Blockchain ETN Launched By Private Bank Kleinwort Hambros

Blockchain, News | April 9, 2019 By:

Kleinwort Hambros, a private bank owned by Société Générale, has launched a blockchain exchange-traded note (ETN) to give investors exposure to blockchain firms.

Headquartered in London, Kleinwort Hambros offers financial services from offices throughout the United Kingdom and Channel Islands. It focuses on private banking, providing a range of services for high net worth individuals and corporate clients, managing liquid and illiquid assets including a provision of corporate advice and private office capabilities.

The new Luxembourg-listed, actively managed blockchain note, which will be available exclusively to existing and prospective clients, will give investors the opportunity to gain market access to the companies which could profit most from the development and adoption of blockchain technology.

The initial basket of stocks will include 20 companies that have been drawn from different sectors including technology, shipping, oil and gas, custody banking and industrials. Minimum investment in the note is £1,000 GBP ($1,300 USD).

“The initial basket of stocks will include companies carefully selected to benefit from the potential growth of blockchain, either through the sale of software services, or through the improvement in margins that the installation of blockchain technology may produce,” the bank said. “The ETN will be actively managed by the Kleinwort Hambros investment team, benefitting clients by tapping into the rapidly growing technology, which in the energy sector alone is set to grow from $208m in 2017 to $11.9bn in 2024.”

John Birdwood, Portfolio Manager at Kleinwort Hambros, said that the bank has seen increasing interest from clients in the area of blockchain and they are very excited to be able to cater to this demand with the launch of their first blockchain note.

“We have built an innovative product which will provide our clients with the diversified exposure to the promising growth prospects blockchain technology offers, while maintaining the rigorous active management our clients expect,” Birdwood said.