American multinational services company Charles Schwab is launching a new exchange-traded fund (ETF) to track the performance of cryptocurrency and blockchain-related companies. Charles Schwab boasts over $7.5 trillion in assets under management and will look to attract clients with an interest in the emerging crypto space to invest in the planned ETF.
According to a filing submitted to the United States Securities and Exchange Commission (SEC), Charles Schwab plans to launch a so-called “Crypto Economy ETF.” The fund’s objective will be to “deliver exposure to to companies that may benefit from the development or utilization of cryptocurrencies (including bitcoin) and other digital assets, and the business activities connected to blockchain and other distributed ledger technology.”
Although the filing does not mention companies that will be included in the ETF basket, it mentioned specifically that the fund will not “invest in cryptocurrency or digital assets directly,” nor “invest in initial coin offerings (ICOs).”
If approved, the Schwab Crypto Economy ETF will be traded primarily on the New York Stock Exchange (NYSE) Arca with shares accessible to clients through brokerage accounts held at Charles Schwab or approved brokers.
More to follow…