Prime Factor Capital Is Shutting Down: Lack of Capital Cited as Prime Factor
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Prime Factor Capital has exited the cryptocurrency investments game less than a year after becoming the first regulated British crypto hedge fund to gain approval.
- The alternative assets manager failed to attract many institutional investors during its two-year run (it was founded in 2018), according to a report by Financial News London, and is shutting down completely.
- Founded by BlackRock alumni, the firm became Britain’s first approved crypto hedge fund in July 2019 when it secured an Financial Conduct Authority (FCA) license to manage in excess of 100 million euros.
- That wasn’t enough to lure big fish investors, however, and neither was the firm’s claim to deliver existing clients a 4% average monthly return, CEO Nic Niedermowwe told Financial News.
- FCA records show that Prime Factor Capital’s authorization expired on June 25.
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