This discerning consulting firm is only interested in four Bitcoin ETFs!

Janak9955

The investment consulting firm, possessing a vast amount of assets, is considered the "Holy Grail" in the eyes of fund issuers. However, these consulting firms are often particularly selective when it comes to selecting newly launched Bitcoin spot ETFs, primarily due to concerns that the high risk and volatility of Bitcoin ETFs may deter their clients. According to Reuters, the Registered Investment Advisor (RIA) Carson Group, headquartered in Omaha, Nebraska, has only approved four out of ten newly issued Bitcoin spot ETFs.

Carson Group's asset management platform has a total fund size of up to $300 billion, with the approved Bitcoin ETFs including the iShares Bitcoin Trust (IBIT.US) issued by BlackRock, which currently has a scale of about $6.6 billion, and the Fidelity Wise Origin Bitcoin Fund (FBTC.US) under Fidelity, with a scale of about $4.8 billion. These two Bitcoin ETF products are currently the largest in scale, attracting a large number of investors to invest in them. The other two approved Bitcoin ETFs include Bitwise and Franklin Templeton's relatively smaller-scale Bitcoin ETF products. These Bitcoin ETF custodians are all the largest cryptocurrency exchanges in the United States, such as Coinbase.

Grant Engelbart, Vice President and Investment Strategist of Carson Group, stated that when selecting Bitcoin ETFs, Carson Group's experts prioritize "significant asset growth" and historical trading volume, followed by fee standards. It is understood that Bitwise and Franklin Templeton's scales are relatively small compared to BlackRock and Fidelity, but their fees are at the lowest level. The final fee standards for the $1.2 billion Bitwise Bitcoin ETF (BITB.US) and the $100 million Franklin Bitcoin ETF (EZBC.US) are 0.2% and 0.19%, respectively, making them the cheapest products in the field of Bitcoin ETF issuance.

Engelbart commented on the Bitcoin ETFs under BlackRock and Fidelity, stating, "We believe it is important for these two largest asset management companies in the industry to offer these products." Regarding Bitwise and Franklin Templeton, he said, "Bitwise and Franklin Templeton have always been committed to being the lowest-cost providers in this field, and they have also seen a large influx of funds and trading volume. Both companies have also established internal digital asset research teams and professional knowledge teams. We believe these will contribute to the continuous growth and management of products, as well as investment advisor research and related education work."

For the issuing institutions behind Bitcoin ETFs, it is crucial to enter the Registered Investment Advisor (RIA) and platforms covering their retail clients, as these issuing institutions are eager to constantly reach new audiences. Some large institutions such as Fidelity and Charles Schwab have already provided relevant funds prepared for client transactions through RIAs, while LPL Financial has taken a wait-and-see attitude. On the other hand, Vanguard Group has no plans to allow these high-risk funds to be traded through its brokerage firms.

Hunter Horsley, CEO of Bitwise, stated that considering that investment consulting firms manage trillions of dollars in assets, obtaining "platform approval" through these institutions may be a "huge catalyst" for fund scale growth.

Jafar224

Being able to focus on those is quite impressive.

Isha000

These people all have a good investment eye.

Sona59

Indeed, it's a mixed bag in there.

Samiksha

They are also very professional institutions.