Matrixport Asset Management AG Expands into the U.K.
Matrixport Asset Management AG is making strides in the U.K. financial landscape by seeking registration from the Financial Conduct Authority (FCA) for its Crypto Market Index Fund. This initiative will allow the Swiss-based crypto fund to reach institutional clients in the U.K. through private placements, marking its first major venture beyond Switzerland since its inception.
Fund Overview
The fund operates by tracking the Crypto Market Index 10 (CMI10), which is published by the SIX Swiss Exchange and assesses the performance of the ten most significant and liquid cryptocurrencies, such as Bitcoin (BTC), Ethereum (ETH), Ripple, and Solana (SOL). These assets are weighted according to their market capitalization, reflecting the current dynamics within the cryptocurrency market.
Having launched in 2021, the Crypto Market Index Fund was the first regulated cryptocurrency fund in Switzerland and had previously only been approved by the Swiss Financial Market Supervisory Authority (FINMA). Its recent push to enter new markets underscores a strategic expansion aimed at broadening its investor base.
Investment Structure and Compliance
Distinct from traditional investment instruments like exchange-traded products (ETPs) or exchange-traded notes (ETNs), this fund provides institutional investors with a regulated structure that guarantees asset segregation and adherence to regulatory oversight. This combination ensures a higher level of security and compliance for institutional investment.
Distribution and Regulatory Compliance
The fund’s distribution in the U.K. will be handled by Matrixport Advisors Limited, which acts as an appointed representative of Varramore Partners Limited, an established entity authorized and regulated by the FCA. This connection indicates Matrixport’s eagerness to comply with the regulatory standards set forth by the FCA.
Leadership Insights
Cynthia Wu, the Chief Operating Officer of Matrixport Group, highlighted the significance of this registration, viewing it as a pivotal step in the firm’s expansion into the British market. She expressed the company’s dedication to providing innovative and compliant digital asset management solutions, aimed at offering a secure and efficient means for institutional investors to engage with the digital asset space, further solidifying their presence in the European asset management sector.
