Aberdeen Investments has named Finloop Finance as a distributor of its Global Private Markets strategy.
Aberdeen
Investments has appointed Finloop Finance, a subsidiary of
wealth technology group Finloop, as a distributor of its Global
Private Markets strategy.
Finloop Finance will offer tokenised interests in the strategy to
professional investors in Hong Kong through its global wealth
technology platform, Aberdeen said in a statement yesterday.
The semi-liquid strategy spans private equity, private credit,
infrastructure, real estate and natural resources, managed by
Aberdeen”s investment teams.
Aberdeen, which manages more than £77 billion (about $104
billion) in alternative assets, is using the tokenisation
arrangement to help a push into digital distribution of its fund
range.
In early 2023, UK-regulated digital assets business Archax began
offering tokenised interests in Aberdeen’s money market funds.
Last year, Aberdeen worked with Lloyds Banking Group and Archax
on a project using tokenised units of its money market fund and
tokenised UK gilts as collateral for foreign exchange trades
between the two firms.
The launch illustrates how managers of private market investments
use technologies such as blockchain and associated tokens to
widen access to hitherto difficult-to-enter assets. A
challenge, however, is that widening access via tokenisation
isn’t the same thing as improving liquidity. Late last
month, Vladimir Tikhomirov, who is co-founder of Algebra, a decentralised
finance infrastructure company,
argued in these pages that there is a mismatch between the
focus on tokenisation and the liquidity of assets.