Investment banking giant Goldman Sachs applies for DeFi ETF
The investment bank Goldman Sachs has filed an application with the U.S. SEC for DeFi ETF that would offer exposure to public companies in DeFi around the globe.
“The Goldman Sachs Innovate DeFi and Blockchain Equity ETF (the ‘Fund’) seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the Solactive Decentralized Finance and Blockchain Index (the ‘Index’),” according to the filing.
“The Fund seeks to achieve its investment objective by investing at least 80% of its assets (exclusive of collateral held from securities lending) in securities included in its underlying index, in depositary receipts representing securities included in its underlying index and in underlying stocks in respect of depositary receipts included in its underlying index,” the filing said, added:
“The Fund may concentrate its investments (i.e., hold more than 25% of its total assets) in a particular industry or group of industries to the extent that the Index is concentrated. The degree to which components of the Index represent certain sectors or industries may change over time.”
Goldman Sachs Asset Management, L.P. is the investment adviser for the Fund. Raj Garigipati, Managing Director; and Jamie McGregor, Vice President, have each managed the Fund since inception.
The markets that Goldman would be picking from would include Australia, Canada, France, Germany, Hong Kong, Japan, South Korea, Switzerland, the Netherlands, the UK, and the US. In addition, company and stock screens are applied to set minimum liquidity and investability requirements for stocks in the eligible universe.
As AZCoin News reported on July 19, the world’s largest digital currency asset manager Grayscale Investments has launched a DeFi Fund. The Fund provides investors with exposure to a selection of industry-leading DeFi protocols through a market-capitalization-weighted portfolio designed to track the CoinDesk DeFi Index.
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