Morgan Stanley is contemplating allowing 15,000 of its brokers to recommend investments in spot bitcoin ETFs to clients, according to sources cited by AdvisorHub.
Sources indicate that the institution is laying the groundwork for recommendation-based purchases, including risk tolerance requirements, allocation limits, and trading frequency restrictions.
The timeline for policy changes remains unspecified.
In February, ForkLog reported that the bank had initiated a due diligence process regarding the addition of BTC-ETFs to its brokerage platform. This procedure was launched following the approval of the instrument by the SEC.
In March, it was revealed that clients of Bank of America and Wells Fargo were granted access to the product upon request.
According to SoSoValue, as of April 24, net inflows into these instruments decreased by $120.6 million, totaling $12.29 billion. The AUM stood at $53.6 billion.
In March, CIO of Bitwise, Matt Hougan, predicted that a major investment platform would soon offer access to BTC-ETFs.
Bloomberg analyst Eric Balchunas identified the participation of other TradFi players in this trend as one of two “powerful catalysts” for demand by year-end.