Asset managers like certain things about blockchain: the reduction of the burden of post-trade clearing and settlement and KYC amongst them.
Yet this doesn't mean everybody in the investment management ecosystem is sleeping well at night. The ability of blockchain to disintermediate exchanges and brokers has led them to fear that they too could be redundant. Technological disruption is a fickle creature, and shows no deference to those who have traditionally considered themselves the lords finance.
According to a survey of 125 asset management professionals across fund houses, custodian banks and consultancies, blockchain is expected to be a very disruptive force within the fund industry. Asked which areas of financial technology will have the biggest impact on the fund industry, 42 per cent of those polled listed blockchain, while 43 per cent nominated big-data analytics, where large sets of information are analysed to uncover market trends or other useful information. In contrast, only a fifth listed robo-advisers, which provide automated online investment services.