The use cases for blockchain are likely to be broad and varied. The Digital Fund’s objective is to capture exposure to early stage technologies that fit into the underlying investment thesis of the blockchain protocol layer. These technologies are set to deliver to disruption through enabling decentralised applications and monetary value transfer.
The Fund seeks long term capital growth through active direct investments into digital currencies and digital tokens. It aims to identify long term technological advantages and capture long term growth in the nascent blockchain industry.
As a new asset class, outstanding potential returns beckon. Target long-term uncorrelated diversification by applying a measured portfolio approach to investing.
The digital currency sector has a low correlation with other major asset classes, thus offering balanced portfolio diversification.
Replace the complexity of purchasing multiple digital assets by simply subscribing to the Digital Fund.
Lean upon the rigorous selection criteria and filters applied to identify top-tier technological advantage. The objective of these filters are to capture exposure to early stage technologies that fit into the underlying investment thesis of blockchain protocol layer growth.
Essential yet difficult to execute consistently as technologies change. Security of assets guides how the Digital Fund interacts with the digital asset sector.
Receive monthly updates of your investment into the Fund including original entry pricing, updated investment value, together with a detailed overview of the Funds performance metrics.
Digital assets are still in the early days of finding efficient and safe storage solutions. Benefit from best practice risk mitigation strategies to ensure security.
For the results of Digital Fund Download our comprehensive Performance and Risk report.
A diverse portfolio of digital currencies, combining both active and passive investment strategies. The Fund seeks to produce returns that closely match the overall market capitalisation of Digital Currencies through a disciplined and methodical approach to researching and managing the investments. The portfolio is designed to significantly reduce the systemic risk inherent to Digital Currencies for investors.
Projects are assessed for their future applications, technological advantages and network effects. This analysis helps us identify which assets are likely to outperform and which assets may represent more risk.
DCM believe that a number of digital currencies will experience exponential growth, however this will occur at different rates and give significantly different amounts of capital appreciation. For this reason, the Fund will generally try to avoid ‘selling its winners’ and ‘buying losers’ through the rebalancing process, and instead will look to do so only intermittently or when our target weight determined by the investment committee are significantly outside their bounds.
Fund Name
Digital Fund
Fund Structure
An Australian Financial Services Licensed Unit Trust
Investment Strategy
A diversified balanced portfolio of digital currencies, platforms and tokens, combining both active and passive investment strategies
Typical Number of Investments
10 - 30
Fund Objective
Track market capitalization growth of the digital currency sector
Investor Qualification
Wholesale accredited
Investment Horizon
5-10 years targeting medium-to-long term growth
Fund Structure
An unregistered Australian Financial Services Licensed Unit Trust
Investment
AU$50,000 minimum or at Trustee’s discretion
Unit Price
Priced monthly
Buy/Sell Spread
1.5% of unit price upon purchase, 1.5% upon withdrawal
Management Fee
1.5% per annum (paid monthly in arrears)
Performance Fee
15.0% (paid quarterly subject to high watermark)
Redemptions
Monthly. For the first 12 months, redemptions incur a 2% withdrawal fee, returned to the Fund
Subscriptions
Monthly by the 25th of each month
Distributions
Annual (with option for reinvestment)
Reporting
Monthly Unit Holder Statement
Digital Fund has engaged key service provides to deliver unit holders assurance through the investment process.
Investment Manager
Digital Capital Management Pty Ltd
Trustee & License Holder
Alpha Node Capital Pty Ltd (AFSL 479974)
Administrator
A4 Funds Pty Ltd
Custodian
Alpha Node Capital Pty Ltd
Accountant
Barrett Baxter Bye
Auditor
BDO (WA) Pty Ltd
Lawyer
Steinepreis Paganin
Before we start the application process there are a few important items which need to completed. Please note the Fund is accessible to wholesale investors only.
Important Dates:
Application to be completed and submitted prior to the 25th of each month.
Full payment of investment to be included in the following month series must be cleared into the trust bank account by no later than 28th of each month (except February when payment is to be received no later than 26th of the month).
Digital Capital Management Pty Ltd is a Corporate Authorised Representative (CAR) of the Australian Financial Service License 479 974. CAR Number 126 0311.
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