UBS Asset Management has launched its first tokenised investment fund, the UBS USD Money Market Investment Fund Token (uMINT), built on Ethereum’s distributed ledger technology.
This fund will be available through authorised distribution partners, providing token holders access to UBS’s institutional-grade cash management solutions. The fund is underpinned by “high-quality money market instruments managed through a conservative risk framework”, aiming to offer secure, efficient investment access.
This launch aligns with UBS Asset Management’s broader strategy to integrate distributed ledger technology (DLT) in fund issuance and distribution. By leveraging both public and private blockchain networks, the asset manager aims to enhance transparency, security, and efficiency in its investment products. UBS has been an active partner in the Monetary Authority of Singapore’s Project Guardian initiative, piloting a tokenised Variable Capital Company fund in October 2023 to explore digital asset frameworks in regulated environments.
The uMINT launch also builds on UBS’s growing expertise in digital assets and tokenisation services through UBS Tokenize, its in-house tokenisation service, This includes UBS’s issuance of CNH 200 million in fully digital structured notes for a third-party issuer in June 2023 and the completion of the world’s first cross-border repurchase transaction of a natively-issued digital bond on a public blockchain in November 2023.
Thomas Kaegi, co-head of UBS Asset Management, Apac, said, “We have seen growing investor appetite for tokenised financial assets across asset classes. By leveraging our global capabilities and collaborating with peers and regulators, we can provide clients with innovative solutions.”
