The world’s largest publicly traded hedge fund manager, Man Group Plc, plans to launch a cryptocurrency exclusive fund early next year, according to a report by Bloomberg.
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- The report cites anonymous sources with knowledge of the matter, who said the firm has been developing the strategy led by Man Group portfolio manager Andre Rzym for months.
- The dedicated fund will be approved for investors only after the company assesses it for counterparty risks, according to one of the sources.
- The news follows crypto exchange FTX’s bankruptcy filing on Nov. 11, an event that has shaken confidence in the industry. Cryptocurrency has lost over US$200 billion in market capitalization from the start of this month, according to CoinMarketCap.
- The London-based Man Group already trades cryptocurrency futures through their quant trading platform Man AHL.
- Earlier in the year, chief executive officer Luke Ellis told Bloomberg that Man Group was considering scaling up its involvement in crypto.
- Ellis previously stated that digital assets have “no inherent worth” but are a good instrument for trading due to price volatility.