Elwood Asset Management, owned by billionaire investor Alan Howard, is building a new crypto investment platform for institutional investors, The Financial Times reported, citing CEO Bin Ren.
He sees this as a "very big growth opportunity" and hopes that the platform could eventually manage over USD 1bn of assets, the report said, adding that details of Elwood’s new fund have not been finalized.
However, it is now planned that the system would design portfolios for each investor, based on their risk preferences, expected returns and the liquidity terms they want. It will also measure the potential correlation with other assets they own, according to the report. It noted that Elwood would then apply its own fee, in addition to the fees investors pay to access the underlying funds.
According to Ren, they have already identified up to 50 crypto hedge funds that “probably satisfy our due diligence”.
As in March, Elwood Asset Management, which manages the personal crypto assets of Howard, is planning to launch a range of regulated investment products to lure more institutions into the crypto space.
The company plans “products that will cover the full spectrum of crypto-assets,” including direct exposure to major cryptocurrencies like and . The company has already launched an exchange traded fund (ETF) that invests in companies involved with Blockchain technology, although they have so far avoided direct exposure to crypto assets.
Howard, who made sizable personal investments in cryptocurrencies in 2017, last year was one of the most high-profile investors participating in ’ “.” He has been ranked by Forbes as one of the 40 highest-earning hedge fund managers in the world, with a net worth of USD 1.35 billion (in 2018.)
