In a press release published on November 1, the financial advisory company DeVere announced the launch of an actively managed crypto investment fund that offers solutions for experienced investors who are looking to capitalize from future growth in the cryptocurrency markets.
Chief of DeVere, Nigel Green, spoke about the new fund, stating that they are different than some other cryptocurrency funds that already exist. They differentiate by offering investors access to the major profits while maintaining decreased volatility as compared to the majority of its competitors. They aim to cater to the growing demand in cryptocurrency while providing reduced volatility which the crypto market is well known for.
Nigel Green also said:
“Cryptocurrencies are now undeniably part of mainstream finance. Their momentum continues to gain traction as both retail and institutional investors increasingly value the need and demand for digital, global currencies in today’s ever-more digitalized and globalized world.”
The DeVere digital asset solution will invest in a diversified portfolio of digital assets via algorithmic trading over different platforms, including both cryptocurrency exchanges and over-the-counter markets.
Green also explained that the new fund will also exploit arbitrage opportunities in order to secure regular gains for investors.
“Through a ground-breaking algorithmic system, when the price of one asset, for instance, Bitcoin or Ethereum, is greater on one platform than on another, the opportunity is identified to generate profit from the difference of price across platforms. These trades, referred to as arbitrage, allow profits to be generated with little or no directional market risk.”
These investment solutions have been developed in collaboration with hedge fund manager Dalma Capital Management Limited.
Speaking on the solution, Zachary Cefaratti, CEO of Dalma Capital commented: “Crypto Asset Markets abound with durable inefficiencies – creating opportunities for hedge funds to generate uncorrelated excess returns through systematic relative value arbitrage, momentum trading, and mean-reversion strategies.”
He also noted that crypto markets have created opportunities that we have not seen in conventional markets for decades. He continued saying “Arbitrage opportunities abound – the prices of the top 25 crypto assets vary across over 400 liquidity venues. The ability to trade long and short allows profit opportunities regardless of market direction.”
The DeVere digital asset solutions platform is planned to be introduced at the Alternative Investment Management Summit in Dubai on 26th of November.
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