BlackRock, the manager with over $10 trillion in assets, is taking another step towards integrating Bitcoin into its investment portfolio. The company recently submitted an application to the US Securities and Exchange Commission (SEC) to integrate Bitcoin Spot ETFs into its Global Allocation Fund.

BlackRock takes Bitcoin one step further

BlackRock, the world’s largest asset manager, recently filed a document with the Securities and Exchange Commission (SEC) seeking permission to purchase Bitcoin Spot ETFs as part of its Global Allocation Fund.

In its application, BlackRock states :

“The fund may acquire shares of exchange-traded products (ETPs) that seek to mirror the performance of the Bitcoin price by holding Bitcoin directly, including shares of a Bitcoin ETP sponsored by a subsidiary of BlackRock. The fund will only invest in Bitcoin ETPs that are listed and traded on national stock exchanges.”

 

BlackRock’s Global Allocation Fund is an investment fund that aims to generate attractive total returns by investing in a wide range of asset classes, including equities, bonds and other financial products, thus offering a diversified and flexible investment.

The fund has $17.8 billion in assets under management, and is currently 36% S&P 500, 24% FTSE World excluding US, 24% ICE BofA/ML Cur 5-yr US Treasury, an index that measures the performance of 5-year US Treasury bonds, and 16% FTSE Non-USD WGBI, an index that measures the performance of government bonds denominated in currencies other than the dollar.

If this application were approved by the US SEC, BlackRock’s clients would be able to invest in Bitcoin more easily. If 5% of this fund were to be allocated to Bitcoin, it would then consist of around 13,000 BTC, or $900 million at current prices.

Source : Securities and Exchange Comission

David