Introduction
Hashkey Capital, a digital asset investment company, has partnered with FTSE Russell, a subsidiary of the London Stock Exchange Group (LSEG), to introduce three indices that track cryptocurrencies. These indices provide investors and traders with the ability to monitor a wide range of assets across different segments of the digital asset market.
Hashkey and FTSE Russell Introduce Comprehensive Crypto Asset Indices
Hashkey Capital has collaborated with FTSE Russell, a well-known provider of benchmarks, analytics, and multi-asset data solutions, to develop three indices focused on monitoring the performance of crypto assets.
Starting from January 24, 2024, these indices will be accessible on the FTSE Russell website. Furthermore, there are plans to make them available through various data providers, including Bloomberg, Factset, LSEG Data and Analytics, Morningstar, and S&P Capital IQ, in the future.
"We are excited to have collaborated with HashKey Capital in the development of these new custom indices," stated Chris Williamson, Head of Asia-Pacific, Index Investments Group at FTSE Russell, during the announcement.
Williamson added that the indices are created through a rigorous vetting and monitoring process, establishing standards for asset and exchange inclusion. This ensures they meet the institutional demand for investability and regulatory integrity in the emerging asset class.
The Three Indices
According to the recent announcement, the first index, called the FTSE Custom Digital Asset Top 20 Index, tracks the top 20 crypto assets based on market capitalization, representing over 90% of the digital asset market's performance.
The second index, named the FTSE Custom Digital Asset Infrastructure Index, focuses on assets that form the foundation of the crypto ecosystem, including smart contract platforms and distributed computation.
Lastly, the third index, known as the FTSE Custom Digital Asset Application Index, monitors assets associated with staking and decentralized finance (defi).
Hashkey's Recent Developments
Hashkey recently obtained a comprehensive capital markets license in Singapore. In mid-January, the Hashkey Group also announced a successful $100 million capital raise through a Series A funding round.
"We have witnessed a significant surge in demand from investors who want to diversify their portfolios beyond the established cryptocurrencies," said Mr. Deng Chao, Managing Director of Hashkey, expressing the company's optimism about the collaboration with FTSE Russell.
Conclusion
The partnership between Hashkey Capital and FTSE Russell has resulted in the launch of three indices that provide investors and traders with comprehensive insights into the performance of various crypto assets. With the increasing demand for diversified portfolios in the digital asset market, these indices serve as valuable tools for tracking and analyzing the ever-evolving cryptocurrency landscape.
What are your thoughts on Hashkey's collaboration with FTSE Russell? Share your opinions in the comments section below.
Frequently Asked Questions
What's the advantage of a Gold IRA?
There are many advantages to a gold IRA. It can be used to diversify portfolios and is an investment vehicle. You control how much money goes into each account and when it's withdrawn.
You also have the option to transfer funds from other retirement plans into a IRA. This is a great way to make a smooth transition if you want to retire earlier.
The best part is that you don't need special skills to invest in gold IRAs. They are offered by most banks and brokerage companies. You don't have to worry about penalties or fees when withdrawing money.
There are, however, some drawbacks. Gold is known for being volatile in the past. It is important to understand why you are investing in gold. Is it for growth or safety? Do you want to use it as an insurance strategy or for long-term growth? Only then will you be able make informed decisions.
If you plan to keep your gold IRA indefinitely, you'll probably want to consider buying more than one ounce of gold. A single ounce isn't enough to cover all of your needs. Depending on your plans for using your gold, you may need multiple ounces.
If you're planning to sell off your gold, you don't necessarily need a large amount. Even a single ounce can suffice. These funds won't allow you to purchase anything else.
How much of your portfolio should you hold in precious metals
To answer this question, we must first understand what precious metals are. Precious metals are those elements that have an extremely high value relative to other commodities. This makes them very valuable in terms of trading and investment. Gold is today the most popular precious metal.
There are many other precious metals, such as silver and platinum. While gold's price fluctuates during economic turmoil, it tends to remain relatively stable. It is also relatively unaffected both by inflation and deflation.
