Boston-based consulting firm Cambridge Associates believes it is beneficial for investors to start exploring today’s currencies, focusing on long-term investments, as written in an investment note for customers. Even in the midst of current challenges and a record bearish market, the company sees booming investment activity and structural developments as key reasons to say that the digital currency sector is evolving, not faltering.
The report reviews recent developments in the sector, highlights investment strategies, and comments on anticipating institutional exposure in the future. Highlights include:
Show booming investment activity:
According to the New York Digital Investment Group, a number of software projects related to the technology of pluchen over Github have increased tenfold in the past three years, while the amount of investment funding in the buccaneer has increased to $ 3 billion between January and October of 2018 .
Offer three categories of investment opportunities:
1) The dominant investment which involves trading or gaining exposure to the most important digital currencies, which is the formation of etherium.
2) Pre-sale foreign currency investment, which gives the right to receive excess foreign currency at large discounts often through simple agreements to reflect investments in technology at an early stage.
3) Equity investments that include direct investments in companies that contribute to the growth and success of the digital currency and bauxite sectors.
Summarize the three main investment strategies:
1) Use the general indicator approach to get digital exposure rates to the general public and then offer the most liquid currency and currencies away from the movement.
2) The active public approach targets market inefficiency in the hope of outperforming the overall index by engaging in long and short term technical and technical strategies.
3) A special approach that is consistent with typical venture capital strategies aimed at aligning public-private partnership incentives with funding structures that reduce commercial risks in order to enhance the focus on long-term investment.
Institutionalized exposure is estimated to increase in the future: Cambridge assumes that most institutional investors have little exposure to digital currencies, and those with exposure are estimated to have a 20-30% preference, and expect traditional capital to increase their exposure to ahead. However, the company does not believe that more than 1% of the portfolios are prudent at this time.