Equity Investment Fund CEO Viswanathan Shankar Warns Investors About Cryptocurrencies
Galaxy Partner’s CEO, Viswanathan Shankar is a “traditional investor” and it looks like he is not going to change his mind anytime soon about cryptocurrencies. Citing reasons such as being highly risky investments, he said that there will be no funds allocated by his company to this emerging technology.
Viswanathan Shankar remains opposed to investing in digital currencies. He had originally warned against investing in the space in 2017. Despite how much lower prices are than their all-time highs achieved that year, Shankar remains reluctant to allocate his fund’s capital to Bitcoin and other cryptos.
“We are for biscuits, not Bitcoins,” says Shankar as he alludes to his stance that he and his company favours investments in companies providing goods and services that the everyday person needs in both Africa and Asia instead of risky technological investments.
He noticeably echoes the sentiments of Warren Buffett of Berkshire Hathaway, who warned investors to be “fearful when others are greedy.”
These things are just fads and are doomed to fail, according to him. Other things that are set to have the same destiny are Argentina and Tesla who show “signs of irrational exuberance.” Taking the initials of the three, he warned investors to
“stay away from BAT.”
Shankar's back to basics strategy is derived through his latest investments. The $757 million Gateway Fund 1 has committed to buying a controlling stake in India's Distribution Logistics Infrastructure with Singaporean port operator PSA International.
The investment is awaiting Indian government approval, but the aim is to connect a domestic logistics player with a global port operator to enhance the flow of goods in and out of India.
Low risk-low reward strategies like Shankar is not new but many cautious investors have been using it since time immemorial.
However, they are not the ones who shape the future of the world or even impose their will onto the universe. People who have a vision of a decentralized world free from market monopolies will surely go out of their way to support Bitcoin, even if it means they take a bit of risk.