By
Bhushan Akolkar
April 19th, 2024
The Bloomberg Future of Finance Index involves companies from diverse sectors like financial foundations, technology solutions, and digital asset infrastructure.
On Wednesday, February 2, the world’s largest digital asset manager Grayscale launched the first equity ETF the Bloomberg Grayscale Future of Finance (BGFOF) index.
Future of Finance Index
As of date, Grayscale manages more than $38.2 billion in assets under management. It noted that the fund shall be managed by the US and will trade under the ticker GFOF. Also, Grayscale’s ETF fund distributor will be Foreside Fund Services, LLC.
Bloomberg launched its Bloomberg Grayscale Future of Finance (BGFOF) Index last month in January. The Index tracks the performance of 22 different financial services companies in the digital economy. This includes companies like Coinbase Global, PayPal, Argo Blockchain, Silvergate Capital.
Thus, it includes companies operating in wide sectors like exchanges, blockchain/tech, asset management, payments, etc. Speaking of this development, Grayscale Investments CEO Michael Sonnenshein said:
“While Grayscale has established itself as a global leader in digital currency investing, the future of finance demands a much broader mandate. We’re proud to announce our first ETF in partnership with Bloomberg as we undertake this strategic expansion of our business. This product draws upon our historical strengths, while kicking off the next stage of our evolution as an asset manager that helps investors build portfolios that can stand the test of time.”
Grayscale Diverisfying Its Product Range
With the launch of its first equity ETF, Grayscale is now expanding its product range from just crypto investing to giving investors exposure to mainstream markets.
Bloomberg GFOF Index caters to the theme that the digital economy will boost global commerce and bring a new pool of capital while eliminating inefficiencies and intermediaries. Speaking of this development, Dave Gedeon, Global Head of Multi-Asset Indices at Bloomberg said:
“We are excited to partner with Grayscale as they advance their commitment to innovative, investable products, and we believe Bloomberg has built a best-in-class benchmark for the market. Backed by our proprietary data married with robust research from Bloomberg Intelligence, the Bloomberg Grayscale Future of Finance Index is primed to become the key equity benchmark for our ever-evolving digital economy.”
As the crypto market matures, Grayscale has been also bringing a new range of products involving DeFi and altcoins. Grayscale is also awaiting the SEC nod to convert its Grayscale Bitcoin Trust (GBTC) to a spot Bitcoin ETF.