Queensland Investment Corporation (QIC) is a massive Australian pension fund with a staggering $92.4 billion in assets under management. This puts QIC in fifth place in Australia. Recently, the fund made Financial Times known that they are seriously considering investing in cryptocurrencies.
Pension funds
Stuart Simmons, the head of QIC’s crypto division, indicated that they will most likely start with some cautious investments first. This is because QIC first wants more certainty in the area of regulation. Simmons states that the government in Australia must first provide the necessary clarity about this regulation before QIC invests large amounts.
Simmons believes that once the market changes from a ‘wild west’ to a professional one, more pension funds and other conservative asset managers will take a leap of faith.
A number of large asset managers in Australia already have a position in one or more cryptocurrencies taken, but so far no pension fund has taken such a step. These types of asset managers are generally a lot more conservative than other funds and with a crypto investment, QIC would become the first pension fund in Australia to take such a step.
For that reason, a possible investment by QIC in crypto is a huge step for the crypto community. This will be warmly welcomed by crypto investors around the world.
Super Funds
Simmons says it’s only a matter of time before other pension funds, or ‘super-funds’ as he calls them, will take similar steps.
“I don’t think it is inevitable that super funds and the institutional market will start investing in crypto, but as the segment matures, there is a good chance that super funds will seek exposure.”
Around the world, only a handful of pension funds have invested in cryptocurrencies. The more banks, pension funds and other institutions show that they no longer fear the world of cryptocurrencies, the easier it becomes for the remaining institutions to follow suit.
–
