4th Straight Week Of Outflows For Digital Asset Funds

Takeaways

• Digital asset investment products saw another week of outflows totalling US$19.5m, the 4th consecutive week of outflows.
• Since the outflows began, prompted by negative price action in mid-May, outflows have totalled US$295m, representing 1% of assets under management.
• Bitcoin saw outflows totalling US$20m, its 4th consecutive week.
• Multi-asset investment products continued to buck the trend with another week of inflows totalling US$7.5m.

Digital asset investment products saw another week of outflows totalling US$19.5m, the 4^th consecutive week of outflows despite the most recent price recovery, suggesting investors were using recent strength in prices to take profits.

Since the outflows began, prompted by negative price action in mid-May, outflows have totalled US$295m, representing 1% of assets under management (AuM). During the 2018 price rout, outflows were far greater, totalling 5% of AuM but occurred over a shorter period of 9 weeks rather than the current 12 weeks seen during the current price decline.

Bitcoin saw outflows totalling US$20m, its 4^th consecutive week and has borne the brunt of the outflows over this price rout in digital assets. Regardless inflows year-to-date remain high at US$4.1bn.

Ethereum saw outflows totalling US$9.5m, it’s second consecutive week, although investors have been more forgiving, seeing outflows in only 6 of the last 12 weeks compared to 10 for Bitcoin.

Multi-asset investment products continued to buck the trend with another week of inflows totalling US$7.5m.

Digital asset investment products trading volumes rose 173% compared to the previous week.

Contact James Butterfill at [email protected]