Key facts
- Franklin Templeton has filed for two new ETFs.
- The ETFs will reinvest stock dividends from U.S. equities into Bitcoin.
- The funds will initially allocate 95% to equities.
- The funds will initially allocate 5% to Bitcoin.
- Bitcoin exposure is capped at 20%.
- The allocation will be rebalanced quarterly.
Franklin Templeton has introduced plans for two new exchange-traded funds (ETFs) designed to convert stock dividends received from U.S. equities into Bitcoin. This innovative approach allows investors to gain exposure to the cryptocurrency market through a familiar investment structure. The proposed ETFs will begin with a portfolio allocation of 95% in U.S. equities and 5% in Bitcoin. The exposure to Bitcoin within these funds will be capped at a maximum of 20% of the total assets. Furthermore, the allocation will be rebalanced on a quarterly basis to maintain the desired investment strategy and risk profile.