A recognized Swiss investment management firm Vontobel (SWX: VONN) is issuing two new Bitcoin tracker certificates. In a press statement, the company confirms it is also terminating the current Bitcoin tracker certificate issued in July 2016.
The new certificates attract a management fee of 3.75% p.a to enable Vontobel to fulfill the high capital requirements in the crypto space.
Furthermore, the certificates have a subscription ratio of 1:100 to help first-time investors with limited capital to participate in the digital currency market.
“This opportunity to invest in new Bitcoin tracker certificates will enable investors to seamlessly continue their existing participation in Bitcoin. Investors will thus still be able to make transparent investments in a certificate and maintain their market access to Bitcoin, which is currently the world’s leading cryptocurrency,” Vontobel statement reads.
Vontobel has also incorporated a clause in the current certificate where the risk of a possible cyberattack and loss of the Bitcoins will be on investors.
First Swiss firm to launch Bitcoin tracker certificate
In 2016, Vontobel became the first Swiss financial institution to roll out a Bitcoin tracker certificate, which has been largely successful. The certificates allowed investors to take part in Bitcoin’s market on The Swiss Stock Exchange (SIX).
The termination of the existing tracker certificates is in line with regulatory requirements agreed during the rollout. The redemption amount per certificate will be based on the issuance conditions, with a payout slated on March 19, 2021.
The certificates come when more investors are showing interest in the cryptocurrency sector amid the ongoing Bitcoin rally.
The asset has surged since Q4 2020 to hit a new price high of above $41,000 on January 8, 2021, in a rally attributed to institutional investors.
Vontobel seeks to tap retail investors who do not want to miss out on the current rally.