NEW YORK--(BUSINESS WIRE)--Ritholtz Wealth Management (RWM) and WisdomTree (NASDAQ:WETF) today announced the launch of the RWM WisdomTree Crypto Index designed to provide retail investors, via a financial advisor, access and diversified exposure to cryptoassets. The Index has been licensed to Onramp Invest and is available for financial advisors using the Onramp technology platform to manage separate accounts of clients.
The RWM WisdomTree Crypto Index, as presently constituted, is made up of 36% BTC (Bitcoin), 20% ETH (Ethereum) and 4% each of 11 other cryptoassets that provide exposure to the broader crypto ecosystem, spanning layer-1 networks (e.g., payment systems, smart contract platforms), layer-2 protocols, oracle networks, crypto indexing services, decentralized finance (DeFi), and the metaverse. The constituents are intended to represent thematic investments in diverse segments that advance crypto infrastructure and provide necessary services.
“WisdomTree is an index developer and innovator at our core. Our team is incredibly bullish on digital assets transforming financial services. We’ve hired aggressively to build indexing infrastructure and support for a crypto focused investment strategy,” said Jeremy Schwartz, Global Chief Investment Officer at WisdomTree. “In our view, this direct indexing implementation of the RWM WisdomTree Crypto Index via Onramp Invest and Gemini is the best assembled structure and diversified cryptoasset exposure currently available to U.S. investors and particularly the RIA community.”
The RWM WisdomTree Crypto Index will follow a modified market capitalization weighted approach and allow the weights to fluctuate in line with market movements. As new cryptoassets become eligible for trading, custody and meet the standards of the Index, and the market evolves, the Index Committee will review Index exposures regularly. RWM’s leadership, including Josh Brown, Barry Ritholtz, Michael Batnick and Ben Carlson, are personally invested in the Index, along with several other of the firm’s financial advisors and employees.
“The moment of mass adoption for digital assets, blockchain, DeFi, metaverse and web3 technology has arrived. We consulted with WisdomTree regarding the creation of the Index to provide our clients with exposure to the asset class,” said Michael Batnick, CFA®, Director of Research at Ritholtz Wealth Management. “As wealth managers, we have a responsibility to adapt our portfolios to this burgeoning opportunity. As fiduciaries, we have an obligation to do so in a sensible way while harnessing the benefits of increased diversification. Allowing the investment community to access digital assets by tracking an index strategy is an exciting chance for Ritholtz Wealth to have an even broader impact.”
Onramp Invest, an integration platform that provides access to cryptoassets for RIAs, will supply the SMA architecture, rebalancing technology, and customer support for financial advisors to seamlessly invest in the Index on behalf of their clients.
“Cryptoassets show great promise for financial advisors to add value, to be compensated for it, and to do so in a way that can be in line with their fiduciary responsibilities,” offered Eric Ervin, Chief Investment Officer and Co-Founder at Onramp Invest. “Our goal at Onramp from day one was to make this possible. We’re excited to play a role alongside these brand names facilitating seamless access to the space for their clients.”
Gemini’s unparalleled custody infrastructure and crypto-native exchange will power the creation of the Index. With a proactive approach to regulation and institutional-grade security, Gemini is a best-in-class partner for wealth managers who want to securely and compliantly offer crypto investments to their clients.
“At Gemini, we are on a mission to empower the individual through crypto—including the advisor community and their clients,” said Kristen Mirabella, Director, Business Development at Gemini. “Today’s announcement brings us one step closer to that goal as we dramatically increase access to digital asset strategies among wealth managers.”
For more on today’s news, listen to or watch the latest episode of “The Compound and Friends,” hosted by Josh Brown and Michael Batnick, as they welcome Jeremy Schwartz on the show1 to discuss the launch of the RWM WisdomTree Crypto Index.
See the important disclaimers and disclosures below.
About Ritholtz Wealth Management
Ritholtz Wealth Management is a SEC Registered Investment Advisory firm based in New York City that offers a full suite of financial planning and asset management services to high-net-worth households, corporate retirement plans, endowments and charitable foundations. The firm's core principle is bringing value-added investment and financial planning help to its clients as a fee-only fiduciary advisor. For more information, please visit ritholtzwealth.com and follow us on Twitter @ritholtzwealth.
