Baillie Gifford Opens Tokenized Bond Fund to Singapore Investors

Baillie Gifford Opens Tokenized Bond Fund to Singapore Investors

Baillie Gifford has opened its Enhanced Yield Fund (BAGEY) to eligible accredited investors in Singapore, expanding access to its tokenized fixed-income strategy.

The US dollar-denominated fund is a UK-regulated open-ended investment company investing in government and corporate bonds. It currently offers a yield of about 7%, with a duration of around two years and an average credit rating of BBB, according to the investment manager.

BAGEY is issued entirely in tokenized form, with blockchain records serving as the legal source of truth for fund ownership. The structure supports subscriptions and redemptions in fiat currency or USDC, a US dollar-pegged stablecoin, with a minimum investment of $100.

The fund is available for daily dealing and provides a daily official net asset value, alongside indicative valuations every 15 minutes while global markets are open. It also supports same-day USDC redemptions for up to 10% of its net asset value.

The fund will initially operate on Ethereum, with deployment on Solana planned for a later date.

“Money-market funds proved that regulated investments can operate onchain,” said Sandy Jones, Baillie Gifford’s director of digital assets. “We think the next step is showing that the same infrastructure can carry actively managed investment strategies.”

Baillie Gifford client director Calvin Liew said Singapore was a natural market for the fund, citing investor interest in tokenization and digital financial markets.
BAGEY is also available to eligible accredited or professional investors in the UK, Switzerland, Hong Kong and the Cayman Islands, subject to local regulations and distribution restrictions. Investors can hold the fund through participating digital custodians.