Morgan Stanley told its troops on Friday financial consultant According to CNBC, they will soon allow them to offer Bitcoin ETFs to some clients, a first for a major Wall Street bank.
Starting Wednesday, the company’s roughly 15,000 financial advisors can invite eligible clients to buy shares in two exchange-traded Bitcoin funds, according to people familiar with the policy.
These funds are BlackRock iShares Bitcoin Trust and Fidelity’s Wise Origin Bitcoin Fund” people said.
Moves by Morgan Stanley, one of the world’s largest financial firms biggest The wealth management firm is the latest sign of mainstream financial adoption of Bitcoin. In January, the U.S. Securities and Exchange Commission approved applications for 11 spot Bitcoin ETFs, heralding the arrival of a more accessible, cheaper and easier-to-trade Bitcoin investment vehicle.
Bitcoin Withstood the market sell-off, the stunning collapse of cryptocurrency exchange FTX and criticize Some of the biggest names in finance, including JPMorgan CEO Jamie Dimon and Berkshire Hathaway CEO Warren Buffett.
So it’s not surprising that Wall Street’s major wealth managers didn’t immediately embrace the new ETFs, banning their financial advisers from promoting the products and allowing trading only if clients are actively seeking the products.
Goldman SachsJPMorgan, Bank of America and FuGuo bank Spokespersons for the four banks said they would still follow the policy.
“Aggressive” tolerance
People familiar with the matter, talking about Morgan Stanley’s internal policies, said that Morgan Stanley’s move was in response to client demand and in an attempt to follow the changing digital asset market.
However, the bank remains cautious during the rollout: Only clients with a net worth of at least $1.5 million, an active risk tolerance and a willingness to make speculative investments will be suitable for the Bitcoin ETF, people familiar with the matter said. They added that the investments were in taxable brokerage accounts, not retirement accounts.
The bank will monitor clients’ cryptocurrency holdings to ensure they are not overly exposed to the volatile asset class, sources said.
The only cryptocurrency investments Morgan Stanley has approved solicitations for purchases are a pair of Bitcoin ETFs from BlackRock and Fidelity; private funds from Galaxy and FS NYDIG Bank provides Products starting in 2021 were phased out earlier this year.
Morgan Stanley is keeping an eye on how the market is doing newly approved People familiar with the matter said that Ethereum ETFs are in development, but there has been no commitment as to whether they will be offered.
Correction: Morgan Stanley’s Galaxy and FS NYDIG private equity funds offered starting in 2021 were phased out earlier this year. An earlier version of this story contained inaccurate information from Morgan Stanley about the company’s crypto investment products.
