Ark Invest and Eaglebrook Advisors Partner to Offer Crypto SMAs
Ark Invest and Eaglebrook Advisors have announced a partnership that will allow Ark Invest to offer crypto SMAs to professional financial advisors.
This is a great development for those looking to invest in cryptocurrencies through a managed account. This will make it easier for financial advisors and wealth managers to offer this investment option to their clients.
This joint venture between ARK and registered investment advisors will allow clients to access two different investment strategies managed by ARK. The first is focused on "Cryptoassets" and the second is for "Cryptocurrency" investments. This will provide clients with greater flexibility and choice when it comes to their investment portfolios.
ARK Invest Wants to Expand Its Reach in the Crypto Industry
Wood stated that ARK has been working in the crypto space since 2014 in order to offer their clients cryptocurrency-related equity and securities investment services. This collaboration with Eaglebrook Advisors will make ARK's actively managed crypto strategies available to more advisors and investors.
This alliance between Ark and Eaglebrook will expand their reach in the crypto ecosystem, offering new "actively managed crypto strategies to the wealth management industry." This will help Ark to continue its mission of providing innovative financial services to the crypto community, while also helping Eaglebrook to grow its business.
Wood further emphasized that the strategies will be independently managed through separate accounts to meet the needs of all the parties involved, allowing them to diversify their portfolios gaining exposure to digital assets. This will allow for a more diverse and robust investment strategy, while still providing the potential for high returns.
“The strategies will be separately managed accounts (SMAs) designed to meet the needs of financial advisors, wealth managers, and their clients by offering direct ownership, low minimums, and portfolio reporting integration amongst other benefits.”
Christopher King, Founder and CEO of Eaglebrook Advisors, believes that ARK will play a major role in driving the growth of the crypto industry by offering easy access to institutional-grade cryptocurrency strategies. This will help to build trust in digital assets and increase their adoption by mainstream investors.
“Our partnership with ARK will drive this industry forward and deliver institutional access to actively managed crypto strategies to the wealth management market.”
ARK's Investment Strategies: How They Work
The ARK Cryptocurrency Strategy and the ARK Cryptoasset Strategy are two independent investment strategies that focus on different assets. Each strategy has its own risk exposure and profit potential, so investors can choose which strategy to pursue based on their own goals and risk tolerance.
The ARK Cryptocurrency Strategy will cater to investors seeking a "high conviction portfolio," with investments primarily in top cryptocurrencies such as Bitcoin (BTC) and Ethereum (ETH). This strategy is designed to provide investors with the potential for significant upside while limiting downside risk.
The ARK Cryptoasset Strategy will be a bit riskier than other investment strategies, as it will include between 10 to 20 altcoins focused on areas like Smart Contract Networks, Decentralized Finance (DeFis), Web3, and Infrastructure and Scaling. However, this strategy could also potentially offer greater rewards, as these areas of the cryptocurrency market are growing rapidly and hold tremendous promise.
At a time when crypto markets have become more stable, ARK is pleased to offer investors new strategies for investing in this asset class. Yassine Elmandjra, the crypto asset analyst at ARK, noted that this will provide investors with more options for how to approach the market. This is a welcome development for those who have been cautious about investing in cryptocurrencies during the period of high volatility.
Ark Invest's Previous Moves In The Crypto-Verse
As of today, the United States has not approved a crypto ETF focused on the spot market. However, Ark Invest's dream Bitcoin ETF has been rejected by the SEC over concerns of not being able to protect investors from market speculation. Currently, Ark Invest manages eight ETFs in the United States, but it is clear that they have their sights set on expanding their reach into the world of cryptocurrency. Only time will tell if they will be successful in obtaining SEC approval for their Bitcoin ETF.
The ARK Innovation ETF is quickly becoming a favorite among crypto enthusiasts for its heavy exposure to the crypto market. With investments in Twitter, Coinbase, and Tesla, along with over 8 million shares in Grayscale Bitcoin Trust, the ARK Innovation ETF is positioning itself as a major player in the crypto space.
I believe that the firm is way too bullish on crypto. They are back in April of 2022, and they said that Bitcoin could reach $1 million per coin in 2030. I do not think that this is possible, and I think that they are only saying this because they want to get more people to invest in crypto.
“We don’t need much. All we need is that 2.5% of all assets is allocated in Bitcoin,”
It's great to see that Wood is working hard to make her dreams come true. I hope she continues to pursue her passions and reach her goals.
It is exciting to see a major investment firm like ARK Invest offer crypto separately managed accounts (SMAs) to financial advisors. This move could help to legitimize and mainstream cryptocurrencies, leading to more widespread adoption.