Five UK fund giants eye bitcoin technology in cost-cutting move

Aiming to reduce trading costs

Five of the UK's largest fund managers are believed to be testing if technology used for digital currency bitcoin could save money on trading costs.

According to the Financial Times, Schroders, Henderson Global Investors, Columbia Threadneedle, Aviva Investors and Aberdeen Asset Management are secretly working on the project. Could bitcoin offer the best tech returns? The firms are hoping the technology, known as blockchain, will speed up how quickly ownership of illiquid securities can be moved. An increase in speed would mean firms could reduce costs, require fewer staff and could cut out intermediaries such as banks. They are also believed to be partnering with financial technology companies, start-up technology businesses an...