Wave Financial Group (Wave) is partnering with digital securities firm InvestaX to boost the profile of its digital whiskey fund and expand its pool of investors, particularly in Asian markets.
The Wave Kentucky Whiskey 2020 Digital Fund is now registered with the Monetary Authority of Singapore (MAS), and has received clearance to be marketed to accredited investors in Singapore.
The fund’s investment thesis is based on developing capital growth before the bottling process, when the whiskey is still going through its five-year ageing process, leading to earlier value appreciation.
InvestaX will work with Wave to make accredited investors more aware of the opportunities provided by the fund, which was launched earlier this year and recently secured its first 1,000 barrels of premium Kentucky bourbon whiskey
Wave expects that investors will be able to exit their investment after year two, should they wish to, via tokenization of the fund holdings. These tokens will become tradable on a secondary market.
Benjamin Tsai, president managing partner at Wave said: “As demand for our whiskey fund increases globally, we are delighted to be working with InvestaX to help attract a broader investor base that is interested in diversifying into alternative real assets. The potential returns from the whiskey’s price appreciation during its ageing process is very compelling. We look forward to completing the fund raise for this year’s fund soon.”
Alice Chen, general counsel and co-founder at InvestaX said the company was attracted to Wave's approach to fund management.
She said: “Wave’s team of experienced asset managers and unique tokenized whiskey fund offering is what attracted us to work with them. We are very excited to be supporting them in the distribution of the tokenized whiskey fund and future strategy for similar such real asset products.”