New York Life Investment Management, the $807 billion asset-management arm of U.S. life insurer New York Life, launched its first tokenized fund with Centrifuge on June 30, bringing institutional tokenization into high-yield corporate bonds rather than money-market funds or U.S. Treasuries.
The product, the NYLIM Anemoy U.S. High Yield Corporate Bond Segregated Portfolio, ticker HYB, holds high-yield corporate bonds. Earlier tokenized institutional funds have focused on money-market instruments and U.S. Treasuries. HYB sits below investment grade, with higher yields and higher default risk.
How HYB is structured
HYB is structured as a BVI segregated portfolio under Reg S and is not available to U.S. investors. Subscriptions and redemptions settle in USDC, while Fission provides near-instant secondary redemptions.
The target buyers are stablecoin issuers, DeFi protocols, and DAO treasury managers. Available sources did not specify which blockchain HYB runs on. Minimum ticket size and target AUM were also undisclosed.
Centrifuge provides the on-chain infrastructure
Centrifuge, which already runs tokenized products for Apollo and Janus Henderson, provides the on-chain infrastructure. NYLIM manages the underlying bond portfolio.
"Tokenization represents a compelling evolution in how investment solutions can be accessed, managed and distributed across both public and private markets," Thomas Sy, NYLIM's head of multi-asset solutions, said in a press release. Centrifuge co-founder Anil Sood called the partnership a case for digital infrastructure he described as "transparent" and "composable," per Decrypt.