Charles Schwab’s $655B Asset Management Division to Start Trading Crypto-Linked ETF This Week – Featured Bitcoin News

Charles Schwab’s $655B Asset Management Division to Start Trading Crypto-Linked ETF This Week – Featured Bitcoin News

Charles Schwab’s $655 billion asset management division is launching its first cryptocurrency exchange-traded fund (ETF). The new fund is expected to begin trading this week on the NYSE Arca exchange.

Charles Schwab launches its first crypto-linked ETF

Schwab Asset Management, a subsidiary of The Charles Schwab Corp., announced last week the launch of the Schwab Crypto Thematic ETF (NYSE Arca: STCE ), calling the new product “its first cryptocurrency-related ETF.”

Charles Schwab is a large American brokerage, banking and financial services company. Schwab Asset Management currently has more than $655 billion in assets under management, according to its website. It is the third largest provider of index mutual funds and the fifth largest provider of exchange traded funds (ETFs).

The first day of trading for the Schwab Crypto Thematic ETF is expected to be on or around August 4, the announcement details, adding:

The fund is designed to track Schwab Asset Management’s new proprietary index, the Schwab Crypto Thematic Index.

According to the fund prospectus filed with the US Securities and Exchange Commission (SEC) on Friday, the Schwab Crypto Thematic ETF is “designed to provide global exposure to companies that may benefit from the development or use of cryptocurrencies (including bitcoin) and other digital assets, and blockchain-related business activities and other distributed ledger technology.” Furthermore, “The fund is non-diversified, which means that it can invest in securities of a relatively small number of issuers”, warns the company.

The announcement states:

The Fund will not invest directly in any cryptocurrency or digital asset. It invests in companies listed in the Schwab Crypto Thematic Index.

The July 29 Schwab Crypto Thematic Index lineup includes Microstrategy, Marathon Digital Holdings, Riot Blockchain, Silvergate Capital, Coinbase Global, Robinhood Markets, Interactive Brokers, Nvidia, CME Group, Bitfarms, Hut 8 Mining, International Exchange, Paypal, SBI , Block Inc., Monex Group, Hive Blockchain, Internet Initiative Japan, Bakkt Holdings, NCR Corp. and Bancolombia.

Charles Schwab’s $655B Asset Management Division to Start Trading Crypto-Linked ETF This Week – Featured Bitcoin News
Schwab Crypto Thematic Index Constituent Index Weighting. Source: Charles Schwab, Bitcoin.com News

David Botset, managing director and head of equity product management and innovation at Schwab Asset Management, commented:

The Schwab Crypto Thematic ETF seeks to provide access to the growing global crypto ecosystem along with the benefits of transparency and low cost that investors and advisors expect from Schwab ETFs.

Meanwhile, the SEC has yet to approve a bitcoin spot ETF despite approving several bitcoin-futures ETFs. In June, Grayscale Investments, the world’s largest digital asset manager, filed a lawsuit against the SEC after the securities regulator rejected its request to convert its flagship bitcoin trust, GBTC, into a spot bitcoin ETF.

What do you think about Schwab Asset Management launching its first crypto-linked ETF? Let us know in the comments section below.

Charles Schwab’s $655B Asset Management Division to Start Trading Crypto-Linked ETF This Week – Featured Bitcoin News

Kevin Helms

An Austrian economics student, Kevin discovered Bitcoin in 2011 and has been an evangelist ever since. His interests lie in bitcoin security, open-source systems, network effects, and the intersection between economics and cryptography.




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