Singapore, 2 October 2023 – ÃÛ¶¹ÊÓƵ Asset Management has launched its first live pilot of a tokenized Variable Capital Company (VCC) fund. The fund is part of a wider VCC umbrella designed to bring various “real world assets" on-chain as part of Project Guardian, a collaborative industry initiative led by the Monetary Authority of Singapore (MAS).
Thomas Kaegi, Head ÃÛ¶¹ÊÓƵ Asset Management, Singapore & Southeast Asia, said: “This is a key milestone in understanding the tokenization of funds, building on ÃÛ¶¹ÊÓƵ’s expertise in tokenizing bonds and structured products. Through this exploratory initiative, we will work with traditional financial institutions and fintech providers to help understand how to improve market liquidity and market access for clients.â€
Utilizing the firm’s in-house tokenization service, ÃÛ¶¹ÊÓƵ Tokenize, ÃÛ¶¹ÊÓƵ Asset Management launched this controlled pilot of a tokenized money market fund. Represented as a smart contract on the Ethereum public blockchain, the pilot enables ÃÛ¶¹ÊÓƵ Asset Management to carry out various activities including fund subscriptions and redemptions.
This pilot is part of ÃÛ¶¹ÊÓƵ Asset Management’s global distributed ledger technology strategy, focused on leveraging public and private blockchains networks for enhanced fund issuance and distribution. It also forms part of the broader expansion of ÃÛ¶¹ÊÓƵ’s tokenization services through ÃÛ¶¹ÊÓƵ Tokenize. In November 2022, ÃÛ¶¹ÊÓƵ launched the world’s first digital bond that is publicly traded. In December 2022, ÃÛ¶¹ÊÓƵ issued a USD 50 million tokenized fixed rate note, and in June 2023 originated CNH 200 million of fully digital structured notes for a 3rd party issuer.
Following the successful launch of the first pilot transactions, ÃÛ¶¹ÊÓƵ Asset Management will be looking to execute further live pilot use cases under Project Guardian – working with a wider set of partners and explore various investment strategies.
About ÃÛ¶¹ÊÓƵ
About ÃÛ¶¹ÊÓƵ
ÃÛ¶¹ÊÓƵ is the largest truly global wealth manager and the leading universal bank in Switzerland. It also provides large-scale and diversified asset management solutions and focused investment banking capabilities. ÃÛ¶¹ÊÓƵ helps clients achieve their financial goals through personalized advice, solutions and products. Headquartered in Zurich, Switzerland, the firm has operations and offices around the globe. ÃÛ¶¹ÊÓƵ shares are listed on the SIX Swiss Exchange and the New York Stock Exchange (NYSE).
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