Integrated digital investment and trading platform SDAX launches

The trend of Environmental, Social, and Governance (ESG) investments continue to be an important position in global funds, as we look towards channeling financial resources for a sustainable future. In 2020, global investments in ESG funds topped $35 trillion. Assets tied to these areas are further projected to surge to more than $50 trillion by 2025, or about a third of global assets under management, according to Bloomberg Intelligence.

 

However, greenwashing probes in recent months such as the DWS Group case have increased scrutiny towards ESG disclosures allegedly being exaggerated or have their real impact questioned.

Tan Bee Lay

Chief Sustainability Officer at SDAX

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Highlights

  • The MAS-licensed platform provides both Capital Market Services and a Digital Asset
    Exchange
  • Makes institution-grade investments accessible to accredited and retail investors
  • In-house team developing pioneering risk-based framework for Environmental, Social
    and Governance (ESG) investments

Singapore, 26 July 2022 – SDAX, an integrated digital investment and trading platform regulated
by the Monetary Authority of Singapore (MAS), has launched. SDAX offers access to curated institutional-grade investments focusing on real estate and ESG to institutional, accredited and retail investors. This follows a S$24 million Series B funding round in late 2021, with investors PSA International, Straits Trading Company, and New Horizon Global.

 

The digital investment platform provides accredited and retail investors, family offices and institutions with digital investments that are backed by real assets. This is enabled through primary and secondary market mechanisms regulated by the MAS, with both Capital Markets Services (CMS) and Recognized Market Operator (RMO) licences.

 

“The market demand for investments is shifting. Investors are discovering new opportunities in digital assets for higher, long-term gains in bull and bear markets. Focusing on real estate, corporate finance and ESG, we offer a curated suite of high-quality investments sought after by institutions, accredited and retail investors. We are also incorporating a risk-based ESG framework for projects that support the initiative of Financing the Transition to a Net-Zero Future (FTT). At SDAX, we are leading the way in the transformation of investment access with digital securities,” said Raymond Poh, Chief Executive Officer, SDAX.

 

Real estate is the world’s biggest asset class, worth over US$270 trillion. Investments in Singapore’s real estate market totaled S$25.8 billion in 2021 which was a 5.3% y-o-y increase from 2020.1

 

 

SDAX partners with companies to raise funds in a fast, secure, cost-effective way through blockchain technology. A focus on enterprises that are delivering innovative solutions to meet market needs is emphasized, and SDAX helps them unlock their business and asset value.

 

SDAX digital securities are high-quality private investment deals that are put through a rigorous due diligence process based on a sound financial control framework. After tokenization, they are then fractionalized on the SDAX exchange, opening a more diversified portfolio with accessible minimum investment amounts.

 

“SDAX is democratizing investment opportunities for a larger pool of investors through purposeful
financial innovation, generating wealth based on real assets. We are evolving the investment industry by partnering with corporations and institutions to raise funds more efficiently, while strengthening the governance of such investment opportunities for the public market,” said Khoo Boon Hui, Chairman, SDAX Exchange.

 

The platform leverages strategic partnerships with shareholders PSA International, ESR (APAC’s
largest real asset manager2, Straits Trading Company, RHT Group and other institutional

partners to access a large private pool of investment opportunities and provide access to asset-backed securities that are institution-grade. An example is where investors can now co-invest in a data center discretionary fund, together with the world’s largest sovereign wealth and pension funds, on SDAX.

 

“We look forward to our partnership with SDAX in creating opportunities that align with our decarbonization goal, leveraging on leading financial products and investment solutions that will drive sustainability related investment opportunities positively,” said Tan Chong Meng, Group Chief Executive Officer, PSA International.

 

In Asia-Pacific, about 79% of investors have increased ESG investments “significantly” or
“moderately” in response to Covid-19, according to the MSCI 2021 Global Institutional Investor survey. Likewise, increased awareness of climate change issues and changing investor preferences have contributed to the rise in ESG investments in Singapore.

 

Paving the way towards a more authentic and conscientious framework in which to drive ESG investing, SDAX’s in-house ESG team is pioneering a risk-based listing process on evaluating investment opportunities towards a net-zero future.

 

For more information on SDAX’s digital investment services and solutions, visit: SDAX.co

About SDAX

SDAX is a MAS-regulated investment and trading platform serving institutional, accredited and retail investors. We provide access to uniquely curated assets that until now have not been available to most investors, through asset tokenization. Our strength lies in real estate, ESG and impactful investment opportunities. SDAX partners with corporate and institutions to raise capital more efficiently to support their growth and expansion.

 

In everything that we do, we commit our energy, technology and expertise to unlock innovative investment opportunities that drive sustainable, impactful growth.

 

SDAX represents the merged entities of digital asset exchange Digiassets Exchange Singapore (SDAX) and fintech company Minterest Holdings.

 

The merger and rebranding bring synergy for SDAX by combining capabilities to offer both a Digital Asset Exchange, regulated under its Recognized Market Operator (RMO) licence, and Capital Markets Services, regulated under its Capital Markets Services (CMS) licence.

 

Visit our website here.

1: https://www.edgeprop.sg/property-news/singapore-real-estate-investment-2021-totals-258-billion-53-y-o-y

 

2: https://au.esr.com/esr-completes-acquisition-of-ara-asset-management/