London, November 05, 2024 – In a pioneering move, a British pension fund, advised by pension consultancy Cartwright, has invested 3% of its £50 million ($65 million) assets directly into bitcoin.
This marks the first time a UK pension fund has allocated a portion of its assets directly into cryptocurrency rather than through proxies like spot ETFs. The private keys to the fund’s bitcoin holdings are reportedly held by five independent institutions to ensure enhanced security.
Cartwright’s Head of Digital Assets, Glenn Cameron, revealed that the decision followed “lengthy consultations” with trustees on environmental, social, and governance (ESG) considerations, investment viability, and security aspects.
This move follows similar interest globally, as demonstrated by Wisconsin’s pension plan in the US, though that fund allocated a smaller 0.1% of its assets into bitcoin through spot ETFs.
Cartwright has also announced plans to launch a Bitcoin Employee Benefits scheme, which would enable companies to make contributions directly to staff bitcoin wallets. Currently, five companies are showing interest in this program, highlighting a growing trend of institutional engagement with cryptocurrency.
This investment by the UK pension fund may set a precedent for further adoption within the pension industry as more funds seek diversified investment strategies.
