IIS brings high risk Bitcoin fund to market

A week after selling its global fixed interest fund to Harbour, Implemented Investment Solutions is launching a high risk Bitcoin fund.

Saturday, October 2nd 2021, 8:23PM 1 Comment

According to documents on the Disclose website The Vault International Bitcoin Fund, which is issued and managed by IIS, is about to hit the market.

The investment manager is Vault Digital Funds, a New Zealand owned and operated digital assets investment manager. It is issued and managed by Anthony Edmonds IIS.

Vault Digital Funds is a business related to Easy Crypto, which is described as New Zealand's leading cryptocurrency brokerage that is used by more than 156,000 people.

Its website states; "Investors can have the confidence and peace of mind that they are investing through a New Zealand owned and operated company."

"We have partnered with some of New Zealand’s best fund service providers to bring world-class investment products to Kiwis so you don’t have to send money overseas to buy or store digital assets."

"Vault believes that that digital assets have great future potential, and their aim is to provide Kiwi investors with easy access to this dynamic new asset class in a simple, smart and trusted way."

However, the Product Disclosure Statement gives it the highest risk rating possible - A seven.

"The fund targets a return before fees and tax that broadly tracks the S&P Bitcoin Index in New Zealand dollar," the PDS says.

"This is a highly speculative investment. Bitcoin is a highly volatile asset. This means the fund will not be appropriate for all investors."

The fund has a 2.5% fee and the PDS recommends a minimum suggested investment timeframe of 10 years.

The PDS also says investing in the funds is "...easier than holding Bitcoin directly. When holding Bitcoin directly you need to make your own custody or safekeeping arrangements. Bitcoin custody is managed within the underlying fund investments."

Vault founder and chief executive Vinnie Gardiner has a background in banking and finance, with roles at KPMG and Barclays. 

"More recently, Vinnie has been involved in New Zealand’s property sector, both as an investor and developer."

"Having previously been a Chartered Accountant, Vinnie has diversified into the digital asset class and has a vision to help propel New Zealand to be a world leader within the rapidly growing Fintech arena.

"He is passionate about democratising access to digital asset investment by simplifying the investment process," the company's site says.

"To him, investing in digital assets should be a simple, trusted and familiar process for all."

Co-founder of Vault Digital Funds is Easy Crypto chief executive Janine Grainger. Easy Crypto is described as "New Zealand's leading cryptocurrency retailer."

The fund invests in bitcoin funds and ETFs listed on foreign stock exchanges, investors will be taxed using the Fair Dividend Rate (FDR) method.

At the date of this PDS (September 22) the underlying funds may include:

• Grayscale Bitcoin Trust
• CI Galaxy Bitcoin ETF
• 3IQ Coinshares Bitcoin ETF
• Purpose Bitcoin ETF


Tags: Anthony Edmonds bitcoin cryptocurrency Implemented Investment Solutions Janine Grainger

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Comments from our readers

On 4 October 2021 at 3:56 pm drvp25 said:
It could have been good fund but the 2.5% fee will kill most of your profits

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