-640x358.jpg&w=1200&q=75)
Swiss crypto bank Sygnum said its market-neutral BTC Alpha Fund raised more than 750 bitcoin from professional and institutional investors after delivering an annualised return of 8.9% in the fourth quarter of 2025.
Sygnum said the fund, which launched in October 2025 and completed its seed phase in four months, reflects rising institutional demand for yield-focused Bitcoin strategies amid volatile market conditions.
“As Bitcoin becomes a core portfolio allocation for institutional investors, we’re seeing growing demand for strategies that can generate returns beyond simple price appreciation,”
Said Sygnum head of portfolio management Markus Hämmerli.
The fund’s performance came despite Bitcoin prices falling about 25% since launch, according to CoinGecko, highlighting the appeal of market-neutral approaches during downturns.
Sygnum said the strategy generates returns through a mix of directional bitcoin exposure and arbitrage across centralised exchanges, trading spot assets alongside derivatives such as futures, options and perpetual swaps.
“Main strategies driving the performance are leveraged carry trades and cross exchange arbitrage,”
Hämmerli said, adding that returns are accumulated in bitcoin rather than paid out periodically.
Starboard Digital founder Nikolas Skarlatos said the fund’s early results show institutional-grade Bitcoin yield strategies can target 8% to 10% annual returns across different market conditions.
At the time of reporting, Bitcoin price was $88,189.48.