Introducing the Bitcoin Alpha Fund

The Invictus Bitcoin Alpha Fund (IBA) aims to outperform Bitcoin by utilizing options and lending strategies to offer both downside protection and yield. IBA is suitable for long-term Bitcoin investors who want enhanced returns and limited downside.

The key features of the strategy are:

  • 1x Long Bitcoin exposure.
  • A target of 10% maximum monthly drawdown. This protection is provided through the purchase of an out-of-the-money put option.
  • Yield strategies from margin lending and sale of out-of-the-money call options will be used to cover the cost of purchasing the put option. The sale of the call option caps monthly gains to a maximum of 30%.
  • No management fee. A 20% performance fee will be charged on outperformance of spot Bitcoin. This aligns the incentives of investors with the Fund’s management team.

Below is the backtested result of a 1 BTC allocation in the Fund strategy on the 1st of April 2018 to August 2020 in relative BTC terms. It is important to note that the fund does not do any active trading or employ any predictive model that could be prone to overfitting.

Invest Beyond Bitcoin

Since its 2009 inception, Bitcoin has emerged as the world’s leading cryptoasset. It is a potential solution to the flaws in the current global financial system. Institutional investors who once scoffed at Bitcoin now see its uncorrelated nature as a portfolio weapon with unmatched upside.

Invictus Capital has identified the opportunity to offer investors a professionally managed fund that aims to outperform Bitcoin over the medium to long term.

Below is the backtested result of a 1 BTC investment on the 1st of April 2018 to August 2020 in absolute USD terms.

How to Invest

The fund has raised over $250,000 from investors since launching on 13 August 2020, granting investors early exposure to the full strategy before tokenization in Q4 of 2020. IBA tokens are allocated to new investors on a daily basis at 10:00AM UTC following receipt of funds, and will be distributed when the fund is tokenized. IBA will then be made available in the Investor Portal, allowing for automated subscriptions and redemptions.

IBA launched on 13 August at $1. The current (11 September) token value is $0.915 at a Bitcoin price of $10,300.

1 BTC invested at inception is now worth 1.011 BTC.

Complete the form to receive further information on investing in the IBA Fund:

Invictus Capital