Cboe Vest, the asset management company focused on institutional investment has recently launched the first-ever Bitcoin mutual fund developed specifically in order to protect investors from making losses due to fluctuations in the market. This has come amid the recent rise in demand for cryptocurrencies and especially Bitcoin.
In a recent press statement, the asset management company noted that the Cboe Vest Bitcoin Strategy Managed Volatility Fund is created keeping in mind the surge in the popularity and demand for Bitcoin.
In accordance with the data released by Cboe Vest, the new fund is going to actively manage the fluctuations by calibrating Bitcoin futures and cash allocations.
Moreover, the official statement tells that the feature is going to provide room for capable minimization of the impact of drawdowns and poor market timings.
The CEO of Cboe Vest, Karan Sood, released a statement that laid an emphasis on the demand for Bitcoin and the concerns related to the fluctuations in the asset and said:
“Investors have been eager for access to Bitcoin, and until very recently were challenged to access Bitcoin returns in a brokerage account. However, the cryptocurrency’s volatility has been concerning to some investors. We set out to solve those issues, in a novel way. The Fund seeks to provide access to Bitcoin returns and minimize the impact of drawdowns, with the security and convenience of a mutual fund.”
It can be said that Bitcoin has now matured enough to have experienced a whole lot of fluctuations, ups, and downs in its prices.
This thing concerns the investors from taking a step to put their money in this asset and as a reason of this, many of them have maintained a distance from the asset.
It has already been said that once the price fluctuations of Bitcoin are managed, the asset will be able to become a mainstream asset.