CI Galaxy Bitcoin Fund Begins Trading on the Toronto Stock Exchange; Galaxy Digital Appointed Sub-Advisor
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NEW YORK, Dec. 16, 2020 /CNW/ - Galaxy Digital Holdings Ltd. (TSX: GLXY) announced that its affiliate, Galaxy Digital Capital Management L.P. ("Galaxy Digital") will serve as the sub-advisor to the CI Galaxy Bitcoin Fund ("BTCG.U" and "BTCG.UN" or the "Fund"), a closed-end investment fund listed on the Toronto Stock Exchange and managed by CI Global Asset Management ("CI GAM"), one of Canada's largest investment management companies. The Fund's bitcoin will be priced based on, and the Fund's Net Asset Value will be calculated using, the Bloomberg Galaxy Bitcoin Index ("BTC"), which measures the performance of a single bitcoin traded in U.S. Dollars.
The Fund's launch comes as demand for exposure to digital assets among institutional investors continues to increase. According to research conducted by Fidelity Digital Assets and Greenwich Associates, nearly 80% of institutional investors find something appealing about digital assets, and more than 6 in 10 institutions believe that digital assets have a place in their investment portfolios.
"We are pleased to partner with CI Global Asset Management, an established and highly regarded Canadian investment firm, to help bring viable bitcoin exposure to a broader subset of investors," said Steve Kurz, Partner and Head of Asset Management at Galaxy Digital. "The CI Galaxy Bitcoin Fund provides investors with a simplified, more traditional means of access to bitcoin."
Investors continue to learn about Bitcoin and its outperformance over the S&P 500 and gold over one-, five- and ten-year time frames. Year-to-date, bitcoin's price has risen by more than 150%. Despite its historical volatility, over the long–term, bitcoin has exhibited a low, and even negative, correlation to most major equity and fixed income asset classes, currencies, and commodities, including the Bloomberg Barclays Global Aggregate Bond Index, the FTSE Canada Universe Bond Index, the MSCI All Country World Index, U.S. Dollar, Euro, Japanese Yen, gold and WTI oil.
"We believe Bitcoin has demonstrated its resiliency throughout this recent period of economic volatility by exhibiting low correlations with most major global asset classes," said Mike Novogratz, Founder and CEO of Galaxy Digital. "This innovative institutional-quality fund platform will help meet the growing demand we are seeing from larger institutional allocators."
For more information on CI Galaxy Bitcoin Fund, including its prospectus, please visit www.sedar.com.
Disclaimers:
The TSX has not approved or disapproved of the information contained herein.
No offering is being made by this material. This communication is provided as a general source of information and should not be considered personal, legal, accounting, tax or investment advice, or construed as an endorsement or recommendation of any entity or security discussed. Individuals should seek the advice of professionals, as appropriate, regarding any particular investment. Investors should consult their professional advisors prior to implementing any changes to their investment strategies.
BLOOMBERG is a trademark or service mark of Bloomberg Finance L.P. GALAXY is a trademark of GDCM. Bloomberg Finance L.P. and its affiliates (collectively, Bloomberg) are not affiliated with GDCM, the Fund and their respective affiliates (collectively, Galaxy). Bloomberg's association with Galaxy is to act as the administrator and calculation agent of the BTC (collectively, the "Index"), which is the property of Bloomberg. Neither Bloomberg nor Galaxy guarantee the timeliness, accurateness, or completeness of any data or information relating to the Index or results to be obtained. Neither Bloomberg nor Galaxy make any warranty, express or implied, as to the Index, any data or values relating thereto or any financial product or instrument linked to, using as a component thereof or based on the Index (Products) or results to be obtained therefrom, and expressly disclaims all warranties of merchantability and fitness for a particular purpose with respect thereto. To the maximum extent allowed by law, Bloomberg, its licensees, Galaxy, and their respective employees, contractors, agents, suppliers, and vendors shall have no liability or responsibility whatsoever for any injury or damages—whether direct, indirect, consequential, incidental, punitive, or otherwise—arising in connection with the Index, any data or values relating thereto or any Products—whether arising from their negligence or otherwise.
About Galaxy Digital
Galaxy Digital Capital Management L.P. is an affiliate of Galaxy Digital Holdings Ltd. (TSX: GLXY) ("Galaxy Digital"). Galaxy Digital is a diversified financial services and investment management company in the digital asset, cryptocurrency and blockchain technology sector, and currently operates four distinct business lines, which include: Trading, Asset Management, Principal Investments and Investment Banking. Galaxy Digital's CEO and Founder is Michael Novogratz. The Company is headquartered in New York City, with offices in Chicago, San Francisco, London, Tokyo, Hong Kong, the Cayman Islands (registered office) and New Jersey. Additional information about the Company's businesses and products is available on www.galaxydigital.io.
SOURCE Galaxy Digital Holdings Ltd.
For further information: Galaxy Digital Capital Management L.P., Steve Kurz, Head of Asset Management, 212-390-9216, [email protected]; Aidan O'Connor, Prosek Partners, on behalf of Galaxy Digital Capital Management L.P., 646-818-9283, [email protected]