Marshall Wace, a $50 billion hedge fund, weighs crypto-industry investments

Britain’s hedge fund Marshall Wace is considering investments in the digital assets industry. The move comes in response to growing demand from major asset managers, according to the Financial Times, citing informed sources.

According to one of them, the assets totaling more than $50 billion are aimed at investments in blockchain solutions, stablecoins and crypto payment systems. Marshall Wace is reportedly setting up a unit whose portfolio would include late-stage private companies.

FT sources say the hedge fund has recently been seeking specialists in the digital assets space. The firm intends to rapidly develop this new line of business, exploring a range of financial products. In particular, Marshall Wace could potentially add cryptocurrency trading.

According to the publication focused on the digital-assets sector, the unit will be led by Amit Rajpal, the CEO of Marshall Wace Asia. The unit is also in talks with potential investors — the size of the new fund is unknown.

According to the FT, previously Marshall Wace participated in the May round of financing for the cryptocurrency company Circle worth $440 million.

Morgan Creek Digital co-founder Anthony Pompliano drew the FT’s attention to the publication. He said that Marshall Wace had made an “official decision” to invest in the cryptocurrency industry.

“Ultimately, everyone should have access to this industry,” he added.

According to a study by fund administrator Intertrust, by 2026 the share of cryptocurrencies in hedge funds’ net assets will reach 7.2%, equivalent to $312 billion at current values.

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