Institutional Sentiment Points to Increased Adoption of Digital Assets – EY-Parthenon

EY-Parthenon recently released the findings from its 2024 Institutional Digital Assets Investor survey, conducted in March 2024. The team polled global traditional asset managers, asset owners, hedge funds and family offices/RIAs to understand their sentiment, allocations and future plans as related to digital assets, crypto and tokenization. The report also explores how the approval of the Bitcoin ETP in the US and advancements in other jurisdictions impacted investor preferences.

The results of the research indicate that digital assets continue to secure positions in the portfolios of institutional investors, who have increased allocations to digital assets and digital assets-related products, and plan to continue to do so. There is a growing interest for investing in tokenized assets, particularly alternative assets, to drive portfolio diversification.

Another key takeaway: 19% of institutional investors expressed interest in allocating to digital assets via DRs.

RDC’s widely accepted DR structure is making it easier than ever for qualifying investors to begin investing in digital and alternative assets, using their existing technology infrastructure, workflows and counterparty relationships. Our team works with US-regulated counterparties, intermediaries and vendors for the servicing and maintenance of DR facilities asset protection, minimizing risk. You can see our full list of DR offerings and explore FAQs here.

Some more notable takeaways from the 2024 survey include:  

  •  67% of investors surveyed are already investing in digital assets or funds that hold digital assets
  • 62% of investors would prefer to get exposure to crypto via a fund that holds it vs buying spot crypto directly
  • 50% of institutional investors are interested in investing in tokenized assets – top products of interest include alternatives, public funds, real estate and treasuries
  • 65% of larger asset managers (>$500B in AUM) are interested in tokenizing their own assets, and 89% are thinking about launching a crypto fund

Download the full survey, “Gaining Ground: How institutional investors plan to approach digital assets in 2024”, here.

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