Diginex, a blockchain solutions and financial services company, today announced it has acquired a 75% stake of Bletchley Park Asset Management (BPAM), a Jersey-regulated digital asset hedge fund, with a focus on growth-oriented fundamental digital asset investing and pure alpha market-neutral strategies.
This acquisition further demonstrates Diginex’s commitment to facilitating the institutionalization of digital assets. This partnership combines Diginex’s global footprint and professional approach to client service with BPAM’s breadth of experience of investing in this emerging asset class.
BPAM will retain full autonomy as a stand-alone hedge fund and will be added to Diginex’s financial services product suite, which is being developed to include: asset management, insured custody, corporate finance, and a full multijurisdictional regulated exchange launching in 2019.
“The BPAM acquisition is a logical progression in the build-out of our financial services offering. During our research for the pending launch of our multi-manager platform, BPAM stood apart from many funds that we interviewed as being truly institutional in their approach to asset management. Our ongoing strategy in this space continues to be sustainable and focused on the long-term, through investment in the infrastructure that allows for the adoption of both blockchain technologies and the digital asset class.”
BPAM’s strategy, which has returned 4.6%, inclusive of all fees, since inception on 1st September 2017 versus the average return of Bitcoin and Ethereum of -10.2% over the same period. The fund dynamically allocates across growth-oriented fundamental investing, market-neutral arbitrage, and strategic Initial Coin Offering participation. The fund management firm, which is Jersey regulated, is managed by Mr. Lewis Fellas, CEO & Chief Investment Officer. Mr. Fellas was formerly a portfolio manager at Harvard Management Co. and has over 19 years of investment, research and trading experience, including a track record of positive returns in 13 of 14 years.
“We launched BPAM because we saw the difficulties faced by investors when entering this emerging asset class, namely significant technology requirements for security, counterparty risk and information transparency. We created a regulated investment product that provides investors easy access in a familiar hedge fund format to an exciting emerging asset class. Now, with today’s announcement, we will be able to provide further investment products and access more investors across the globe utilizing the Diginex network. Investors seeking to participate in the exponential growth of digital assets want the security of institutional-grade risk management, the comfort of investing in a regulated vehicle with a seasoned fund manager, and the highest quality of client service. We look forward to being part of the Diginex family.”
The closing of the transaction, the terms of which are not disclosed, completed at the end of November 2018.
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