Tue, Mar 31, 2020
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

French boutique Napoleon launches futures-based bitcoin fund

Thursday, December 12, 2019
Opalesque Industry Update - Napoleon Bitcoin Fund, a Specialized Professional Fund under the French law, with daily liquidity, created on 8 th November 2019, is one of the first regulated vehicles in the world offering exposure to the performance of Bitcoin, the main digital asset.

With an expertise in quantitative management, blockchain and digital assets, Napoleon AM aims to support institutional and professional investors in their search for portfolio diversification.

Blockchain is a particularly promising technology in that it completes the process of digitizing the economic and social environment created by the computer.

While the emergence of the Internet at the end of the 1990s made it possible to digitize data, ten years later, social networks have digitized human interactions and disrupted the marketing paradigm.

Blockchain was born with Bitcoin in 2008. Today, this technology which digitizes value (Bitcoin being created as 'digital gold') has been adopted by many large companies.

Convinced of the major transformation challenge carried by the blockchain for the entire industry, Napoleon AM got quickly interested in the financial potential of what intrinsically emanates from public blockchains, digital assets.

In this respect, the first digital asset, Bitcoin, is particularly unique. With more than 10 years of existence, a market value of around USD 137 Billion and a daily trading volume of over USD 17 Billion, Bitcoin has unprecedented characteristics: very high volatility, an abnormally biased performance distribution in favor of positive returns and a very low correlation to traditional assets (shares, bonds, commodities). It is therefore the ideal asset to introduce into a diversified portfolio to optimize risk/return ratios.

It is in this quest for innovation that Napoleon AM is launching the Napoleon Bitcoin Fund, the first of a series of regulated funds for professional clients.

The fund aims to replicate the performance of Bitcoin via Futures listed on the Chicago Mercantile Exchange in cash settlement, thus avoiding the problem of storing and valuing Bitcoin

Stéphane Ifrah, President of Napoleon AM, states: "This fund is the culmination of our discussions with the regulator and our partners to offer a real alternative to professional investors. We are proud to contribute to the institutionalization and democratization of digital assets through a unique regulated fund under the French law."

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. PE/VC: Unicorns sometimes sting, Private equity at crossroads as rout offers deals, curbs lending, S&P survey shows sagging prospects for private equity[more]

    Unicorns sometimes sting From PIonline.com: Venture capital firms are on a roll. Some 259 U.S. venture capital funds amassed $46.3 billion in 2019, the second highest by amount of capital raised and number of funds since 2006, according to the PitchBook-NVCA Venture Monitor. The biggest f

  2. Study: Three threats to hedge funds, Institutions seeing more private credit risks[more]

    Three threats to hedge funds From All About Alpha: A recent paper by a scholar at Tilburg University and a market participant at Robeco outlines the difficulties that the hedge fund industry has faced over the last decade. These problems arose, at least in part, from the democratization o

  3. Hedge fund Solus to close flagship investment vehicle[more]

    From FT: Solus Alternative Asset Management, one of the best known specialists in distressed investments, is closing its flagship fund after suffering a combination of heavy redemptions and poor performance. The hedge fund, which as recently as November managed $4.3bn in assets, is one of the fi

  4. Coronavirus 'possibly the biggest economic event of all our lifetimes', 'Big short' Michael Burry has a bearish bet and warns of a selling stampede, Investors' Black Death fear driving panic, says Witan Investment Trust chief Andrew Bell[more]

    Coronavirus 'possibly the biggest economic event of all our lifetimes' A former macro fund manager said on Thursday that the economic impact of the coronavirus - which is shaving trillions off the stock market and exerting a domino effect on the world economy - might be even worse than th

  5. Investing: As markets plunge, short sellers make hay, Time to buy, says GMO[more]

    As markets plunge, short sellers make hay From Institutional Investor: Short sellers floundered during the bull market. But as the market tides have turned, so too have their fortunes. "Some people haven't invested in hedge funds for a very long time," said Mark Roberts, owner of sh