News 
Coin Information 
About us 
More institutional investors worldwide are entering into the crypto space. For instance, a New Zealand wealth investment firm revealed that it has invested 5 percent of one of its funds into Bitcoin and even expects BTC to be feature more in the fund’s future investment strategy.
New Zealand Funds Management chief investment officer James Grigor revealed that five percent of KiwiSaver growth fund’s assets are now invested in Bitcoin, according to Bitcoin.com. The fund, which is managed by the wealth investment firm New Zealand Funds Management, has $350 million of assets under management as of December 2020.
Grigoralso added that he expects Bitcoin to be feature more in Kiwisaver’s investment strategy within five years. The fund was only able to invest in cryptocurrencies after it changed its offer documents in October 2020, according to the local media outlet Stuff.
Explaining the wealth management firm’s decision to allocate five percent of KiwiSaver’s portfolio in Bitcoin, Grigor said that Bitcoin already became a commodity and compared it to gold for its use as a store of value in times of economic crisis. “If you are happy to invest in gold, you can’t really discount bitcoin,” he said.
KiwiSaver has focused on traditional investment assets in the past. “Our KiwiSaver is majority built up through traditional assets classes, your bonds, and shares, and they will always be the asset classes that compound over time to give people the best retirement they can get,” Grigor explained.
However, the investment expert explained that times have changed and there’s opportunity in crypto. “But there’s going to be times when it’s not always going to be plain sailing,” he added. “You may still have a positive view of those asset classes, but other opportunities present themselves.”
However, NZ Funds Management rivals questioned its decision to invest in Bitcoin and even called it “more like gambling than investing.” Others also opined that crypto is “too speculative at this stage” and that Bitcoin has no place in their portfolios.
Comment 0