For Treasuries

The Volatility Targeted Portfolio strategy is developed specifically for treasuries.

Targeted Portfolio Volatility

The primary objective for this strategy is to maintain a certain target volatility level through rebalancing assets based on their expected future volatility.
Volatility targeting helps with:
  • Risk management: allowing DAOs to ensure that investments are consistent with risk tolerance
  • Diversification: volatility targeting can encourage a treasury to diversify investments across various assets
  • Improved returns: a well-executed volatility targeting strategy could lead to better risk-adjusted returns
  • Adaptability: volatility targeting allows a treasury to adapt its investment strategy to changing market conditions by controlling the exposure to market risk
  • Reduced transaction costs: a standard rebalancing strategy involves periodic adjustment to the portfolio to maintain a predetermined asset allocation, which can result in frequent trading
  • Enhanced performance measurement: volatility targeting provides a more consistent measure of performance by maintaining a stable level of risk
Please Contact Us to learn more.