When to use an Allocation Strategy
You need an Allocation Strategy when you want to:- Compose multiple yield sources into a single product — combine lending protocols, staking, RWA, and Advanced Strategies under one allocation
- Automate capital routing — configurable deposit and redeem priority queues distribute capital across sources without manual intervention
- Build fund-of-funds — include Advanced Strategies as sub-vehicles alongside standard protocol adapters, creating a portfolio that mixes custom execution with established DeFi yield
- Distribute through Conduits — a single Allocation Strategy can back multiple Conduits, each with their own fees, compliance rules, and branded shares
How it works
When you deploy an Allocation Strategy, you get five interconnected contracts:
Assets flow through distinct sectors — idle capital in the deposit sector, pending and active allocations per yield source, and assets awaiting user claims in the redeem sector. Every movement follows double-entry bookkeeping, giving you real-time NAV without off-chain reconciliation.
Allocation Strategy vs Advanced Strategy
The two are composable: an Advanced Strategy can serve as a sub-vehicle inside an Allocation Strategy, and both can be distributed to users via Conduits.
Guides
Create an Allocation Strategy
Deploy the Allocation Strategy ecosystem — EAC, Fee Manager, and MultiVehicle — in a single transaction.
Guardrails
Understand the trust boundary between platforms and asset managers.
Operate an Allocation Strategy
Manage allocations, rebalance across yield sources, and handle day-to-day operations.
Risk management
Evaluate yield sources, manage concentration risk, and handle emergencies.