Diginex Limited’s alpha centric fund of crypto hedge funds, Bletchley Park Multi Strategy Fund (BPMSF), has generated an estimated 35 per cent return in investments for a year as of 31st January.
BPMSF is an investment company purely focussing on the blockchain technology ecosystem to deliver an institutional approach to investments in blockchain asset technologies and digital currencies.
They combine growth-oriented fundamental blockchain investments with alpha strategies that generate returns with limited directional exposure to moving crypto prices, enhanced by quantitative analysis to reduce volatility and risk.
The Journey So Far
While research began in 2018, with the investment team selecting the best managers for each style category after screening over 350 funds, the fund was established in November 2019 and has been outperforming each and every month when bitcoin has had a negative turn. BPMSF’s strategy focuses on blockchain projects involving exchange arbitrage (single coin and pairs), OTC block trading, triangular arbitrage, relative value trading, and futures trading.
These opportunities are unique within crypto markets contributing to generating positive returns in 10 of the 15 months since the fund’s inception. The fund currently has a Sharpe ratio of above 2 - the higher a fund's Sharpe ratio, the better a fund's returns have been relative to the risk it has taken on.
BPMSF and Diginex Celebrate
Thomas Chladek, Fund Manager of BPMSF, said:
"I am delighted to have closed out the first full calendar year with strong investor returns. Our due diligence process is at the forefront of the industry and the expertise we've generated over three years of research allows us to identify strong managers for the future. We have analyzed literally hundreds of potential managers so that we can find the absolute best in each class."
Bletchley Park Asset Management is a regulated institutional-grade asset manager owned by Diginex Limited. Richard Byworth, CEO of Diginex, concluded:
"This is a great start for the fund's track record, and a strong finish for 2020, which was a transformative year for Diginex. Across the board we are achieving a number of key milestones and are seeing an unprecedented level of interest as financial markets' participants increasingly recognize the opportunity in digital assets."
Shane Edwards, Head of Investment Products, at Diginex added:
"This is a truly unique fund proposition. Crypto markets offer opportunities that do not exist elsewhere. The market is still evolving, and smart traders have the opportunity to make real alpha. I believe 2021 is the year investors recognize this and understand the value it brings to a regular portfolio or even portfolios with significant allocations to conventional hedge funds."
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.