Hauck & Aufhauser will unveil the fund in January 2021.

German private bank Hauck & Aufhäuser Privatbankiers AG will soon provide investors the opportunity to obtain long-term exposure to leading, large-cap cryptocurrencies such as bitcoin, ether, and stellar. The bank’s digital asset-focused investment arm, Hauck & Aufhäuser Innovative Capital (HAIC), obtained a BaFin license as a registered asset manager on September 30.

The bank has a tie-up for crypto custody services with Kapilendo AG, also licensed by BaFin.

HAIC and Kapilendo are floating the HAIC Digital Asset Fund I in January 2021 with a focus on institutional investors.

HAIC Digital Asset Fund I

The fund will be sold through Hauck & Aufhäuser and Kapilendo Invest AG, with a minimum investment of €200,000.

Further, HAIC will function as the portfolio manager, while Kapilendo will act as the crypto custodian.

“We see that digital assets and cryptocurrencies are becoming increasingly attractive among institutional investors. With the launch of our first crypto fund, together with Kapilendo, we have created an innovative investment vehicle that gives our customers inexpensive and secure access to the new crypto asset class while meeting the established quality standards and high demands of Hauck & Aufhäuser,” said Dr. Holger Sepp, member of the board of Hauck & Aufhäuser, in a statement.

“The new HAIC Digital Asset Fund I is an exciting tech investment. It is designed as a portfolio addition for institutional investors,”  said Jens Siebert, Chief Solution Officer of Kapilendo AG. “Kapilendo takes over the custody of the crypto assets for the Fund.”

He added that Kapilendo was capable for the end-to-end processing and custody of crypto assets.

Moreover, according to Hauck & Aufhäuser, the HAIC Digital Asset Fund I will not trade derivatives, use short positions, or invest in leveraged positions.

However, in case of exceptional market turbulence, the fund may switch from crypto assets to stocks or high-rated bonds.

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