AMP’s crypto play tests legal boundaries for super funds
AMP’s Bitcoin investment is a boost for the crypto industry, but the move sits in regulatory grey areas — even as other super funds consider following suit.
The securities and prudential regulators continue to caution investors against crypto as speculative and volatile, while super funds are legally bound to invest prudently.
However, AMP Super’s decision to invest in Bitcoin — against a backdrop of court acknowledgements that speculative investments may not be seen as imprudent if limited to a small part of a larger asset portfolio — could crack the door open for the $4 trillion superannuation industry eyeing a move towards crypto.
“We don’t believe this is a speculative investment, having conducted extensive research to support our inclusion of Bitcoin in our Dynamic Asset Allocation program,” AMP Super chief investment officer Anna Shelly told Capital Brief.
“The exposure is managed dynamically in a risk-controlled way using a selection of evidence-based signals that have been shown to generate consistent profits for our members across multiple asset classes.”
