Each week we discuss how client alignment and innovation are driving the growth of the ETF industry. But in this week’s TETF Index update we are highlighting ETF innovators that are looking at the blockchain and crypto assets.
Although Toroso is very interested in this space as a sub-advisor to a blockchain focused ETF, we want to put our focus on key individuals that are putting their well-earned reputations and experience into new frontiers of blockchain and crypto-assets.
While most are projecting ETF growth of 15 to 20% to continue over the next 5-10 years, we thought it would be worth asking the question. What does it mean that these key ETF pioneers are now embracing blockchain and crypto-assets? Could this new innovation improve or potentially replace ETFs one day?
Many ETF pioneers are now examining blockchain and crypto-assets very closely. Considering how many of these innovators have already changed finance for the better and created investments aligned with clients, this bold move toward blockchain must be thoroughly vetted and watched carefully.
ETFs are still in the early innings of its growth and mutual funds still represent 80% of the assets in the combination of mutual funds and ETFS. But, the blockchain is revolutionary and crypto-assets are rapidly finding a place in investor portfolios. So paying attention is important to knowing what’s next!
Let’s look at a few key people:
First, there is Kathleen Moriarty. Kathleen was actively involved in the construction of the SPDRs, the first US ETFs, the first physical metals ETF (GLD), and many other ETF’s creation, structuring, and development. From her influence in SPDR’s, she actually has the nickname “SPDRwoman.” She is regularly quoted in the media about issues related to ETFs, financial indexes, and Bitcoin. Kathleen recently represented the Winklevosses with their Bitcoin ETF application just a few months ago. She continues to press the boundaries of the ETF universe as she shifts some of her focus to the undefined potential of blockchain and crypto.
Jan Van Eck