Capital Markets - Digital Assets

Since the dawn of cryptocurrencies, investors worldwide have sought the best ways to access the digital asset market. Conventional solutions have often proven to be both cumbersome and – more importantly – unsafe. As a result, professional asset managers (such as EAMs) are increasingly seeking solutions for diversifying their clients’ portfolios with digital assets. Actively Managed Certificates (AMCs) offer a highly efficient way to securitize your crypto strategy into a certificate with a single ISIN that qualified investors can buy and hold securely.

Case Study 

Problem: Safely managing your own crypto portfolio is already relatively challenging compared to managing traditional assets. Implementing a strategy for pooled investors is even more complex, particularly when execution, custody, and portfolio rebalancing must be managed across multiple client accounts. 

Solution: An AMC can help professional asset managers significantly increase efficiency, streamline access to the trading offering of a prime crypto broker, and ultimately reduce operational costs. By allocating the AMC to each of their HNW clients, an EAM can transform multiple individual client positions into a centrally managed, fund-like structure with a single ISIN.  

Any portfolio rebalancing requires only a single trade at the AMC level, with the changes automatically reflected for every investor in proportion to their investment. This reduces operational complexity, improves scalability, and creates a more efficient way to manage digital asset exposure across client portfolios. 

Simplified Example: An AMC with your preferred digital assets trading platform 

1. Qualified investors (in this example a HNWI, or the EAM on their behalf) instruct their custody bank to purchase the AMC via the Swiss ISIN. 

2. Upon execution of the transaction, the HNWI receives the certificates in their custody account, while the corresponding cash proceeds are transferred to the AMC account at ISP. 

3. Once the cash has arrived at ISP, the proceeds are forwarded to the EAM’s preferred digital assets trading platform or prime broker, where the AMC asset manager can discretionarily manage the pooled investments in line with the investment strategy. 

Why work with ISP:

  • Experience -> More than 2'500 ISINs serviced.

  • Understanding -> As professional Asset & Wealth Managers, our experience operating our own crypto custody, trading, and staking infrastructure gives us a deep understanding of our clients’ digital assets needs. 

  • Recognized Crypto Custodians -> We are a FINMA-regulated Swiss securities firm and a recognized Crypto Custodian by SIX Swiss Exchange for crypto ETPs, offering institutional-grade crypto custody, trading, and staking. 

  • Skills -> Our highly skilled relationship managers, product specialists and traders are accompanied by experts, within onboarding, legal & compliance and many more fields.

  • Partners -> In addition to our in-house digital assets infrastructure, clients can also access trading through their preferred digital assets trading platform or prime broker, while benefiting from our well-established network of market makers in the digital assets space.  

  • Flexibility -> We always put our clients and their needs first, we are highly flexible and can accommodate any needs.

Other Securitization Fields:

Securitization is a highly diverse field with countless opportunities. Apart from Private Equity, Private Funds, Private Loans, Real Estate, Digital Assets, ISP is next to you to tackle any securitization need you might have, such as Green Bonds, Art, IP, and other Tangible and Intangible Assets. 

Green Bonds 

Institutional investors can securitize their investment strategy or assets in a security. The security can apply for a green bond certification via partner service providers. 

Art, IP, and other Tangible and Intangible Assets 

Art has become increasingly popular as an asset class in the investment landscape. 

Investment opportunities in art, collection items or intellectual property (IP), such as brand royalties, music or film rights are typically illiquid and difficult to access.   

Shariah-Compliant Products 

An innovative and cost-efficient solution for professional clients seeking wealth management strategies aligned with Islamic principles.   

So far, AMCs and their unique, cost-efficient structure have had limited access to the world of Islamic Finance, despite the fact that they have been widely used by professional asset managers since the early 2000s.  

While early-moving banks have only recently started to offer Shariah-compliant AMCs, we,  in collaboration with Amanie Advisors offer a solution without banks’ traditional counterparty risk, resulting in stability and security. 

Reach out to tackle any securitization need you might have!