Ark Innovation ETF, the top-tier fund of the firm, has been focusing on the long-term growth of capital by channeling its investment in disruptive innovation companies. According to its website, it has $7.946 billion under management.
In July, Ark sold over 1.4 million Coinbase (COIN) shares after the firm was subjected to an investigation on alleged insider trading. Ark Investment has also predicted that Bitcoin will trade at $1 million by 2030.
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