How Tokenization Can Fuel a $400 Billion Opportunity in Distributing Alternative

• Wealth managers and other distributors identify alternatives offerings that fit the needs of their client base, perform due diligence to assess the quality of the investment offering, structure feeder funds (if needed), and market alternatives to investors and service investors throughout a fund’s lifecycle. [...] These investors provide capital to the fund in accordance with the fund’s terms and structure, and earn returns based on the performance of the fund. [...] • Fund administrators and transfer agents maintain the books and records of the fund (including the investor register, unit register, and asset register); process subscriptions, redemptions, capital calls, distributions, and transfers; and maintain ownership of the know-your-customer (KYC) process. [...] What parts of the existing process are in scope, and by when does the firm expect to demonstrate potential benefits? If successful, does the project extend to additional aspects of the investment process, or does the firm broaden its focus to additional funds? • Understand what is and is not possible under current regulations and identify a suitable jurisdiction for early use cases. [...] Tokenization has the potential to change how alternatives work by making it easier to distribute and invest in funds and adding investor-friendly features to help bridge the gap between alternatives managers and individuals.