Welcome to Truvius

Apr 17, 2023

Investing is hard. Really hard.

Portfolio management for the long-term requires a durable approach. Most viable investment strategies fall somewhere on the spectrum between “Discretionary” and “Systematic.” Investment managers that run discretionary strategies tend to approach investing with a more subjective, or “qualitative,” interpretation of market opportunities—investing in assets they personally view as attractive at times they personally think are best—to drive portfolio returns. Systematic managers, assisted by computational machinery, take a “quantitative” approach to investment management—codifying economic fundamentals and signals (often called “factors”) into a set of computerized rules to construct automated and more broadly diversified portfolios designed for attractive long-term investment outcomes.

At Truvius, we take the systematic approach to portfolio management. Rather than trying to hand-pick individual winners, we have a simple mission: build diversified portfolios of digital assets that target exposures to various investment themes. By harnessing the power of a systematic theme-driven process, investors can unlock a long-term, more durable approach to harvesting returns from the crypto asset class.

Why crypto? Why now?

The Problem

Until recently, crypto (or “digital assets”) investing has been an industry largely characterized by software developers and crypto enthusiasts backing their way into ‘financial products’ because it was lucrative and attracted short-term speculative attention. A germinating ecosystem of lackluster products not properly designed to scale to larger, traditional finance audiences grew. These were not durable, risk-managed, or even believable products to anyone with basic investment experience. The results were disastrous, many investors—particularly retail ones—were badly hurt, and regulatory responses have been mixed. These events have drawn focus away from the fundamental value of blockchain innovation and have hamstrung efforts by trained financial engineers to migrate legitimate investment solutions over from the traditional asset class world.

To institutional onlookers (and their clients) who may have had a budding interest in crypto, the debacles of 2021-2022 took an already hard problem (investing in general) and made it substantially harder (investing in crypto), revealing critical infrastructural flaws in services ranging from trading to custody to asset management, and that the boundary lines between the technology underlying these systems were not drawn according to fundamental fiduciary concepts:

Many reputable institutions remain wary of crypto investment products, and rightfully so. Crypto investing won’t achieve mass institutional adoption without broad-based acceptance from professional fiduciaries. That acceptance requires an undoing of the fiduciary shortcomings associated with crypto’s brief and volatile history, and won’t occur without the development of capable investment processes and ideas, trading tools, and portfolio management platforms that feel familiar and meet rigorous financial industry standards.

But the night is darkest just before the dawn: as the digital asset class transitions from early adoption to mass adoption, Truvius is ushering in institutional grade investment tooling from the quant portfolio management world of traditional asset classes. By offering granular controls and accessibility to digital assets, our goal is to help investors unlock broader, better-controlled long-term value from digital assets.

What is Truvius?

Our Solution

Truvius brings two key services to digital asset investing:

  • Innovative Portfolios with Quant at the Core

    • We’re obsessed with portfolio construction. We know what it’s like to wrestle with difficult portfolio management decisions within the digital asset landscape, especially without the essential tools to better control investment outcomes. At Truvius, we’re innovating accessible direct-index style portfolios for crypto designed for scale, longevity, and granularity. You can access these portfolios from our marketplace or customize one to your investment objectives using our platform.

  • Streamlined Experience

    • You shouldn’t have to worry about the painstaking process of setting up your own portfolio management process. Figuring out how to invest in digital assets on your own (let alone what to invest in) is a cumbersome and costly undertaking you shouldn’t have to reinvent. At Truvius, we provide simple, automated end-to-end access into our portfolios, complete with additional features like qualified custody accounts and performance reporting—all in one centralized hub.

Let’s take a deeper look at each:

Innovative Portfolios

Our product suite encompasses three types of portfolios:

  • Market Portfolios: Rules-based, automated, passive exposure to various sectors across the universe of crypto assets

  • Smart Beta Portfolios: combines the simplicity of passive investing with some of the advantages of active investing. Instead of "holding the market" with a Market portfolio, Smart Beta portfolios are informed by proprietary economic indicators, called "factors."

  • Alpha Portfolios: Truvius Alpha portfolios are “beat-the-benchmark”-style actively managed portfolios that seek positive, risk-adjusted, uncorrelated excess returns vs. the corresponding market-cap portfolio. Alpha portfolios harness the power of our factor-based model (including certain factors not in Smart Beta), representing our best thinking through systematic active management.

Truvius portfolios are direct-indexing style products that rebalance automatically. A key benefit of direct-indexing is the flexibility to more freely customize your allocations to various assets. Truvius enables this level of easy portfolio customization right inside our platform.

Streamlined Experience

As we explore in the ‘Why crypto? Why now?’ section, simply figuring out how to get started with crypto can feel overwhelming, let alone building a compliant, systematic investment process for yourself or your clients.

When you onboard with Truvius we eliminate the time and cost of ‘getting set up,’ from custody to trading to performance reporting:

For exceptionally strategic partners, Truvius also makes available our automated tooling for easily creating highly customizable systematic portfolios and indices, just like the ones you see in our marketplace. You can use this tooling to create investable products for your clients such as SMAs or model portfolios, or simply consume the data for benchmarks or informing your portfolio decisions.

Contact info@truvius.io to talk with our team.

Conclusion

We believe systematic factor-based investment strategies inherently fit into the digital asset landscape, and that these strategies should be compliant and scalable to both individual and institutional allocations.

At Truvius we build portfolios that incorporate investment themes, academic-based investment theory, and risk management concepts, all with a strong commitment to regulatory compliance and alignment with a wide array of investment objectives. Through these portfolios we seek to avail the fundamental value of blockchain technology to individual and retail investors.

Digital asset investment represents a long-term opportunity for wealth creation and a new means of portfolio diversification. We think investors should have access to a long-run process for capturing returns associated with digital assets in order to intelligently introduce crypto into their overall asset mix.