The Korean Teachers Credit Union (KTCU), which boasts greater than $40 billion in assets under management, plans to invest in a spot Bitcoin exchange-traded fund, in accordance with an Oct. 25 report by The Korea Economic Daily that cites industry sources.
The dimensions and the timeline of the investment remain unclear for now, the report says.
The teacher’s fund is allegedly ready for the primary Bitcoin ETF to launch in South Korea next year.
A KTCU official claims that the institution plans to seek the advice of local asset managers earlier than making a decision concerning asset allocation:
As there is some well-made cryptocurrency-linked ETF merchandise by asset managers resembling Korea’s Mirae Asset World Investments, we plan to put money into the ETF products after consultation with domestic asset managers.
As reported, the primary Bitcoin futures ETF launched within the U.S. with a bang final week. Aside from breaking GLD’s long-standing report for the quickest ETF to succeed in $1 billion in property, it additionally pushed the BTC worth to a brand new all-time excessive of over $67,000.
The SEC is yet to approve a spot Bitcoin ETF, but asset manager Grayscale is already trying to achieve such a feat.
Looking for higher returns
In 2020, the KTCU scored its best year since 2009, recording a 10% investment return that totaled $2.9 billion. Its net profit amounted to a record-breaking $844 million.
The inventory of software company Ellie Mae was among its most successful bets the last year, generating a 65% return on investment.
Home and overseas equities comprise the lion’s share of the fund’s assets.
Bitcoin is up 114% year-to-date, vastly outperforming gold.
Source: UToday
