Schroders brings emerging markets bond strategy to Solana

What has Schroders brought to Solana? On Nov. 4, Centrifuge announced the launch of tokenized exposure to Schroders’ emerging markets bond strategy, marking the asset manager’s first deployment on the network. The Centrifuge announcement identifies the product as the Schroder International Selection Fund Emerging Market Bond fund.

What do investors hold onchain?

Investors hold tokenized shares in a feeder fund that invests in Schroders’ underlying bond fund, according to CoinDesk’s report. That means the onchain shares represent interests in the feeder, rather than direct ownership of shares in Schroders’ underlying fund. CoinDesk reports that the feeder’s share values track its net asset value.

The underlying strategy invests in debt issued by governments and companies across emerging economies. Centrifuge says Schroders has more than 50 years of experience managing emerging markets debt and more than 40 investment professionals dedicated to the asset class. Its investment capabilities include sovereign, corporate and local-currency strategies.

Why is this Schroders’ Solana debut?

Schroders says this is its first deployment on Solana, while Centrifuge says the fund initially launches on that network. The move puts an actively managed emerging-markets debt strategy on public blockchain infrastructure, extending onchain fund distribution beyond cash and short-duration government securities, as Centrifuge’s chief strategy and growth officer described it.

The structure also sets a limit on what the launch establishes: tokenized shares provide exposure through the feeder fund, and their reported value follows its NAV. The next figure to watch is that NAV, which will show how the feeder’s share value moves with the underlying fund.

References

• Centrifuge announcement — centrifuge.io
• CoinDesk’s report — coindesk.com