VanEck Launches Diversified ETF With Bitcoin Exposure

Asset manager VanEck has begun trading its Wealth Builder ETF on the New York Stock Exchange. The fund, ticker WBMO, utilizes active management to build a diversified portfolio. Its strategy includes global equities, fixed income bonds, gold, and other real assets.

The product sets a target allocation of 2% in Bitcoin. The permitted range for this portion fluctuates between 1% and 5% of total assets. Exposure to the digital asset is achieved indirectly through exchange-traded products. The fund does not hold the cryptocurrency directly.

The structure of WBMO aims to adapt the traditional 60/40 portfolio model to the current economic landscape. VanEck performs periodic rebalancing of positions to adjust weights based on market conditions. The net expense ratio for the fund is 0.26% per year.

The manager emphasized that the inclusion of real assets and crypto assets aims to provide greater portfolio resilience. Bitcoin volatility is mitigated by combining it with more traditional asset classes. The fund is available to investors with brokerage accounts without the need for personal digital wallets.