F&Guide and Dunamu Announce First Digital Asset Index

Inclusion of 5 Items Including Bitcoin, Ethereum, and Dogecoin

[Asia Economy Reporter Minji Lee] FnGuide, the largest private index provider in Korea, announced on the 16th the first digital asset index developed in collaboration with Dunamu, the operator of the digital asset exchange ‘Upbit,’ called the ‘FnGuide X Dunamu TOP5 Index (hereafter TOP5 Index).’

The TOP5 Index selects the top five digital assets by market capitalization traded on Upbit’s KRW market. The weighting consists of 30% each for Bitcoin and Ethereum, with the remaining three assets equally weighted. It was developed to propose a strategic diversification method that can reduce risk for investors who find it difficult to obtain investment information and face high price volatility in digital assets.

The index is calculated with a base value of 1000.00 as of December 1, 2017, and the total return until July 14, 2021, is 208.76%, with an annualized return of 37.65%. The volatility is 89.53%. The digital assets currently included in this index are Bitcoin, Ethereum, Ripple, Ada, and Dogecoin.

An FnGuide official stated, “While investors in digital assets have been exposed to high volatility, we hope that through the TOP5 Index, calculated using a quant-based methodology, investors will be provided with a way to hedge market risk.” FnGuide and Dunamu plan to continue introducing various concept digital asset indices starting with the newly developed TOP5 Index.

This content was produced with the assistance of AI translation services.