# 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](https://docs.aera.finance/contact-us "mention") to learn more.