Definition ∞ Fund structure modernization involves updating the legal, operational, and technological frameworks of investment funds to adapt to contemporary market conditions and technological capabilities. This can include adopting digital asset vehicles, tokenizing fund shares, or streamlining administrative processes through automation. The goal is to enhance efficiency, accessibility, and investor experience.
Context ∞ Fund structure modernization is a key trend in asset management, driven by the potential of blockchain technology to reduce costs and increase transparency. The current situation involves traditional fund managers exploring and implementing digital solutions to remain competitive. A critical future development is the establishment of clear regulatory guidelines for digitally native fund structures and tokenized investment products.