Marketnode, the Singapore-based joint venture between Temasek and SGX, has launched Fundnode, an industry-wide investment funds utility using distributed ledger technology. Fundnode will begin by streamlining fund processes, facilitating simplified subscription, redemption, and record-keeping workflows for funds offered to retail investors (Authorised Collective Investment Schemes).
Pilot phase participants of Fundnode will include fund distributors, fund managers, transfer agents and service providers, and CPF agent banks. Set to be operational in 2023, Fundnode’s pilot phase will provide market participants with a single platform for transaction management, funds processing, and record-keeping. Fundnode aims to eliminate manual steps, facilitate reconciliation of flows, and centralise processing. Fundnode will subsequently expand coverage to other fund types, enable support for corporate actions, ESG labelling and international platform integrations.