Israel to Launch Six Bitcoin Mutual Funds Next Week
Israel is set to debut six mutual funds tracking the price of bitcoin (BTC) next week after receiving approval from the Israel Securities Authority (ISA). The funds, offered by Migdal Capital Markets, More, Ayalon, Phoenix Investment, Meitav, and IBI, will all start operations on December 31st. The management fees for these funds will range from 0.25% to 1.5%, with one fund being actively managed in an attempt to outperform bitcoin’s performance.
Initially, the funds will transact just once a day, but future products may have the ability to trade continuously. This news comes almost a year after the U.S. Securities and Exchange Commission (SEC) approved spot bitcoin exchange-traded funds (ETFs), leading to significant growth in the cryptocurrency market. The U.S. funds have attracted $35.6 billion in investor cash since their approval.
Investment houses in Israel have been eager for ETFs to be approved, with many sending prospectuses for bitcoin funds earlier in the year. The ISA took its time to review the details before granting final approval for the six mutual funds. The approval marks a significant milestone for the Israeli investment market, allowing investors to access bitcoin through regulated financial products.
The launch of these bitcoin mutual funds in Israel reflects the growing interest in cryptocurrencies among traditional investors. As the cryptocurrency market continues to evolve, more countries are likely to follow suit and offer similar investment products to meet the demand for digital assets. Investors in Israel now have the opportunity to diversify their portfolios and participate in the growing cryptocurrency market through these new mutual funds.