The giant Vanguard fund is hiring a pro-bitcoin CEO.
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Plot twist. The new CEO of the giant investment fund Vanguard is pro bitcoin.
The revenge of bitcoin
Vanguard made waves in January when it refused to allow its clients to invest in the Bitcoin ETFs launched by BlackRock, Fidelity, and others.
The fund stated at that time that bitcoin “did not fit its investment philosophy.”…
It’s ironic knowing that its clients could previously invest in the GBTC Bitcoin Trust (now transformed into an ETF). Even more troubling, Vanguard subsequently blocked investments in the GBTC, offering only the possibility to sell.
This suspicious decision greatly contributed to the massive exits from the GBTC ETF which spoiled the launch of the eleven ETFs in January.
A month later, Vanguard thanked its anti-bitcoin CEO Tim Buckley. It seems it doesn’t bode well to oppose bitcoin.
His replacement will be Salim Ramji. This is the first time Vanguard has hired an outsider as CEO. Symbolically, he previously led BlackRock’s global ETF activities.
Mr. Ramji thus supervised the filing of BlackRock’s Bitcoin ETF. In other words, Vanguard’s clients will likely soon be able to invest in bitcoin.
Knowing that Vanguard manages 7.7 trillion dollars. The only fund in the world with more assets under management is BlackRock. We should therefore expect several billions of dollars to very soon participate in the bull run.
Here is an interview with the new CEO of Vanguard about bitcoin conducted before the launch of the Bitcoin ETFs:
It’s probably only a matter of time before all investment funds add a pinch of bitcoin, or more, to their portfolios.
Pension funds are going orange
Pension funds are investment funds specific to retirement through capitalization. They are the tool for retirement savings.
And good news, the 9th largest pension fund in the United States has just taken the plunge. The State Wisconsin Investment Board has just revealed it invested nearly 100 million dollars in bitcoin via BlackRock’s IBIT ETF.
The SWIB is thus the first public institution to take shares in a Bitcoin ETF. This is an important step in the integration of Bitcoin into traditional investment portfolios.
“Pension funds are probably the hardest investors to convince,” said Eric Balchunas, senior ETF analyst at Bloomberg Intelligence.
Pension funds are “very demanding.” “They have access to everything and it generally takes some time before they bite the hook,” said Mr. Balchunas, comparing the arrival of pension funds to catching a “sailfish.”
“The fact that they bit the hook so quickly is a good sign and is due to the fact that the IBIT ETF became very liquid in such a short time,” he added.
“Thousands of U.S. pension funds manage about 27 trillion dollars in assets. They will all need Bitcoin,” said Michael Saylor.
Adding to all this is the launch of ETFs in Asia, in Hong Kong, as well as in Australia. Even the largest European BNB Paribas invests in BlackRock’s Bitcoin ETF!
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Bitcoin, geopolitical, economic and energy journalist.
DISCLAIMER
The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.
