Temasek subsidiary Fullerton Fund Management plans to list tokenized version of a private equity fund of funds on ADDX.
The Fullerton Optimised Alpha Fund will be tokenized and listed on the Singapore Exchange (SGX)-backed private market exchange ADDX, a press release indicated Wednesday.
The fund is a Fullerton Fund Management private equity fund of funds. Fullerton is a subsidiary of Singapore state-owned investment company Temasek Holdings.
Accredited ADDX investors can buy the fund with a US$10,000 minimum order, instead of the US$250,000 needed using traditional channels, the release said. Investors can receive quarterly gated redemptions. The exchange’s platform has automated processes for issuance, custody and distribution of private market products using blockchain and smart-contract technology.
Fund-of-Funds
Mark Yuen, chief business development officer at Fullerton, said ADDX allows his company to provide wider access and a broader base of investors for its funds. The Fullerton Optimised Alpha Fund will invest in six to eight private equity and private credit funds, with a focus on blue-chip managers with a proven track record.
Assets will be diversified across North America, Europe, and Asia. Planned investment themes will comprise the new economy, Covid-recovery and environment, social and governance (ESG). The fund is a closed-end fund targeting returns of 8 percent to 12 percent a year over its seven-year life.
