- As per sources the new hedge fund may be ready by the year’s end.
- Man Group managed $138.4 billion in assets at the end of September.
Despite the massive fall of FTX earlier this month. London-based investment firm Man Group Plc is planning to start a cryptocurrency hedge fund.
According to a Bloomberg report from the 18th of November, Man Group is getting ready to launch its cryptocurrency-focused hedge fund via its algorithmic trading arm AHL. Bloomberg reported, based on unnamed sources, that the new hedge fund may be ready by the year’s end.
As a result of AHL’s robust crypto futures trading, Man Group is already exposed to digital assets. Man Group managed $138.4 billion in assets at the end of September, down from $142.3 billion in the previous quarter. The stock is listed on the London Stock Exchange. And the firm is included in the FTSE 250 index of the 250 largest publicly traded companies in the United Kingdom.
Institutional Interest in Crypto on Rise
Over the last two years, there has been a rise in institutional interest in cryptocurrencies like Bitcoin. Due in part to the realization that cryptocurrencies constitute a new investment class. However, a lack of clear laws and the belief that fiduciary requirements restrict fund managers from overtly advocating for the industry have hampered significant institutional exposure to crypto.
The recent demise of FTX and the company’s subsequent Chapter 11 filing may have hampered the crypto community’s desire for widespread acceptance. It has been speculated that the collapse of FTX may result in more regulatory oversight of the sector. At a time when investors were hoping for more transparent and perhaps more favorable norms.
Despite the catastrophic failures of FTX and Alameda Research, institutional investors are optimistic about Bitcoin and other cryptocurrencies.