Purpose Investments Unveils First Ever Actively Managed and Covered Call Cryptocurrency ETFs
Purpose Investments Inc. today announced the debut of the world’s first covered call and actively managed cryptocurrency exchange-traded funds (ETFs): Purpose Bitcoin Yield, Purpose Ether Yield, and Purpose Crypto Opportunities. Purpose Investments Inc. is an asset management firm that manages over $14 billion in assets. The yield ETFs’ non-currency hedged units denominated in Canadian dollars will begin trading on the Toronto Stock Exchange today under the tickers BTCY.B (Purpose Bitcoin Yield ETF) and ETHY.B (Equity Bitcoin Yield ETF) (Purpose Ether Yield ETF).
Purpose Crypto Opportunities ETF’s ETF units, non-currency hedged ETF units denominated in Canadian dollars, and non-currency hedged ETF units denominated in US dollars will begin trading today under the tickers CRYP, CRYP.B, and CRYP.U, respectively. Purpose launched Purpose Bitcoin ETF and Purpose Ether ETF earlier this year, the world’s first Bitcoin ETF and Ether ETF, respectively.
“We’re thrilled to be a worldwide pioneer once again in providing investors with high-quality new crypto solutions with the introduction of three new actively managed and option strategy yield cryptocurrency ETFs,” says Som Seif, Founder and CEO of Purpose Investments. “By offering these ETFs, we want to broaden investors’ access to cryptocurrency markets and the distinctive rewards possible in this growing asset class. These products will complement our current Bitcoin and Ether ETFs by providing investors with a new kind of return-risk profile.”
The purpose of the Bitcoin Yield ETF, the world’s first yield ETF, is to deliver monthly payouts and long-term capital appreciation to unitholders. The fund will accomplish its investment goals largely via exposure to Bitcoin and through the use of derivatives to manage portfolio assets. The purpose of the Ether Yield ETF, the world’s first Ether yield ETF, is to offer monthly dividends to unitholders while also providing long-term capital appreciation. The fund’s investment goals will be met largely via exposure to Ether and through the use of derivatives to manage portfolio assets.
The purpose of the Purpose Crypto Opportunities ETF, the world’s first actively managed cryptocurrency exchange-traded fund, is to offer long-term capital appreciation to unitholders by investing mainly in digital assets and securities that give exposure to digital assets. Purpose will handle the cryptocurrency ETFs and serve as portfolio manager for the Purpose Bitcoin Yield ETF and Purpose Ether Yield ETF, respectively. Neuberger Berman Canada ULC will serve as the ETF’s investment subadvisor.
Neuberger Berman is a private, independent, employee-owned investment management formed in 1939. As of September 30, 2021, the business manages $437 billion in customer assets. “Purpose is a significant partner of Neuberger Berman in Canada, and we are pleased to be collaborating on the world’s first actively managed crypto ETF,” says Frank Maeba, Managing Director at Neuberger Berman.
“We look forward to offering investors with a distinct opportunity set in this new asset class while also mitigating negative risks.”
Purpose Investments intends to introduce new ETF classes for its Purpose Bitcoin Yield ETF and Purpose Ether Yield ETF later this week. On December 1, all three ETFs will provide mutual fund units. Purpose Investments is one of the world’s leading digital asset managers, with a sophisticated and creative product portfolio that includes the world’s first Bitcoin and Ether exchange-traded funds (ETFs).
The Purpose Bitcoin ETF is available in four ETF series: Canadian-dollar ETF currency hedged units, Canadian-dollar ETF non-currency hedged units, US-dollar ETF non-currency hedged units, Canadian-dollar ETF non-currency hedged carbon offset units (a carbon-neutral purchase option) (TSX: BTCC.J), and mutual fund units. Similarly, the Purpose Ether ETF is available in mutual fund units and in the same four ETF series, trading as ETHH, ETHH.B, ETHH.U, and ETHH.J.