SYDNEY, 30 March 2022 - Craig Hobart, Head of Distribution at Monochrome Asset Management, attended the Advisers Big Day Out (ABDO) conference to discuss the developments in the crypto-asset space relevant to financial advisers following ASIC REP 705.
Mr Hobart’s speech included a market update and recap of the crypto-asset space, plus discussion of topics such as the pros and cons of the different pathways available to access crypto-assets, as well as the advice considerations in light of ASIC REP 705.
The full presentation in video and audio format and the relevant timestamps are included below:
ABDO Conference Presentation Timestamps
- Disclaimer | 00:00
- Industry problems relating to crypto-assets and how Monochrome aims to solve them | 00:40
- An introduction to Monochrome Asset Management | 02:20
- Monochrome’s investment philosophy | 05:05
- Bitcoin and its network effect | 10:25
- Bitcoin’s trilemma | 12:26
- Market overview of various asset classes | 16:28
- Market overview of crypto | 17:02
- Difference between Bitcoin and bitcoin, and the layers of Bitcoin | 18:39
- Comparison between gold, fiat currency and bitcoin | 20:31
- The pathways to access and own crypto-assets | 23:08
- Financial adviser checklist following ASIC REP 705 | 25:43
- Bitcoin in a hypothetical portfolio | 30:14
- Risks around Bitcoin | 31:55
- The importance of education and Monochrome Research | 32:41
- ESG and Bitcoin | 33:28
- CBDC impact on Bitcoin | 36:22
- Bitcoin’s investment characteristics | 37:15
A key segment of Mr Hobart’s presentation centred on the topic of ASIC REP 705 and adviser engagement with crypto-assets.
Mr Hobart commented, “Last year, on October 29 , ASIC released the way forward, so this is where it becomes interesting for you [as advisers].”
“The caveat being that this [asset class] isn’t for everyone, and asbestos gloves must be worn.”
Elaborating on a theoretical adviser checklist to consult when choosing a Bitcoin fund post-ASIC REP 705, Mr Hobart drew attention to research house ratings stating “Research ratings are obviously the next step you want to see. There are only two Bitcoin funds in Australia [currently] rated, both by SQM, [offered by] Monochrome and one other.”
This publication has been prepared by Monochrome Asset Management Pty Ltd ABN 80 647 701 246 (Monochrome) the Investment Manager of the Monochrome Bitcoin Fund (the Fund). Monochrome is a Corporate Authorised Representative No. 1286428 of Non Correlated Capital Pty Ltd ABN 99 143 882 562 AFSL 499882 (NCC). NCC is the Trustee of the Fund. This publication has been prepared by Monochrome to provide you with general information only. In preparing this publication, we did not take into account the investment objectives, financial situation or particular needs of any particular person. It is not intended to take the place of professional advice and you should not take action on specific issues in reliance on this information. Neither Monochrome, NCC nor any of their related parties, their employees or directors, provide any warranty of accuracy or reliability in relation to such information or accept any liability to any person who relies on it. You should obtain professional advice and consider the Information Memorandum before making a decision in relation to this product. Any forecasts and hypothetical examples are subject to uncertainty and are not guaranteed. Past performance is not a reliable indicator of future performance. You can obtain a copy of the Information Memorandum for the Fund by contacting Monochrome at https://monochrome.co.
Marketing & Content Manager
Monochrome Asset Management