March 14, 2019 — Blockchain Investor Wire — A new
“The potential for blockchain to drive real earnings is huge, but it is often hidden within companies involved in other areas. This ETF offers investors access to companies with real earnings now, but with the added potential of blockchain-related earnings not reflected in their share prices.” – Chris Mellor, head of EMEA (Europe, the Middle East and Africa) ETF equity product management at Invesco
Other companies have attempted “basket” style indexes that collect price averages from top cryptocurrencies as well, but Invesco takes this approached in a different direction. Rather than use the coins or tokens themselves, the new Invesco Elwood Global Blockchain UCITS ETF is a collection of blockchain technology related companies which currently include:
- Taiwan Semiconductor Manufacturing Company (cryptocurrency chip-maker)
- CME Group (Bitcoin futures trading operator)
- Kakao (South Korean messaging app)
- Monex Group (Japanese cryptocurrency exchange operator)
- Overstock
- Signature Bank
- Square
To facilitate the process of launching the new ETF, Invesco formed a partnership with the London-based financial company Elwood Asset Management. The company was formed with for the purpose of specializing in digital assets. Overall, the weighted balance of companies involved will be distributed as follows:
- 46% information technology
- 23% financials
- 9% communication services
- 8% materials and consumer discretionary sectors
“We believe the potential for blockchain to change the global economy is greatly underappreciated in today’s market, much like the internet was in the beginning, when most people couldn’t see past its usefulness for email.” – Elwood CEO Bin Ren
