A Blockchain ETF on the London Stock Exchange

While many are awaiting the Bitcoin ETF, a blockchain one is going up on the the London Stock Exchange. Invesco, an investment management company, has formed a partnership with Elwood Asset Management, a digital asset investment firm to launch a blockchain ETF on the London Stock Exchange.

The goal of this partnership is to improve the performance of the  Elwood Blockchain Global Equity Index by investing in the Index’ members.

The ETF became active on March 8th on the London Stock Exchange with the name Invesco Elwood Global Blockchain UCITS ETF. The trading started three days later, on March 11th.

 The ETF is issuing the amount of 500,000 shares with a net asset value of $20 million. Shares are thus valued at $40. The annual management fee stands at 65%.

The  Elwood Blockchain Global Equity Index includes 48 companies, among which are Apple and Amazon. According to ETH News,  the index itself is broken up in percentages based on industry, with IT companies making up 46%, financial services companies 23%, communications companies account for 9%, and 8% are companies that operate in the consumer and materials sector.

The interesting part is that a majority of all companies under the Index are focusing heavily on blockchain technologies and diversifying their business lines with blockchain.

The funds  that are to be obtained through the ETF will be divided by the US-based companies, which will receive 39%, Japanese companies with 29% Taiwanese companies will get 12% of the funds.

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