Half of asset managers have introduced tokenisation in some form as firms view the technology as a tool for expanding investor access rather than only improving efficiency, according to research from financial services provider Apex Group.
The report, based on a survey of senior executives across global asset and fund managers, found that 17% of respondents have deployed tokenisation broadly across their organisation, while 33% reported limited implementation. The remaining 50% are at proof-of-concept stage.
Among firms managing more than $5bn in assets, 55% said tokenisation was “very important” to their business strategy, while 9% more described it as a top priority.
Broadening the investor base is a key motivation for adoption, said 42% of respondents, ahead of operational efficiency and cost reduction. High-net-worth individuals were identified as the most engaged investor group by 63% of firms surveyed.
45% of respondents reported tokenisation of private market assets, with private equity and private credit emerging as the top use cases.
Fund tokenisation and the shift to an always-on industry
Implementation and infrastructure costs are the biggest internal challenge, according to 39% of respondents. Externally, firms pointed to a lack of market standardisation, cybersecurity concerns and regulatory uncertainty as barriers to adoption.
7% of respondents said they were fully confident in the capabilities of their internal technical teams, while most firms said they relied on third-party providers for elements of their tokenisation strategy.
Angie Walker, commercial head of Apex Digital, Apex Group, said: “A couple of years ago, this was still predominantly a conversation about proof-of-concept projects driven through regulatory initiatives like Project Guardian by the Monetary Authority of Singapore, and now tokenisation is a pivotal part of these firms’ business strategies.”
Tom Bennett, global head of fintech, Apex Group, said: “Moving from pilot projects to full deployment requires a multi-dimensional approach; the key is to engage and educate people early and to embed the technology into your governance practices and day-to-day operating models. To succeed, firms must treat tokenisation as a business transformation exercise, not just another tech-integration project.”
