Portfolio Rebalance – September 2022

Crypto rebalance

Portfolio Rebalance – September 2022

Portfolio Rebalance – September 2022 2560 1707 cryptonews@arxnovum.com

Arxnovum Investments is pleased to report that we have completed the implementation of the index rebalance of our digital asset funds.  The additions to and deletions from the Arxnovum DeFi Index Fund and the Arxnovum Multi Crypto Index Fund were initially published on our blog last week. 

The purpose of today’s blog is to review the impact to the weights of the holdings in each portfolio.

Arxnovum DeFi Index Fund
(Fund holdings)

The largest increase in weight was to new holding 1inch (1inch) at 4.52% and existing holding Uniswap (UNI) at 2.04%. While the largest decrease was to Polygon (MATIC) by 2.09%.

The strong relative performance of the Services group, which was led by MATIC, has resulted in the Services group reweighting down to 15% from 18%.  This reduction in weight resulted in a 2% increase to the Services group and a 1% increase to the Settlements group.  These changes in group weights brings the portfolio back to its target allocation of 70% Sector, 15% Services and 15% Settlements.

Finally, the Settlements group saw the introduction of a new holding with the addition of Avalanche (AVAX) to complement Ether (ETH).

Arxnovum Multi Crypto Index Fund
(Fund holdings)

The largest increases in weights were to new holdings Shiba Inu (SHIB) at 2.67%, Avalanche (AVAX) at 1.79% and Litecoin (LTC) at 1.78%. 

The multi crypto index had a significant increase in diversification with the addition of 5 new constituents which now comprise 7.26% of the portfolio.  The total number of portfolio constituents now stands at 16.

On the back of strong relative performance, the weighting to Ether (ETH) and Solana (SOL) was reduced back to their market capitalization weights. ETH was reduced by 5.32% while SOL was reduced by 1.66%. There were no deletions from the portfolio.  

The strength of ETH also resulted in the overweight to Core coins, Bitcoin (BTC) and ETH, relative to the Altcoins in the portfolio.  Therefore, the portfolio rebalance saw a 4.5% increase in the weight to the Altcoins portion of the portfolio. 

Finally, it is also important to note that BTC saw an increase in weight by 0.77%.

To see a complete breakdown of the portfolio holdings and weights:

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