UK-headquartered asset manager Aberdeen Investments has appointed Finloop Finance, a subsidiary of Finloop, as a distributor of its Global Private Markets strategy in a move that will see Finloop Finance offering tokenized interests in the strategy, thereby making it available to professional investors in Hong Kong via its global wealth technology platform.
The initiative marks one of the first tokenized interests in global private markets strategies of its kind in Hong Kong.
Through tokenized distribution of the semi-liquid strategy, Finloop Finance’s clients, the wealthtech notes, can gain access to a diversified portfolio of private markets assets managed by Aberdeen’s experienced investment professionals, spanning private equity, private credit, infrastructure, real estate and natural resources.
The wealthtech leverages tokenization technology to enhance the strategy’s accessibility, liquidity and operational efficiency.
In recent years, tokenization enhances accessibility for ordinary investors to invest in assets that were previously out of reach. This includes a broad range of assets, particularly those in private markets or related investment vehicles, which have recently seen a surge of interest from institutional investors like pension funds.
These assets and funds are not traded on public markets and are typically illiquid, often requiring substantial capital commitment. However, they offer the advantages of portfolio diversification and tend to exhibit less volatility compared with their publicly traded counterparts.
“We are seeing growing interest from high-net-worth individuals in private markets, driven by their strong growth and income potential, as well as their ability to help manage market volatility,” says John McCareins, Aberdeen’s CEO. “At the same time, tokenization is increasingly seen as a key enabler of digital innovation in financial services.
“Tokenization of private market solutions has strong potential to support our goal of enabling our clients to become better investors, by enhancing transferability, transparency and operational efficiency in the way investors access our investment strategies.”
Cai Hua, Finloop’s CEO, adds: “This partnership enables us to provide our clients with unparalleled access to professionally managed alternative investment solutions.”