WisdomTree Investments, Inc., through its subsidiaries in the U.S. and Europe (collectively, “WisdomTree”), is an ETF and ETP sponsor and asset manager headquartered in New York. WisdomTree offers products covering equity, commodity, fixed income, leveraged and inverse, currency, cryptocurrency and alternative strategies. WisdomTree currently has approximately $76.4 billion in assets under management globally. For more information, please visit wisdomtree.com or follow us on Twitter @WisdomTreeETFs.
WisdomTree® is the marketing name for WisdomTree Investments, Inc. and its subsidiaries worldwide.
Onramp Invest is an integration platform as a service (iPaaS) technology company providing access to cryptoassets for registered investment advisers.
Onramp Invest’s comprehensive crypto asset management solution enables advisers to help their clients safely, confidently, and intelligently invest in the new age.
Learn more at onrampinvest.com, academy.onrampinvest.com and follow Onramp on Twitter @Onrampinvest.
Gemini is a platform that allows customers to buy, sell, store, and earn cryptocurrencies like bitcoin, ether, and DeFi tokens. Gemini's simple, reliable, and secure products are built to empower the individual. Gemini was founded in 2014 by twin brothers Cameron and Tyler Winklevoss. To learn more about Gemini, visit Gemini’s website Gemini.com.
______________________________
1 This podcast is for informational purposes only and should not be or regarded as personalized investment advice or relied upon for investment decisions. All opinions expressed by Josh and Michael are solely their own opinion and do not reflect the opinion of Ritholtz Wealth Management.
IMPORTANT DISCLOSURES
RWM is a consultant to WisdomTree as the index provider for the Index and will receive fees from WisdomTree related to such role. RWM may separately and without involvement from WisdomTree act as an adviser to one or more clients pursuant to written agreement between RWM and such client. WisdomTree has licensed the Index to Onramp for use by advisers (including RWM in such capacity) in managing separate accounts for their clients via Onramp. Advisory services are only offered to clients or prospective clients where Ritholtz Wealth Management and its representatives are properly licensed or exempt from licensure. No advice may be rendered by Ritholtz Wealth Management unless a client service agreement is in place. To determine which investments may be appropriate for you, consult your financial advisor prior to investing. Any past performance discussed during this program is no guarantee of future results. Investing involves risk and possible loss of principal capital. Any past performance discussed during this program is no guarantee of future results. Investing involves risk and possible loss of principal capital; please seek advice from a licensed professional. Current and prospective clients should review a full list of risks and disclosures here.
The information herein, including as relates to the Index, should not be relied on and is not a substitute for the skill, judgment and experience of the user, its management, employees, advisers and/or clients when making investment, service provider and other business decisions. All such information is impersonal and not tailored to the needs of any person. None of the information constitutes an offer to sell or a solicitation of an offer to buy, any asset, financial product or other investment vehicle or any trading strategy. Reference to the entities described herein should not be considered a recommendation or endorsement by WisdomTree of such entities. All users of the information should conduct their own diligence using professional advisors.
It is not possible to invest directly in the Index. Exposure to the assets represented by the Index is only currently available in the US through accounts managed by advisers, which may include RWM in such capacity, for their clients that may be based on the Index (collectively, “Index Related Accounts”). A decision to invest in or per such Index Related Account should not be made in reliance on any of the statements set forth in this document or otherwise related information. Inclusion of a crypto asset within the Index is not a recommendation to buy, sell, or hold such crypto asset, nor is it considered to be investment advice or otherwise express any opinion regarding any assets, instruments or trading strategies.
There are risks associated with investing, including the possible loss of principal. Crypto assets are complex, generally exhibit extreme price volatility and unpredictability, and should be viewed as highly speculative assets. Crypto assets present new and different risks and considerations that may be unfamiliar to advisers and/or investors, including in execution, trading, costs and custody. An investor, together with an adviser, should conduct diligence to, among other things, understand the crypto asset, wallets or any other devices, software or trading platforms used to interact with the crypto asset, blockchain network or relevant network application, potential harm due to loss of private keys, and the liquidity, volatility, complexity, execution, costs, regulatory status (including tax implications) and risks of the crypto assets, to ensure suitability in light of individual circumstances and financial position.
