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Issuance and tokenisation news

Securitize launches AAA-rated CLO fund


30 October 2025 US
Reporter: Matthew Challis

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Image: Kiattisak/stock.adobe.com
Securitize, a platform for tokenising real-world assets (RWAs), has announced the launch of the Securitize Tokenized AAA CLO Fund — dedicated to AAA-rated collateralised loan obligations (CLOs).

The company developed the fund collaboratively with BNY, which will serve as custodian for the fund’s underlying assets, in addition to sub-advisory services through BNY Investments.

Grove, an institutional-grade credit infrastructure protocol that serves as a capital highway linking decentralised finance with traditional finance, has a planned anchor allocation of US$100 million for the fund, subject to governance approval.

Sam Paderewski, co-founder of Grove Labs, says the anchor allocation is due to his belief that “high-quality structured credit belongs on-chain,” adding that the tokenisation of AAA CLOs “improves distribution and settlement and moves our mission forward to connect institutional capital with real credit on-chain”.

Securitize CEO and co-founder, Carlos Domingo, sees the AAA CLO market as “under-represented in tokenisation despite being one of the most consistently performing areas of credit”.

The strategy employed by the fund encompasses the analysis of fundamentals and does not use leverage, with BNY’s global structured credit team aiming to generate strong risk-adjusted returns, with investment of nearly all of the fund’s assets in US dollar-denominated AAA-rated CLO tranches selected from both primary and secondary markets.

Jose Minaya, global head of BNY Investments and Wealth, sees digital assets as “a major area of innovation in the investment industry,” believing tokenisation “is a great way to improve access to high-quality credit in an efficient and transparent instrument”.

“We look forward to supporting delivery of this sophisticated portfolio management capability into the digital assets ecosystem.”
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