The economics of asset management are shifting. This white paper provides the first in-depth analysis of fund operating costs and how tokenisation can reshape financial dynamics across the industry. It breaks down the true cost structure of an average fund, the projected rise in expenses, and the potential for tokenisation to drive efficiency and profitability.
By deploying distributed ledger technology (DLT), asset managers can reduce operating costs, accelerate fund launches, and enhance distribution strategies. The financial impact is significant, with cost savings projected across core functions, from fund accounting to compliance monitoring.
Key findings include:
- Fund operating costs currently stand at 0.74% of AUM and are set to increase by 32% over the next three years
- Tokenisation can cut fund operating costs by 23%, delivering savings of 0.13% of AUM
- Industry-wide, these efficiencies could generate $135bn in cost reductions
- Time to launch a new fund is expected to drop from 12 weeks to 9 weeks, with a 24% decrease in seed funding requirements
- Lower costs allow for more competitive fee structures, driving AUM growth and market expansion
This report presents a data-driven view of how asset managers can integrate tokenisation into their strategy to unlock long-term value and navigate an evolving financial landscape.
Download the full white paper today.