Looking for other cryptocurrencies? Check out the Purpose Ether ETF, another world's first.
Frequently Asked Questions
Purpose Core Ether ETF FAQ
What is Ethereum?
Ethereum is the blockchain platform powering thousands of decentralized applications, like US dollar stablecoins, decentralized finance ("DeFi"), non-fungible tokens ("NFTs"), and decentralized autonomous organizations ("DAOs"). If Bitcoin is digital gold, Ethereum can be thought of as a world computer that can power the future of finance. Learn more about the differences here.
What is Ether?
Ether is a cryptocurrency (or "token") that is required to transact on the Ethereum network. When ether is used to transact, it is referred to as gas.
Why invest in an Ether ETF instead of buying Ether directly?
An Ether ETF is an easy, safe way to add real Ether to your portfolio – without worrying about wallets, private keys, or security risks. You can buy and sell it just like a stock through your brokerage account, and it’s eligible for TFSA and RRSP accounts for tax-efficient investing.
How does an Ether ETF fit into my investment strategy?
Ether is often considered as part of the alternatives sleeve of a portfolio. At Purpose, we view digital assets as a type of real asset, and although Ether is high risk and very volatile, we believe even allocating a small portion of your portfolio to Ether gives you an opportunity for asymmetric gains if Ether’s popularity takes off.
Ether Core ETF is designed to be a “core” part of a well-balanced investment portfolio. With ETHO, you get direct, low-cost exposure – perfect for long-term investors who want exposure to crypto’s long-term growth potential without the hassle of self-custody.
What’s the difference between Purpose Ether Core ETF (ETHO) and Purpose Ether ETF (ETHH)?
Both funds provide spot Ether exposure, but they serve different investor needs:
- ETHO is designed for long-term investors who want low fees and a simple way to hold Ether in their portfolio.
- ETHH includes professional features like FX hedging, dual custodians, and deep liquidity, which many investors value.
Is the Purpose Ether Core ETF available as both an ETF and a mutual fund?
Yes! You can choose the ETF version for easy trading or the mutual fund version depending on your investment preferences. Please talk to an advisor before investing.
How is the Ether in the ETF held?
The custody structure remains unchanged from our other crypto ETFs: secure, transparent, and institutional-grade from day one.
Can I get the low-fee ETHO with CAD hedging?
CAD hedging is only available on ETHH. ETHO is focused on providing the lowest-cost exposure to Ether.
Can I switch from ETHH to Purpose Ether Core ETF without triggering capital gains taxes?
No, switching from one Ether fund to another requires selling the existing position and buying the new one, which could trigger a tax consequence.
Commissions, trailing commissions, management fees and expenses all may be associated with investment fund investments. The prospectus contains important detailed information about the investment fund. Please read the prospectus before investing. There is no assurance that any fund will achieve its investment objective, and its net asset value, yield, and investment return will fluctuate from time to time with market conditions. Investment funds are not guaranteed, their values change frequently, and past performance may not be repeated. The indicated rate of return is the historical annual compounded total return including changes in share/unit value and reinvestment of all distributions and does not take into account sales, redemption, distribution or optional charges or income taxes payable by any securityholder that would have reduced returns.
This information is provided for illustrative and discussion purposes only. This material is not intended as a formal research report and should not be relied upon as a basis for making an investment decision. Historical trends do not imply, forecast or guarantee future results. Information is as of the date indicated and subject to change without notice. Nothing herein constitutes a prediction or projection of future events or future market behavior.
If the securities are purchased or sold on a stock exchange, you may pay more or receive less than the current net asset value. Investment funds are not guaranteed, their values change frequently and past performance may not be repeated.
Crypto assets can be extremely volatile and there is no guarantee that the amount invested will be returned to you.