Schwab Asset Management, the management division of the American-based multinational financial services firm Charles Schwab Corp., announced Friday the launch of its first crypto exchange-traded fund (ETF), dubbed Schwab Crypto Thematic ETF.
Schwab Launches Crypto ETF
The asset management company disclosed that the new ETF would be listed on NYSE Arca under the ticker STCE, which will be available for trading on or around August 4.
Speaking on the new development, David Botset, the managing director and head of equity product management at the company, stated that the crypto ETF aims to grant investors access to the growing industry, including transparency and other benefits.
“For investors who are interested in cryptocurrency exposures, there is a whole ecosystem to consider as more companies seek to derive revenue from crypto directly and indirectly. The Schwab Crypto Thematic ETF seeks to provide access to the growing global crypto ecosystem along with the benefits of transparency and low cost that investors and advisors expect from Schwab ETFs,” he said.
The company has now joined a growing list of firms that have launched crypto-related ETFs this year, including BlackRock and Fidelity.
Schwab’s Crypto Thematic Index
Schwab’s crypto ETF is designed to track the company’s new proprietary index, the Schwab Crypto Thematic Index.
According to the company, the index comprises “shares from exchange-listed common equity securities, including Depositary Receipts which may be in the form of American Depositary Receipts (ADRs), Global Depositary Receipts (GDRs) and European Depositary Receipts (EDRs).”
Additionally, the firm noted that the new ETF is designed to offer investors global exposure to entities that may benefit from developing or utilizing digital assets, including Bitcoin and other cryptocurrencies or businesses associated with blockchain technology.
The asset management company also noted that the Schwab Crypto Thematic ETF would not be used directly to invest in cryptocurrencies or other digital assets outside of the entities listed within its scope.
