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For Vanguard, cryptocurrency assets such as Bitcoin and Ethereum are “closer to speculation than investments,” and chasing speculative assets will never be the fund’s investment philosophy. no doubt Vanguard speaks constantly. I am opposed to Bitcoin Exchange Traded Funds (ETFs). Ethereum ETF is no exception.
Earlier this month, Vanguard reportedly named former BlackRock ETF head Salim Ramji as its next CEO. The switch, scheduled for July, has sparked speculation that the fund will revise its stance on cryptocurrency-related investment products.
However, Ramji made it clear that the fund will not subscribe to Bitcoin. ETF and Brokerage platform refuses to offer Bitcoin ETF
The company’s view was reiterated after the SEC approved an Ethereum spot ETF in the United States. On Wednesday, Vanguard confirmed to the public that spot Ethereum funds will not be available for purchase.
In response to Vanguard’s recent statement, Bloomberg ETF analyst Eric Balchunas said that while Vanguard’s position may be disappointing, it would be “better to accept it and make a move.” to” This is because we are not a typical asset management company that pursues profit maximization.
“They are more like a cooperative and have been generating almost $1 billion a day for over 10 years, so they don’t envy other people’s hit ETFs,” Balchunas said.
The expert added that Vanguard may be overprotective when: it comes Restricts investors from purchasing cryptocurrency ETFs.
“I think so nanny play role. Their investors are the smartest money on the planet IMO, they They are not children who are easily misled and they can make choices,” Balchunas wrote.
Will history be on Vanguard’s side?
Each organization has its own implicit and explicit values and norms. For Vanguard, the product must meet the long-term needs of investors. This fund prioritizes investor protection even at the expense of short-term profits.
In retrospect, avoiding fad investments was the right decision for Vanguard. In the past, the fund refused to chase “hot” options such as government plus funds, tactical allocation funds and internet funds, all of which collapsed and were lost.
Commitment to a sound investment philosophy pays off in almost every case. A sudden change may not be necessary if it still contributes to the company’s success.
It is not yet known whether Vanguard will change. Judgment on Bitcoin The future. Bitcoin may need to prove to be a true store of value like gold. get A place in the fund’s portfolio.
Maybe there is a ray of hope there.
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