Why Avareum?
DeFi Investment is Challenging.
DeFi is a promising financial service of the future. It also acts as an alternative investment vehicle that gives investors better yield compared to traditional finance, which has limited yield no matter how you diversify your portfolio to any traditional assets.
However, to get a better yield, DeFi comes with the sophisticated new area of risk domains that traditional finance has never experienced before.
Moreover, to invest in DeFi, investors need to have in-depth technical pieces of knowledge and understanding and be ready to adapt to changes since the movement in the DeFi world is 5x to 10x faster than traditional finance ones.
Traditional Finance Yield needs Enhancement.
In traditional finance, after 2000's Dotcom bubble and 2008's subprime, for decades of stimulus by central banks worldwide, the money supply of fiat currencies is at an all-time high. The yield of the debt market now is, on the contrary, all-time low to near-zero percent.
Thus, an asset allocation that works efficiently in the past financial world does not work anymore since diversification to low-risk assets like bonds or fixed-income damages portfolio performance by their low yield.
Conventional Fund Operation is Expensive and Slow.
Moreover, fund management requires fund managers, compliance teams, fund administrators, onboarding teams, and steps of outdated fund management protocols. This causes a lot of unnecessary burden cost of fund management that hurts bottom-line performance returned to investors.
Those steps can be enhanced using smartcontracts for fund management automation and Artificial Intelligence for fund management strategies and monitoring.
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