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January 13, 2023

Samsung’s Asset Management Subsidiary Launches Bitcoin Futures ETF in Asia

By Rhodilee Jean Dolor

The Hong Kong-based subsidiary of Korea’s largest investment manager, Samsung Asset Management, is set to offer Bitcoin (BTC) futures exchange-traded funds (ETFs) to investors in Asia.

Samsung Asset Management Limited (SAMHK) says it expects to list the new investment product on the Hong Kong Exchanges and Clearing Limited (HKEX) on January 13th.

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The HKEX is the only exchange in Asia to offer Bitcoin futures. In December, the stock market debuted the first crypto asset ETFs in the region with the launch of CSOP Asset Management’s Bitcoin futures ETF and Ethereum (ETH) futures ETF.

SAMHK’s Samsung Bitcoin Futures Active ETF will not invest directly in Bitcoin, but it will give investors exposure to the benchmark crypto asset by investing primarily in front-month Bitcoin futures contracts traded on the Chicago Mercantile Exchange (CME).

“In seeking to achieve the Sub-Fund’s investment objective, the Manager adopts an active investment strategy whereby it will enter into and have exposure of up to 100% of the Sub-Fund’s net asset value (‘NAV’) in Bitcoin Futures on CME.”

SAMHK says it will charge investors a management fee of 0.89% per year.

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The asset manager is launching its Bitcoin futures ETF as BTC rallies. From a low of around $16,500 this month, the flagship cryptocurrency is now trading for $18,774.

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