Brazilian manager Vitreo launched more cryptocurrency funds this Wednesday (1). According to a statement sent to CriptoFácil, the two funds are Vitreo Cripto Smart and Vitreo Coin Smart.
As the name implies, both funds invest in so-called Smart Coins, cryptocurrencies that operate in networks specializing in smart contracts. For example, Ethereum and Binance Coin. The new funds are open to both retail and qualified investors.
Both funds will have active management of the house and validation of Empiricus’ research. The analysis house is part of the same holding that controls Vitreo.
Know the funds
The first fund is the Vitreous Crypto Smart, which is restricted to qualified investors. The strategy of this fund is to allocate 100% of the equity in assets related to smart contracts. The fund’s cryptocurrency portfolio was not disclosed, but Vitreo said Ether (ETH) is one of them.
“The Ethereum is a criptoativo which is part of the universe of smart contracts. Within the crypto universe, this is a thesis that uses the technology to contracts blockchain record. It would be the end of the registry offices. The network keeps all transaction history, and is a way for the user, much safer than the registry office, “says Jojo Wachsmann, partner and CIO of Vitreous.
According to information from the fund, the initial contribution is R$5,000, with an administration fee of 1.5% per year. The performance fee will be 20% on what exceeds the fund’s benchmark (ICE US Treasury Short Bond Index TR +2%). As it invests in assets abroad, the fund has restricted access.
Second is the Vitreo Coin Smart, fund aimed at all investor profiles. This fund has 20% exposure to Vitreo Cripto Smart and 80% to cryptoactive ETFs listed on B3. The minimum initial investment is R$1 thousand and the administration fee is 0.34% per year.
On the other hand, the performance fee is indirect, as it only includes the performance of the invested funds. Thus, the investor will not be charged directly, as there is no specific benchmark.
Manager diversifies markets
With the two newly launched funds, Vitreo’s platform already has nine cryptocurrency products. In addition to the innovative aspect, Vitreo’s portfolio also values diversity: these are investment theses that are applied in different cryptocurrencies and specific segments such as DeFi (decentralized finance), NFTs, and now intelligent contracts.
In this sense, the manager offers ample alternatives for diversification in sectors with high yield potential. Waschmann highlights the importance of this, especially at a time when traditional assets are suffering heavy losses in Brazil.
“The main advantage of the thesis and this structure that we created is to facilitate access to the portfolio’s assets, as well as to add to the composition of the fund the curatorship of Empiricus and Vitreo assets, providing investors with tokens with high potential for appreciation. When the Ibovespa accumulates five months of consecutive declines, the funds bring prospects of good returns for investors”, he explains.
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