Raiz launches new retail Bitcoin fund to keep its millennial clients happy
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Millennial focused investing app Raiz Invest (ASX:RZI) is launching a seventh investment portfolio — and this one offers exposure to Bitcoin.
The company promises its Sapphire portfolio will offer bitcoin exposure without the difficulties of direct investment.
However, only 5 per cent of the fund will be Bitcoin, the remainder will be exchange traded funds (ETFs) offering exposure to large cap stocks and debt markets.
Raiz CEO George Lucas believes the new fund will help millennial clients with a long-term mindset.
He also thinks millennials are more inclined to invest in crypto assets, and the case for crypto investment will be helped by governments printing money.
“The investment objective of the Sapphire portfolio is to provide exposure to Bitcoin in a managed, risk-adjusted way,” Lucas said.
“Many of our investors are millennials who have time on their side when adopting an investment choice such as the Sapphire portfolio for the long term.
“The Sapphire portfolio is another example of Raiz listening to our customers and giving them choice and control over where they invest, especially as we emerge from the COVID-19 pandemic and they want to re-examine their investment options.”
Raiz is not the first ASX small cap money manager to offer exposure to Bitcoin. Crypto advisor DigitalX (ASX:DCC) launched a Bitcoin fund last year and, like Raiz, said it offered exposure without the traditional complications of crypto investment.
Helping Raiz will be New York-based crypto custodian Gemini, which Raiz claims is one of the safest crypto exchanges globally.
Gemini’s managing director of operations, Jeanine Hightower-Sellitto, said this morning Raiz’s move would further the adoption of crypto in the Australian market.
Raiz shares rose only slightly today but have been slowly increasing since the market bottomed out in late-March.
But shares still remain a long way below the company’s $1.80 IPO price.