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Sygnia South Africa recommends that investors exercise caution and avoid going "all in" on Bitcoin ETF.
Sygnia, the company that launched the Sygnia Life Bitcoin Plus fund in June, actively advises customers not to invest all their assets in high-risk crypto products. CEO Magda Wierzycka emphasizes that cryptocurrencies should only constitute a small portion of a diversified portfolio, recommending no more than 5% of discretionary assets or investment annuities in crypto funds.
The Bitcoin Plus Fund uses the iShares Bitcoin Trust ETF as a benchmark. Although Bitcoin has increased by 82% in the past 12 months, it remains highly volatile, with high risks in emerging markets like South Africa, where the GDP per capita is only 15,990 USD.
Sygnia is directly calling investors planning to transfer large sums of money to issue warnings. Wierzycka currently views Bitcoin as a legitimate long-term investment, but high volatility requires a cautious message. The company plans to launch additional crypto ETFs after approval. Globally, Bitcoin ETFs hold over 1.47 million BTC, with capital inflows into the crypto market potentially increasing due to altcoin ETFs.