In general, prices for precious metals tend increase with the overall marketplace. That said, they do not always move in lockstep with each other. When the economy is in trouble, for example, gold prices tend to rise while other precious metals fall. Investors expect lower interest rates which makes bonds less appealing investments.
Contrary to this, when the economy performs well, the opposite happens. Investors are more inclined to invest in safe assets, such as Treasury Bonds, and they will not demand precious metals. They become less expensive and have a lower value because they are limited.
It is important to diversify your portfolio across precious metals in order to maximize your profit from precious metals investments. Furthermore, because the price of precious Metals fluctuates, it is best not to focus on just one type of precious Metals.
What are the pros and disadvantages of a gold IRA
An Individual Retirement Plan (IRA) has a major advantage over regular savings accounts. It doesn't tax any interest earned. An IRA is a great option for those who want to save money, but don't want tax on any interest earned. There are some disadvantages to this investment.
If you withdraw too many funds from your IRA at once, you may lose all your accumulated assets. Also, the IRS may not allow you to make withdrawals from your IRA until you're 59 1/2 years old. A penalty fee will be charged if you decide to withdraw funds.
Another problem is the cost of managing your IRA. Many banks charge between 0.5% and 2.0% per year. Other providers charge monthly management costs ranging from $10-50.
You can purchase insurance if you want to keep your money out of a bank. Many insurers require that you own at least one ounce of gold before you can make a claim. You might be required to buy insurance that covers losses up to $500,000.
If you are considering a Gold IRA, you need to first decide how much of it you would like to use. Some providers limit the amount of gold that you are allowed to own. Others allow you the freedom to choose your own weight.
It is also up to you to decide whether you want to purchase physical gold or futures. The price of physical gold is higher than that of gold futures. Futures contracts provide flexibility for purchasing gold. Futures contracts allow you to create a contract with a specified expiration date.
You'll also need to decide what kind of insurance coverage you want. The standard policy doesn't include theft protection or loss due to fire, flood, or earthquake. However, it does cover damage caused by natural disasters. Additional coverage may be necessary if you reside in high-risk areas.
Apart from insurance, you should consider the costs of storing your precious metals. Storage costs will not be covered by insurance. Additionally, safekeeping is usually charged by banks at around $25-$40 per monthly.
Before you can open a gold IRA you need to contact a qualified Custodian. A custodian maintains track of all your investments and ensures you are in compliance with federal regulations. Custodians don't have the right to sell assets. Instead, they must retain them for as long and as you require.
Once you've chosen the best type of IRA for you, you need to fill in paperwork describing your goals. You should also include information about your desired investments, such as stocks or bonds, mutual funds, real estate, and mutual funds. You should also specify how much you want to invest each month.
After filling in the forms, please send them to the provider. The company will review your application and send you a confirmation letter.
When opening a gold IRA, you should consider using a financial planner. A financial planner is an expert in investing and can help you choose the right type of IRA for you. They can help you find cheaper insurance options to lower your costs.
How does a gold IRA account work?
For people who are looking to invest in precious materials, Gold Ira account accounts provide tax-free investments.
You can buy physical gold bullion coins at any time. To start investing in gold, it doesn't matter if you are retired.
You can keep gold in an IRA forever. When you die, your gold assets won't be subjected to taxes.
Your gold will be passed on to your heirs, without you having to pay capital gains taxes. Because your gold doesn't belong to the estate, it's not necessary to include it on your final estate plan.
To open a gold IRA, you will first need to create an individual retirement account (IRA). After you do this, you will be granted an IRA custodian. This company acts like a middleman between the IRS and you.
Your gold IRA custodian will handle the paperwork and submit the necessary forms to the IRS. This includes filing annual reports.
After you have created your gold IRA, the only thing you need to do is purchase gold bullion. Minimum deposit required is $1,000 The minimum deposit is $1,000. However, you will receive a higher percentage of interest if your deposit is greater.
When you withdraw your gold from your IRA, you'll pay taxes on it. If you are withdrawing your entire balance, you will owe income tax plus a 10% penalty.
