State Street: Most Asset Managers are Bullish on Blockchain and Crypto

Sarah Tran   Dec 13, 2019 13:00 1 Min Read - 2019-12-13T181637.630.jpg


Boston-based asset manager State Street published a report on industry trends in 2020, highlighting the growth of cryptocurrencies and blockchain in the financial services industry. 


The survey consisted of 101 North American asset management companies; 71 % of these companies have over $100 billion in assets under management (AUM). The findings show that about 65% of the respondents agreed or strongly agreed that blockchain and distributed ledger technology is likely to improve future financing solutions.  


With even larger asset managers with over $500 billion under management, 92% had a positive outlook on blockchain, improving the industry.   


According to the survey, 94% of the respondents already own digital assets and cryptocurrencies, while 69% of larger asset managers said that they have plans to increase their allocation for cryptocurrencies.  


Nadine Chakar, the global head of State Street’s Global Markets, said: “It’s an exciting time for technology and innovation in the industry, and ultimately investors will benefit from new technologies and a wider range of choices for constructing portfolios.” 


Most of the respondents were bullish on the new type of investment portfolio, and 62% of the respondents thought that tokenization would improve the risk management of traditional financial assets. 55% of the respondents agreed that tokenization would enhance security and improve transparency.  


Image via Diego Lopez Montes



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