Building a portfolio of digital assets can be a complicated task because it’s quite new and different from traditional asset classes. But one thing is certain: approaching digital assets like traditional asset classes is a mistake. So, what’s the secret? We developed a way to intelligently build portfolios of digital assets. And we’ve put it to the test. It works in backtests and it also works in the market. Read the paper to learn more.

In this paper, we will explore how iVaR provides a next-generation, human-centric measure of risk that captures all risk dimensions an investor might care about. Building further on Dr. Markowitz groundbreaking work, we compare iVaR to traditional variance-based portfolios and find that iVaR tends to concentrate less and leads to more natural diversification. Dr. Markowitz was a pioneer in the world of economics and finance. His contributions and influence will remain a guiding force for us.

InvestSuite’s approach to measuring risk arose from the desire to capture what people intuitively perceive as investment risk. In the end, investors all want the same thing – an account that offers the steady growth of a savings account with a very low probability of losing money, but with the returns of the stock market. We cannot guarantee this, but we can optimise for it, which is precisely why we have developed our own measure of risk: iVaR.