Schroders brings emerging markets bond fund to Solana

Schroders and tokenization firm Centrifuge launched a tokenized version of Schroders’ Emerging Market Bond strategy on Solana on Nov. 4, marking the asset manager’s first deployment on the network, according to Centrifuge’s announcement. The product brings an emerging-markets debt strategy to a blockchain ecosystem where tokenized real-world assets already exceed $4 billion, Centrifuge said.

What exactly is being issued on Solana?

The product is the Schroder International Selection Fund Emerging Market Bond, initially issued on Solana. CoinDesk reports that the fund is structured as a feeder with an onchain share class: it invests in Schroders’ underlying bond fund, and investors hold tokenized shares in the feeder rather than shares directly in the underlying fund.

The underlying strategy invests in debt from governments and companies across emerging economies, according to CoinDesk. That gives the fund exposure to those markets and currencies, while its onchain share class makes the feeder’s shares available as digital tokens.

What does the fund invest in?

Schroders said the strategy draws on its emerging-markets debt business, which it has managed for more than 50 years, with more than 40 investment professionals dedicated to the asset class. Its capabilities span sovereign, corporate and local-currency strategies, according to Centrifuge’s announcement.

Schroders’ Marita McGinley, head of operations for APAC and digital assets, said the firm is tokenizing this specific strategy and issuing it on Solana. She said the work with Centrifuge makes the firm’s expertise available to a new generation of investors.

What is new for Schroders?

The Solana launch is Schroders’ first deployment on the network, Centrifuge said. Schroders oversees more than $1 trillion in assets, according to the announcement.

Centrifuge said the fund initially launches on Solana. Its announcement did not specify a date for deployment on another network.

Sources and documents

• Centrifuge’s announcement — centrifuge.io