The chief investment officer of a New Zealand-based fund manager has revealed that he had bought Bitcoin in October last year
James Grigor, chief investment officer at KiwiSaver Growth Strategy, got in on the Bitcoin (BTC) bandwagon way back in October 2020 when it was changing hands at $10,000 (NZ$14,360) per BTC. He proceeded to complete a $17.5 million Bitcoin purchase on behalf of the fund manager. The sum represented 5% of the fund manager’s resources.
Grigor explained that many investors were opposed to the idea and didn’t believe that it was the right move. Financial institutions are gradually warming up to the Bitcoin idea, but there’s still plenty to be done to convince the mass investor crowd.
Managers from some of the other KiwiSaver schemes in the region are yet to jump on the Bitcoin bandwagon, citing the digital asset’s volatility. They also claim that the flagship cryptocurrency is limited in terms of use cases.
In his opinion, however, Bitcoin has evolved to become a commodity and excellent investment asset due to its inherent characteristics. Grigor argued that the crypto asset is much like Gold and could serve as a good hedge against inflation.
The investment officer set forth that one should not have a problem investing in Bitcoin, especially if they consider investing in Gold acceptable. Bitcoin’s price has steadily increased since Grigor made the purchase. The crypto asset is, as of writing, trading at $56,354.98, up 0.38% in the last 24 hours. At this price figure, the firm has gained more than five times the amount it had initially invested. Grigor asserted that the crypto asset offered investors a contemporary investment option.
“Our KiwiSaver is majorly built up through traditional assets classes […], and they will always be the
