72% of financial advisors are more than willing to invest client funds in crypto if a spot EFT product were launched in the US, highlights a recent Nasdaq poll. 86%, of the 500 financial advisors surveyed, anticipate raising their allocations over the next 12 months.
Moreover, 50% are currently using Bitcoin futures ETFs, while 28% want to start using them over the next 12 months. Advisors investing in cryptocurrency or looking at investing in digital assets say their ideal cryptocurrency allocation for a client is 6% of the client’s overall portfolio on average.
69% of the advisers would consider using an index fund, and 57% are open to sector-specific index funds. The survey highlights that 52% are looking at actively managed funds, 40% at individual digital assets, and 31% at high-yield funds.
Jake Rapaport, the head of Digital Asset Index Research at Nasdaq, highlighted that majority of financial advisors either plan to begin allocating to crypto or increase their existing allocation to crypto. He explained that as demand surges, advisors will be looking for an institutional solution to the crypto question that dominates client conversations.
Rapaport pointed out that crypto inflows through advisor channels show no signs of stopping. This comes even as advisors are grappling with compliance considerations and looking for guidance from other industry participants.