In Brief:
- The fund manager increased the size of a crypto bet it made just a week ago.
According to Friday’s announcement, Neuberger Berman’s $164 million commodities fund can invest up to 5% of its assets in bitcoin futures and funds. The asset manager revealed the news, following up on its crypto bet from the previous week.
This supplement replaces the August 11, 2021 supplement that was previously mailed to shareholders. Accordingly, the following changes to the Prospectus and Statement of Additional Information for the Fund are as follows:
- Additional risks and other practices information about cryptocurrency.
- Additional Investment Information about bitcoin and cryptocurrency is added.
- In the 11th paragraph, the futures contract is being deleted and being replaced.
- Finally, in the investment information section, Securities of Canadian Cryptocurrency ETFs were added.
On August 11, the fund received preliminary approval to pursue bitcoin and ether (ETH, +2.21%) exposure through derivatives. Ether appears to have been ruled out; the bitcoin-only petition on Friday stated that it “replaces” the original.
Also Read: Neuberger Berman Now Allows Crypto Investments For Commodities Fund
Despite the fact that certain ETFs have been added to the fund’s whitelist. It is still unable to invest directly in digital assets due to regulatory issues.
According to the new filing, Neuberger Berman, a $400 billion asset management company, is considering crypto investments.