Strong client demand has led Morgan Stanley to become the latest global bank to introduce cryptocurrencies to its offering.
Morgan Stanley will offer its wealth management clients access to Bitcoin exposure, according to a «CNBC» report citing an internal memo.
The decision was made due to client demand and investments into Bitcoin will be made available via three funds – two from Mike Novogratz’s Galaxy Digital and one jointly from asset manager FS Investments and bitcoin firm NYDIG.
Controlled Risk
Morgan Stanley’s wealth management arm, which has $4 trillion in client assets worldwide, will roll out the Bitcoin offering with an emphasis on risk management.
It considers exposure to the cryptocurrency suitable only for those with «aggressive risk tolerance» and at least $2 million in assets held by the American private bank. It is also limiting investments to as much as 2.5 percent of clients’ total net worth.
Morgan Stanley is the latest major American financier to officially enter the emerging market after BNY Mellon announced its new crypto custody offering for asset management clients last month. Outside of the U.S., notable global banks that have also launched crypto offerings include Standard Chartered and DBS.
