VanEck, a renowned player in the financial markets, has revealed its plans to launch the VanEck Ethereum Strategy ETF (EFUT). This actively managed exchange-traded fund is strategically designed to pursue capital growth through investments in Ethereum (ETH) futures contracts. Notably, EFUT will not invest directly in ETH or other digital assets.
The fund’s investment strategy revolves around standardized, cash-settled ETH futures contracts. These contracts are actively traded on commodity exchanges registered with the Commodity Futures Trading Commission (CFTC). It is worth mentioning that EFUT currently mainly plans to deal with ETH futures traded on the Chicago Mercantile Exchange.
EFUT will be listed for trading on the CBOE (Chicago Board Options Exchange) and will be under the active management of Greg Krenzer, who serves as Head of Active Trading at VanEck. With more than twenty years of experience trading various asset classes, including futures, Mr. Krenzer brings a wealth of expertise to the management of the fund.
This strategic move to introduce EFUT complements VanEck’s existing offering, the VanEck Bitcoin Strategy ETF (XBTF), which also focuses on futures contracts related to digital assets. Both EFUT and XBTF follow a C-Corp. structure, offering a potentially more tax-efficient experience for long-term investors. Notably, XBTF does not invest directly in Bitcoin (BTC) or other digital assets.
VanEck is known for his forward-thinking approach to the financial markets, consistently identifying trends that create impactful investment opportunities. With a history of pioneering access to international markets, the firm has played a pivotal role in shaping the investment management industry. From investing in gold in 1968 to emerging markets in 1993 and exchange-traded funds in 2006, VanEck’s commitment to innovation is evident.
As of August 31, 2023, VanEck manages approximately $80.8 billion in assets, including mutual funds, ETFs and institutional accounts. The company offers a wide range of active and passive investment strategies, supported by robust investment processes. These strategies address a variety of investment needs, from core opportunities to specialized exposures, improving portfolio diversification. VanEck’s active strategies are driven by in-depth research and security selection, led by portfolio managers with direct experience in their respective sectors and regions.
Since its founding in 1955, VanEck has prioritized its customers’ interests regardless of market conditions, which underlines its core mission.
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