Zerocap’s Smart Beta Bitcoin Strategy Works in Test Markets, the Risk Balanced Fund for Bitcoin Wins Innovation Award

MELBOURNE, Australia, 26 October 2022 /PRNewswire/ — The strong performance and innovative use of financial instruments by digital asset investment specialist Zerocap has been recognized as Zerocap’s Smart Beta Bitcoin Strategy for Wholesale Investors was awarded Finder’s “Best Digital Currency Innovation” award.

Finder’s Innovation Award judges, James Edwards & Molly Wiltshire-Bridle, liked that this innovation has worked. “Many managed funds still struggle to manage Bitcoin risk, while Zerocap seems to be bucking the trend and succeeding in reducing risk for its clients.”

Zerocap’s Smart Beta Bitcoin Fund returned 5.6% in Q3 2022, an unprecedented return in challenging markets that beat virtually every other asset class in the quarter, including Bitcoin itself, US stocks, European stocks, gold, commodities and corporate bonds .

While investing in cryptocurrencies and digital assets, including the Smart Beta Bitcoin Fund, involves significant risk, Zerocap managers implement proprietary models for the Smart Beta Bitcoin Fund that rebalance the high volatility of Bitcoin to lower levels, in line with the risk profiles of equity portfolios. The goal of Smart Beta Bitcoin is to reduce and balance risk while actually improving risk-adjusted returns, while providing exposure to Bitcoin. Zerocap’s Chief Investment Officer Jonathan de Wet said:

“Our approach has paid off, showing that there is a place for this product in well-designed portfolios. Smart Beta allows us to maintain a fantastic risk-adjusted return profile, but without the volatility”.

Zerocap’s chief trading officer Toby Chapple said “Based on traditional investment banking techniques developed to curate hedge fund risk profiles, Smart Beta Bitcoin uses a proprietary and rigorous methodology to reallocate risk regularly between Bitcoin and a cash-equivalent digital asset to precisely control the fluctuations in the price of Bitcoin to a predetermined level. The product allows investors to control the downside risk of their investments, while having all the statistical advantages that the asset class offers to a portfolio approach to investing.”

About Zerocap

Zerocap’s mantra is zero friction, borderless economy. Zerocap is Australia’s leading full-service crypto platform, offering tailored investment products and secure digital custody to a global client base of wholesale investors, institutions, HNWs and family offices.

Zerocap creates tailored solutions for investors to build and diversify their investment portfolio with digital assets, through a range of regulated and direct exposure products across the volatility spectrum to suit their desired level of investment and risk.

Zerocap’s people bring a deep understanding of digital asset technology, trading and portfolio optimization, having processed a billion dollars of digital assets for private investors, family offices and institutions. Zerocap has assembled a team of blockchain experts, institutional portfolio managers and advisors, and experienced traders; supported by strong compliance, security and reporting capabilities.

Zerocap offers market-leading institutional-grade digital custody and storage facilities, backed by insurance policies for all its investors, using best-in-class technology such as MPC encryption and hardware isolation.

www.zerocap.com

This material is intended for illustrative purposes and general information only. It does not constitute financial advice nor does it take into account your investment goals, financial situation or special needs. You should consider the information in light of your goals, financial situation and needs before making any decision whether to acquire or dispose of digital assets. Investments in digital assets can be risky and you may lose your investment. Past performance is no indication of future performance.

This material is issued by Zerocap Pty Ltd (Zerocap), a corporate authorized representative (CAR: 001289130) of Gannet Capital Pty Ltd (GC) AFSL 340799.

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SOURCE Zerocap