More than four in five fund managers (83%) agree that they can leverage blockchain technology to grow their markets as financial services become more transparent, new global research from digital assets marketplace Token City shows.

More than four in five fund managers (83%) agree that they can leverage blockchain technology to grow their markets as financial services become more transparent, new global research from digital assets marketplace Token City shows.

The study, conducted among fund managers in France, Spain, Germany, Switzerland, and the UK who are responsible for around $546.5 billion in assets under management, found widespread support for the use of tokenisation from asset managers. 

Madrid-based Token City’s research found that increased liquidity and expanding the target audience were rated as the most important benefits of tokenisation for fund managers, followed by upgraded infrastructure, reduced settlement times and lower costs for reconciliation in securities trading.

Other benefits identified during the research include advantages in asset liability risk management and collateral management. Nearly half (45%) of fund managers strongly agree that tokenisation of assets will improve the ability to manage asset liability risk in the future and a further 38% slightly agreed. Likewise, 82% strongly or slightly agreed that, as tokenisation expands the range of assets for collateral, it significantly expands the options available in the market and should make collateral management more efficient and transparent.