Schroders selects Singapore for its digital assets hub

The launch of Schroders’ Global Digital Assets Centre of Excellence in Singapore represents a watershed moment for both the asset management industry and the broader financial services sector in Asia. As one of the world’s largest asset managers, with over $1 trillion in assets under management, Schroders’ decision to establish its digital assets hub in Singapore is a testament to the city-state’s status as a global leader in financial technology and digital asset innovation.

Schroders’ motivations for selecting Singapore as the base for its digital assets hub are deeply rooted in the city’s dynamic fintech ecosystem, progressive regulatory environment, and its growing reputation as a center for digital asset experimentation and adoption. Singapore’s government and the Monetary Authority of Singapore (MAS) have consistently championed innovation in digital finance, fostering a regulatory framework that balances the need for robust oversight with the flexibility required to nurture new technologies.

The establishment of the digital assets hub is a culmination of Schroders’ ongoing efforts to embrace tokenization and composable finance. The firm has been actively involved in initiatives such as Project Guardian, a MAS-led collaboration aimed at exploring the potential of asset tokenization to enhance market liquidity and efficiency. Schroders’ participation in these projects has provided it with valuable insights into the practical applications of distributed ledger technology, particularly in the context of fund tokenization and the development of programmable investment products. By situating its Centre of Excellence in Singapore, Schroders is positioning itself at the forefront of these innovations, with the explicit goal of developing digital solutions that can be scaled globally.

A key motivation behind Schroders’ move is the desire to innovate digital components that can deliver greater client value and operational efficiency. The Centre of Excellence will focus on applying tokenization to Schroders’ core business, enabling the creation of tokenized funds, digital collateral management tools, and modern treasury solutions. These innovations are expected to unlock new opportunities for personalization, automation, and portfolio agility, allowing Schroders to better serve the next generation of digitally native clients. The firm’s vision of composable finance—where investment products such as mutual funds, bonds, and equities can be optimized and rebalanced through programmable smart contracts—signals a fundamental shift in how asset management services are constructed and delivered.

Furthermore, by bringing together a dedicated team of digital asset specialists and engaging with regulators, industry groups, and academic institutions, Schroders is set to drive thought leadership and best practices in the digital asset space. This collaborative approach will not only help shape industry standards but also contribute to the development of a more robust and innovative financial ecosystem in Singapore. The presence of a global asset manager of Schroders’ stature is expected to attract further investment and talent to the city, reinforcing its status as a hub for digital finance in Asia.

Beyond Singapore, the implications for the broader Asian financial services sector are equally significant. Schroders’ commitment to digital asset innovation is likely to spur other asset managers and financial institutions in the region to accelerate their own digital transformation efforts. The adoption of tokenization and distributed ledger technology has the potential to democratize access to investment products, reduce operational costs, and enhance transparency and security across the industry. Through its engagement with policymakers and regulators, Schroders can also contribute to the development of policies that encourage innovation while ensuring compliance and investor protection and help to lay the groundwork for a sustainable and inclusive digital asset ecosystem. This, in turn, will facilitate the integration of digital assets into mainstream financial markets, paving the way for new investment opportunities and more efficient capital allocation across the region.