The crypto community should not be let down by the collapse of FTX, according to Man Group. In any case, the London alternative investment management company does not intend to back down from this obstacle knowing that it plans to launch a crypto hedge fund shortly.
Crypto hedge fund: Man Group does not give more details
Small investors are tempted to flee the cryptocurrency sector ravaged by the spectacular collapse of FTX. But obviously, this situation is far from deterring certain institutions like Man Group from establishing themselves on the crypto market. The English investment management company is indeed planning to launch an investment fund focused on crypto assets, according to Bloomberg. Man Group does not give more details on its project. But it will be soon.
Also according to Bloomberg, the fund will be available by the end of the year. This $138 billion financial firm will entrust crypto speculation to Man AHL. It should be noted that the company invests through several investment managers, including Man AHL. This unit creates and applies trading computer models to help make investment decisions.
Crypto: convergence and institutional adoption
Like Man Group, the institutional investors are increasingly converging on crypto and adopting these new asset classes. Advocates of crypto assets argue that their volatility presents opportunities. In addition, cryptocurrencies have almost no correlation with other asset classes, which offers obvious diversification benefits. For institutional investing, hedge funds are among the best options.
Many institutional investors believe that cryptocurrency offers the best long-term opportunity. Some are even predicting outperformance as macro conditions ease globally. Anyway, the lack of regulation still remains a brake on crypto adoption. Investors still hope that the fall of FTX could accelerate the implementation of clearer regulations.
The crypto market has turned every challenge into an opportunity. Today, the ecosystem continues to mature and move toward wider institutional adoption.
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