Finance

Why the new spot ether ETFs may ‘be a hit’ despite recent weakness

Published

9 months ago

August 2, 2024

Business Finance News

It’s a historic week for the cryptocurrency markets with spot ether exchange-traded funds making their debut.

Franklin Templeton is one of the nine spot ether ETF applicants which got approval Tuesday from the Securities and Exchange commission.

The firm is behind the Franklin Ethereum ETF (EZET) — now down about 10% since its inception as of Thursday’s close. The losses were sparked by the sell-off in cryptocurrencies.

“We think they’ll be a hit. Whether they’re going to get the same amount of assets is… probably unlikely,” said David Mann, the firm’s head of ETF product and capital markets, told CNBC’s “ETF Edge” on Tuesday. “But it’s still pretty awesome.”

VanEck, a global investment manager, is behind the VanEck Ethereum ETF (ETHV) which also got approval.

CEO Jan Van Eck expects spot ether ETFs will help investors diversify, but he sees a different energy level for spot ether ETFs.

“I don’t think they’re going to be the same, same kind of hit [as spot bitcoin ETFs]” Van Eck said.

His new fund is also down sharply since Tuesday.

Long-term, Morningstar’s Ben Johnson considers the volumes for spot ether ETFs as normal because they’re roughly proportional to the relative market cap of ether versus bitcoin.

“There’s healthy appetite. There’s healthy volume. There’s healthy demand there,” the research firm’s head of client solutions said. “[The ETFs are] opening up access to new markets, new portions of the investment opportunity set for investors and putting that in a package that is cost effective. It’s convenient, and it’s compatible with the way that more investors are building their portfolios these days.”

Ether dropped sharply on Thursday. As of the market close, it’s down about 11% for the week. However, ether is still up 38% so far this year.

Finance

Deutsche Bank (DBK) Q1 earnings 2025

Published

4 hours ago

April 29, 2025

Business Finance News

A sign for Deutsche Bank AG at a bank branch in the financial district of Frankfurt, Germany, on Thursday, Feb. 2, 2023.

Bloomberg | Bloomberg | Getty Images

Germany’s largest lender Deutsche Bank on Tuesday posted higher-than-expected first-quarter profit as lenders in Europe’s largest economy navigate broader market turbulence instigated by U.S. tariff policies.

Net profit attributable to shareholders reached 1.775 billion euros ($2.019 billion) in the first quarter, up 39% year-on-year and above analyst expectations of around 1.64 billion euros, according to a Reuters poll. The bank reported profit of 106 million euros for the December quarter.

Revenues reached 8.524 billion euros over the period, up 10% year-on-year and above a $7.224-billion-euro result in the fourth quarter.

In a statement accompanying the results, Deutsche Bank CEO Christian Sewing said the print “put us on track for delivery on all our 2025 targets” and marked “our best quarterly profit for fourteen years.”

Other fourth-quarter highlights included:

Profit before tax of 2.837 billion euros, up 39% year-on-year.
CET 1 capital ratio, a measure of bank solvency, was 13.8%, unchanged from the fourth quarter.
Post-tax return on tangible equity (ROTE) rate of 11.9%, against a 10% target for 2025.