The alternative asset class needs new infrastructure — Templum has it

September 26, 2023
7 min read

The alternative asset class needs new infrastructure — who will build it?

A recent article in TechCrunch authored by David Jegen and Abdul Abdirahman asked this question and we could not agree more that the alternative asset class need new infrastructure but, spoiler alert...

the future is here now. Templum does this today.

Templum has recognized the growing problem of "the lack of digital infrastructure" for alternative assets. We knew the traditional alternative assets ecosystem was fragmented and ill-equipped to handle mass investor adoption and scale. We have witnessed investors and platforms cobbling together “tools and infrastructure,” to create inefficient "trading platforms" that fall well short of investor expectations.  

So, we solved the problem; we architected and launched a purpose-built trading platform and infrastructure solution. Our platform empowers issuer-centric marketplaces and provides market participants with an enterprise-grade trading experience through its API powered technology stack, robust market data offering, and regulated trading and custodial workflows.

For marketplaces, Templum empowers them to access additional end-investors through a single point of access. Moreover, Templum is continuing to expand its ecosystem, becoming a single access point for investment platforms, fintech platforms and wealth allocators to source alternative investments for the end investor across multiple alternative asset categories, in both the primary and secondary markets, through a single SEC-regulated brokerage or advisory account.

  • Custody, Clearing and Settlement
  • Alternative Asset Brokerage Accounts
  • Liquidity Opportunities  
  • Broker-Dealer and ATS Services
  • Asset Distribution
  • Primary Issuance
  • Data Aggregation and Analytics
  • Market Surveillance
  • Retail through Institutional Investors
  • And More

For firms seeking infrastructure focused on scale, efficient access to additional liquidity options and improving the investor experience, they do not need to look further than Templum.

Here is a snippet from TechCrunch:

“Just as these traditional alternatives are becoming a consistent part of the modern investment portfolio, a new era of alternative assets is emerging, fueling an even broader and more fragmented landscape for investing. Dozens of platforms have launched to fractionalize, package and distribute everything from farmland, litigation finance and P2P lending to art, wine and collectibles.

Crypto added fuel to this trend and quickly became a mass-market asset category. Together with more established alternative classes like venture capital and private equity, these new alternatives give retail investors unprecedented access to asset classes that either never existed (like crypto) or were previously limited to high-net-worth investors.

However, there is a problem in alternative assets: the lack of digital infrastructure. Traditional alternative assets like venture capital and private equity at least have an ecosystem built to serve them, but that infrastructure is aging and built for a narrower base of institutional investors, like endowments, pension funds and large family offices."  

Read the full article from TechCrunch

Is your firm looking to create a private personalized marketplace backed by a sophisticated technology stack? See Templum’s Award Winning Solution book a demo today.