Valinor Digital has introduced a tokenized fund, the Valinor BDC Exposure Fund (ticker VBDC), offering qualified buyers access to a portfolio of publicly traded business development companies. The fund was launched on September 1, and currently, its assets amount to $4,995,148 with 499,157 shares, each having a net value of $10.007174. The minimum investment threshold is set at $100,000, and fund management will incur a fee of 1.25% of the average daily net asset value. According to Valinor CEO Conor Dougherty, this fund was created in response to clear investor demand for products that combine stable income in the real economy with the possibility of daily liquidity.
The fund is issued as a series of Superstate Asset Trust on the FundOS platform, managed by Valinor Digital Capital. The components of the fund, representing closed-end business development companies (BDC), engage in lending to private companies and are traded on U.S. exchanges. The FundOS platform provides daily liquidity, allowing the fund to operate without the typical BDC products that have specific windows for share buybacks. However, the price quotes for BDC shares can significantly differ from their net asset value. For example, Blue Owl Capital Corp. reported a net asset value of $14.26 per share, yet they traded at $11.09, representing a 22% discount to that figure.
VBDC will be the fourth tokenized fund on the Superstate platform, collectively amounting to over $1 billion in assets. As part of its capital raising efforts, Valinor raised $25 million in March, which allowed the launch of funds that remained closed to the general public. This is the first Valinor product available to a wider range of investors, which could significantly change the capital-raising market and offer new options for investing in private credit, considering the opportunities of decentralized finance.