This article is from cointelegraph.com.br and the original article can be read here in Portuguese
Vitreo GestĂŁo de Recursos, home of the Empiricus Group, announced the launch of its first ETF with exposure to cryptocurrencies, the Empiricus Teva Cryptocurrencies Top 20 Index Overseas Investment Fund, constituted pursuant to the Instruction of the Securities and Exchange Commission (CVM) No. 359/02.
The ETF adopts the Teva Cryptocurrencies Top20 as a benchmark, the first Brazilian cryptocurrency index, created and maintained by the Brazilian Teva Indexes. The ETF consists of 20 cryptocurrencies and is rebalanced monthly, always on the first business day, taking into account all data up to the last business day of the previous month and the price on the day of the adjustment.
The cryptocurrencies that make up the fund are: Bitcoin (58.1%), Ethereum (25.6%), cardano (2.7%), Solana (2.5%), polkadot (1.7%), Earth (1.6%), Avalanche (1.4%), polygon (0.9%), chainlink (0.6%), Cosmos (0.6%), Algorand (0.5%), TRON (0.5%), uniswap (0.4%), fantom (0.4%), stellar (0.4%), Internet Computer (0.3%), Axie Infinity (0.3%), sandbox (0.3%) and decentral and (0.3%).
The ETF has a management fee of 0.75% per year and has no performance fee and according to the CEO of Vitreo GestĂŁo, George Wachsmann, the ETF is composed of coins that have good liquidity since the eligibility criteria prevent the portfolio from being composed of unsubstantiated assets or that replicate other crypto assets.
“Teva’s intention was to create rules for the exclusion of assets that do not represent the market from a fundamentalist point of view. We have to follow the index rule, which seeks to ally itself with mechanisms that resemble our essence. For example, some variations of bitcoins are not part of the index, making room for assets that will better compose the index”, says Wachsmann.
The ETF will be traded on the secondary market under the ticker “CRPT11” and will have an estimated initial value of R$9.62 per share.
Metaverse
Recently, Vitreo announced the launch of Vitreo Metaverso Ações FIA BDR Level I, which invests in companies and cryptocurrencies linked to the metaverse. The fund is aimed at the general public and has an initial investment of R$ 1,000.00.
The base structure of Metaverso Ações is a BDR stock fund, with a composition of up to 20% of shares abroad and the remainder in BDRs issued in Brazil, as determined by the CVM.
Companies such as Unity, AMD, Nvidia, Roblox and Facebook itself (from Meta) are some companies that make up the product portfolio, whose structuring is based on the Meta Rider thesis by Empiricus, by analysts Enzo Pacheco, JoĂŁo Piccioni and Richard Camargo.
In addition, the fund invests up to 10% in a portfolio of cryptocurrencies related to NFTs and gamecoins. According to Jojo Wachsmann, CIO of Vitreo, the fund’s outlook is very positive.
“Although rising inflation and US interest rates may seem like a threat, the idea is to invest in companies that are working to build this new reality,” he says.
The metaverse requires investments at three levels: hardware, software and infrastructure. And for all of them, the cost involved is in the billions of dollars.
“This virtual reality calls for the development of sensors, lenses, speakers, processor design, data centers and complex applications and many other applications”, recalls Jojo.