AltFi Capital Management Ltd has launched AltFi Capital Opportunities Ltd, a Bermuda Professional Class B fund.

Founded and based in Bermuda, AltFi is an alternative investment manager with a specialisation in digital assets.

AltFi offers investors an actively managed diversified portfolio of digital assets, including both liquid and venture capital-style investments via a single open-ended, non-leveraged fund vehicle.

A company statement said: “It allows accredited investors to add digital asset exposure to their portfolio without having to worry about the myriad of concerns that normally face investors, including: private key management, access to liquidity and deciding on what digital assets to hold and for how long.”

It continued: “AltFi’s co-founders are Tim Calveley, who has spent 25 years in Bermuda in leadership roles in the financial services industry, mostly in the hedge fund industry, and Cooper Jefferson, a Canadian crypto-native business and technology leader.

“The opportunity to work with Tim was a natural extension of our previous collaboration in the crypto and venture investing space,” said Mr Jefferson.

“Alongside our advisers, the AltFi team melds a wealth of experience from traditional financial services and the fast-growing blockchain sector.”

He said that after a comparative analysis, Bermuda was chosen as the best jurisdiction to set up the business.

He said: “Its reputation as a blue-chip financial centre with a progressive legislative framework encapsulated in the Digital Asset Business Act 2018, its fintech community and professional service providers all stood out versus the alternatives.

“Personally, I’m excited to relocate to the island full time to enjoy both the weather and digital-asset friendly environment.”

Commenting on the navigation of the crypto bear market, Mr Calveley added: “AltFi uses a macro, a fundamental and a technical approach to inform our investment strategy. Macro factors drive our big-picture outlook, fundamental analysis determines our asset selection, and technical signals inform the timing of our entries and exits.

“Despite launching the fund in the middle of a deep bear market, AltFi’s macro outlook and technical signals have resulted in the fund getting off to an excellent start and posting strong positive gains.

“With our actively managed strategy and disciplined risk management approach, we look to profit no matter the underlying market conditions.”

AltFi is planning on expanding in Bermuda and said it is currently in discussions with the BMA regarding additional digital asset business opportunities, which would result in significant growth in its Bermuda staff and local operations.

AltFi is advised by Walkers (Bermuda) Limited for its legal and regulatory matters, and uses Krypton Fund Services as its fund administrator.

David Burt, the Premier said: “The successful launch of AltFi’s crypto hedge fund in Bermuda underscores this Government’s commitment to the fintech industry and shows that our investment into emerging industries is benefiting our economy.

“AltFi is licensed by the Bermuda Monetary Authority as a Professional Class B fund, under the Investment Fund Act. It is encouraging to hear that Altfi, in the process of applying for a Digital Asset Business Act licence, for a second business they plan to launch. It is anticipated that approximately six jobs will be created, with the opportunity for future growth in job creation as both companies scale”.

“We hope that this will encourage other innovators to launch new businesses in Bermuda, which will create jobs and generate incremental revenue for the consolidated fund. It’s great to see more companies being licensed, operating in Bermuda, and creating jobs”.