Cartwright Pension Trusts and Bitcoin Interest
Cartwright Pension Trusts, a financial consultancy, is witnessing a surge in interest among clients regarding Bitcoin, according to Arash Nasri, a senior investment consultant at the firm. The growing enthusiasm comes after Cartwright assisted an undisclosed British pension fund in allocating 3% of its assets to Bitcoin last November, yielding impressive returns of 60% within a year.
Annual Bitcoin Review
In light of this success, Cartwright has initiated its inaugural “Annual Bitcoin Review,” aimed at enlightening institutions about the cryptocurrency’s potential. Nasri expressed optimism about the future of Bitcoin investments, hinting at the likelihood of the pioneering pension fund considering an increased allocation.
“If Bitcoin continues to deliver the expected returns, the question will be more about when to take profits rather than if we should invest more,”
he stated.
Client Discussions and Skepticism
The financial consultant noted that discussions are in progress with other clients contemplating similar strategies, emphasizing the importance of understanding Bitcoin’s mechanics and taking a thoughtful, long-term investment approach.
Despite the positive reception, Nasri acknowledged that there remains skepticism within certain circles of the British pensions sector. He pointed out that some industry members often dismiss Bitcoin, citing its notorious price fluctuations.
“It’s disheartening to hear such responses when our profession should excel in portfolio optimization and risk management,”
he remarked, urging for increased education on emerging digital assets.
Broader Appeal of Bitcoin
Furthermore, he highlighted that Bitcoin’s appeal extends beyond pension funds; corporations are recognizing its utility for international transactions and as a reserve asset, while charities are beginning to explore it as a donation platform.
However, he cautioned that Bitcoin may not align with short-term investment strategies, yet many defined benefit and defined contribution plans, along with numerous charities and companies, should be engaging in discussions about the cryptocurrency’s potential benefits.
Commitment to Education
With a commitment to independence, Nasri noted:
“As advisers, we prioritize educating our clients about the transformative potential Bitcoin may have on investment portfolios and returns. Understanding this shift in financial landscapes is part of our responsibility to those we serve.”
