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Introducing

Investabit Cryptocurrency Index - ICI 15

Takes careful consideration of each asset to reflect true value in the cryptocurrency economy.

Investabit Index Index

The Investabit Index(es)

Through years of data aggregation and predictive analytics, Investabit has been broadly grouping assets and tracking the overall performance of these groups.

Data stream illustration

Asset Balancing

Each asset is weighted according to its total market capitalization across all exchanges, which accounts not only for changes in price, but also supply.

Data stream illustration

Performance

Below are a few factors commonly used to measure a portfolio's ability to gain alpha within the marketplace.

Sharpe Ratio

A measure that indicates the average return minus the risk-free return divided by the standard deviation of return on an investment.

Annualized Volatility

Annualized volatility describes the variation in an instrument's value over the course of a year. This measure indicates the level of risk associated with an investment.

Monthly Volatility

Monthly volatility describes the variation in an instrument's value over the course of a month. This measure indicates the level of risk associated with an investment.

Construction Methodology

Assignment for the category is determined by it’s primary use-case and then the specific function of the asset. For example if a token is used primarily by banks we will associate it with banking or currency.

Construction methodologies illustration

5 Style Factors

Actual Momentum

Actual Momentum

Momentum is the rate of acceleration for an instrument's price or volume. In technical analysis, momentum is considered an oscillator and refers to the force or speed of movement; it is usually defined as a rate. In the world of investments, momentum refers to the rate of change of price movements for a particular instrument—that is, the speed at which the price is changing.

Size

Size

Refers to the magnitude of an offering, an order, or a trade. Size is relative from market to market and security to security.

Value

Value

A subjective estimate of what a willing buyer would pay a willing seller for a given asset, assuming both have a reasonable knowledge of the asset's worth.

Short Term Reversal

Short Term Reversal

The short-term reversal anomaly is a phenomenon whereby instruments with relatively low returns over the past month or week earn positive abnormal returns in the following month or week, and instruments with high returns earn negative abnormal returns.

Volatility

Volatility

Volatility is a statistical measure of the dispersion of returns for a given security or market index. Volatility can either be measured by using the standard deviation or variance between returns from that same security or market index. Commonly, the higher the volatility, the riskier the security.

Data Sources

Investabit collects data across 100 sources and aggregates it internally.

Data Source Illustration

Review and Oversight

Investabit’s team meets once per quarter with the following intentions.

Data Integrity

Reviewing the accuracy and availability of data sources.

Calculations

Reviewing calculations of the index level for anomalies.

Construction Methodology

Determining whether any changes to the index construction and methodology are required.

Performance

Discussing performance and applying new methodologies (Machine Learning, Reinforcement Learning) to the index.