Hilbert Group and Xapo Bank Join Forces to Launch $200 Million Bitcoin Hedge Fund
Bitcoin-Centric Hedge Fund Pending Launch
Hilbert Capital, the asset manager of Hilbert Group AB (Nasdaq: HILB B), has announced a strategic partnership with Xapo Bank, a leading global institution. The collaboration will launch a Bitcoin-denominated hedge fund this September, with expectations of attracting over $200 million in its initial funding round from Xapo Bank and other investors this year.
This partnership marks a significant milestone for Hilbert Group, which recently reshuffled its C-Suite appointing Barnali Biswal as CIO. On the one hand, it reinforces its position as a leader in digital asset management. And on the other hand, the fund will cater to corporates, businesses, and professional investors, offering a unique opportunity to generate returns in Bitcoin (BTC) through institutional-grade structured credit arrangements.
These structured credit solutions are typically unavailable to participants directly in the market, providing a distinctive edge for investors seeking to grow their Bitcoin holdings in a secure and strategic manner.
Xapo Bank Director Praises the Partnership
Joey Garcia, Director of Xapo Bank, emphasized the importance of the partnership, stating, “We believe that offering the right products for participants in the space who are aiming not only for exposure to the Bitcoin price, but also structured ways to grow the Bitcoin value of those investments is a natural evolution of the asset class. Having the fund operated with the right level of investment experience, security, and operational integrity is fundamental, and we see Hilbert as a key partner in that offering.”
The hedge fund will charge fees below the standard “2% and 20%” model commonly seen in the industry, making it an attractive option for investors seeking high-quality returns at a lower cost.
Hilbert Group CEO Projects Upbeat Outlook
Niclas Sandström, CEO of Hilbert Group, expressed his confidence in the partnership, noting the deep and strategic relationship built with Xapo Bank over the past year. “Xapo Bank is a veteran in the Bitcoin space and a tier-one financial institution in the digital asset sector. Given the investment opportunity and the quality and experience of the team, we anticipate that the fund will grow meaningfully over the next year,” Sandström said.
He also highlighted Hilbert Group’s progress toward its five-year plan to become a global leader in asset management. “Hilbert is 2 years into its 5-year plan of being a global-leading asset management firm. We have invested heavily in our investment and operations expertise and infrastructure to enable us to manage attractive investment solutions and partner with the world’s best financial institutions. Xapo is one of the very best.”
Sandström further acknowledged the crucial role of Richard Murray, CEO of Hilbert Capital, in developing and securing the partnership.
As Hilbert Group continues its growth trajectory, this partnership with Xapo Bank is expected to drive further innovation and value creation in the digital asset space.