Travers Smith's Alternative Insights: Are pooled investment funds on their way out?

The UK regulator overseeing pooled investment vehicles apparently believes that they will, one day, be consigned to history.  In a recent consultation paper on fund tokenisation, the FCA suggests that the digital revolution could eventually change the role of asset managers.  It says that direct holdings of tokenised assets will facilitate the emergence of cheaper, customer-specific segregated managed portfolios.  (Click here for our detailed note on the FCA's consultation document and its impact on asset managers.)

That may be the long view but is probably for the next generation to worry about.  In the meantime, though, tokenising funds may still offer a range of benefits – even if it doesn't yet mean we can entirely do without pooled vehicles.