A small percentage may mean that you don't have to pay taxes. There are exceptions. For example, taking out 30% or more of your total IRA assets, you'll owe federal income taxes plus a 20 percent penalty.
It is best to not take out more than 50% annually of your total IRA assets. You could end up with severe financial consequences.
Can I hold physical gold in my IRA?
Gold is money, not just paper currency or coinage. It's an asset that people have used for thousands of years as a store of value, a way to keep wealth safe from inflation and economic uncertainty. Today, investors invest in gold as part a diversified portfolio. This is because gold tends do better in financial turmoil.
Many Americans today prefer to invest in precious metals, such as silver and gold, over stocks and bonds. While owning gold doesn't guarantee you'll make money investing in gold, there are several reasons why it may make sense to consider adding gold to your retirement portfolio.
Another reason is that gold has historically outperformed other assets in financial panic periods. Between August 2011 and early 2013 gold prices soared nearly 100 percent, while the S&P 500 plunged 21 percent. During turbulent market conditions gold was one of few assets that outperformed stock prices.
Another advantage of investing in gold is that it's one of the few assets with virtually zero counterparty risk. Your shares will still be yours even if your stock portfolio drops. Gold can be worth more than its investment in a company that defaults on its obligations.
Finally, gold provides liquidity. This means that, unlike most other investments, you can sell your gold anytime without worrying about finding another buyer. Gold is liquid and therefore it makes sense to purchase small amounts. This allows one to take advantage short-term fluctuations within the gold price.
Should You Open a Precious Metal IRA?
The most important thing you should know before opening an IRA account is that precious metals are not covered by insurance. It is impossible to get back money if you lose your investment. This includes all investments that are lost to theft, fire, flood, or other causes.
This type of loss can be avoided by investing in physical silver and gold coins. These items have been around for thousands of years and represent real value that cannot be lost. If you were to offer them for sale today, they would likely fetch you more than you paid when you bought them.
Consider a reputable business that offers low rates and good products when opening an IRA. A third-party custodian is a good option. They will protect your assets while giving you easy access whenever you need them.
Do not open an account unless you're ready to retire. Don't forget the future!
Statistics
- Gold is considered a collectible, and profits from a sale are taxed at a maximum rate of 28 percent. (aarp.org)
- You can only purchase gold bars at least 99.5% purity. (forbes.com)
- The price of gold jumped 131 percent from late 2007 to September 2011, when it hit a high of $1,921 an ounce, according to the World Gold Council. (aarp.org)
- If you accidentally make an improper transaction, the IRS will disallow it and count it as a withdrawal, so you would owe income tax on the item's value and, if you are younger than 59 ½, an additional 10% early withdrawal penalty. (forbes.com)
- If you take distributions before hitting 59.5, you'll owe a 10% penalty on the amount withdrawn. (lendedu.com)
External Links
cftc.gov
forbes.com
- Gold IRA, Add Sparkle to Your Retirement Nest egg
- Understanding China's Evergrande Crisis – Forbes Advisor
wsj.com
- Saddam Hussein's InvasionHelped Uncage a Bear In 1991 – WSJ
- You want to keep gold in your IRA at home? It's not legal – WSJ
investopedia.com
How To
Guidelines for Gold Roth IRA
You should start investing early to ensure you have enough money for retirement. It is best to start saving for retirement as soon you can (typically at age 50). To ensure sufficient growth, it is vital that you contribute enough each year.
You also want to take advantage of tax-free opportunities such as a traditional 401(k), SEP IRA, or SIMPLE IRA. These savings vehicles enable you to make contributions while not paying any taxes on the earnings, until they are withdrawn. They are a great option for those who do not have access to employer matching money.
It's important to save regularly and over time. If you don't contribute the maximum amount, you will miss any tax benefits.
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By: Jamie Redman
Title: Hashkey Capital and FTSE Russell Launch Trio of Indices to Track Diverse Crypto Assets
Sourced From: news.bitcoin.com/hashkey-capital-and-ftse-russell-launch-trio-of-indices-to-track-diverse-crypto-assets/
Published Date: Wed, 24 Jan 2024 19:30:29 +0000
