Mirae Asset Global Investments has reportedly launched a "tokenized covered call exchange-traded fund (ETF)" in the Hong Kong market recently.
According to the financial investment industry on the 30th, the Hong Kong subsidiary of Mirae Asset Global Investments on the 27th introduced a tokenized class for the "Global X HSCEI Covered Call Active ETF" in partnership with local Citi bank and the digital asset platform OSL.
A tokenized class records and displays existing fund equity on the Blockchain as digital tokens. One token corresponds one-to-one with one fund unit. Investors can hold the corresponding equity in token form while retaining their rights to the existing fund. This launch is the first case of directly tokenizing and distributing a fund managed by Mirae Asset Global Investments.
The project combines Citi's global fund services infrastructure with OSL's Blockchain-based tokenization technology. Citi supports the operations required for the tokenized class, including custody, fund administration, investor registration, and equity transfer. OSL provides access to the tokenized class for institutional and retail investors through a virtual asset platform licensed by the Securities and Futures Commission (SFC) of Hong Kong.
The Global X HSCEI Covered Call Active ETF, launched in Feb. 2024, is the first covered call ETF in the Hong Kong market. It invests in constituents of the Hang Seng China Enterprises Index (HSCEI) and uses option premiums secured by selling call options as a distribution source.
A Mirae Asset official said, "By introducing the tokenized class, we have expanded ETF innovation, which began with products, into the investment infrastructure space," adding, "We will continue to actively leverage new financial technologies to provide innovative investment experiences to global investors."