Australian Fund Makes Historic Move with Bitcoin Investment

Australia's AMP fund has made waves by becoming the first major retirement savings fund in the country to invest in Bitcoin.

Reports indicate that the company allocated $27 million to Bitcoin as part of its strategy to diversify assets, representing 0.05% of its $57 billion portfolio. The investment, which occurred in May when Bitcoin traded at approximately $60,000, has yielded a profit of 66% as Bitcoin now surpasses the $100,000 mark.

The decision was revealed by AMP’s Senior Portfolio Manager, Steve Flegg, who described the move as bold but necessary, given Bitcoin’s growing significance.

Chief Investment Officer Anna Shelly emphasized that while the decision was part of a broader diversification strategy, AMP remains cautious about overexposure to cryptocurrencies, with this investment reaching its upper-risk threshold.

The move has elicited mixed responses. Some financial experts applaud AMP’s forward-thinking approach, while others highlight Bitcoin’s volatility and question its suitability as a monetary asset.

Globally, U.S. firms, including MicroStrategy, have been ramping up their Bitcoin holdings, with MicroStrategy now owning 423,650 BTC. As Bitcoin continues to climb, it trades at $100,877, up 2.62% in the last 24 hours.