As an expert in the area of Finance, we are excited to bring you the latest information on blockchain technology and tokenization that could potentially challenge the traditional ETF model. Janus Henderson recently announced a groundbreaking partnership with Anemoy Limited and Centrifuge to create Anemoy’s Liquid Treasury Fund (LTF), an on-chain technology-based fund that will provide investors with direct access to short-term U.S. Treasury bills.
Nick Cherney, Janus Henderson’s head of innovation, emphasized that this new development is not necessarily a threat to the ETF industry but rather a natural evolution towards more efficient and cost-effective investment services for clients. He stated in a recent interview on CNBC’s “ETF Edge,” “We want to be early in that opportunity,” highlighting the firm’s commitment to staying ahead of the curve.
This marks Janus Henderson’s first tokenized fund, with all the traditional features of an ETF. However, investors will have the unique ability to buy and sell the fund on a blockchain-based platform, providing them with advantages such as instantaneous 24/7 trading, immediate settlement, and complete transparency over fund holdings. Cherney acknowledges that this innovation could potentially disrupt the way business is conducted, but he sees key players in the industry already getting involved.
Despite the exciting possibilities, there are also concerns about the risks associated with constant trading availability. Todd Sohn, ETF and technical strategist at Strategas Securities, expressed his uneasiness about 24/7 trading, emphasizing the need for caution depending on the users of this technology.
At Extreme Investor Network, we are dedicated to providing you with the most up-to-date and valuable insights into the world of finance. Stay tuned for more exclusive content and expert analysis on emerging trends and innovations in the industry. Subscribe now to join our network of elite investors and stay ahead of the curve!