IDX Tactical Bitcoin Index Separately Managed Accounts
Using Quantitative Finance to Regulate Exposure to Digital Assets
The IDX Crypto Opportunity Index (COIN) seeks to provide tactical upside participation to bitcoin via the Grayscale Bitcoin Trust (GBTC) while limiting drawdowns and downside volatility. The data shown below is from the IDX Tactical Bitcoin Index as priced by S&P.
The COIN methodology tactically manages exposure to Bitcoin. The goal being attractive risk-adjusted returns relative to a long-only position in Bitcoin over time. Price changes determine when short-term momentum is positive and accelerating. The objective of the COIN strategy is to opportunistically deploy risk capital to GBTC when the risk-return profile of bitcoin is favorable. Likewise, the strategy seeks to preserve capital when the risk/reward profile is unfavorable through an allocation to the IDX Tactical Fixed Income Index (a diversified basket of fixed income ETFs).