The IVO bond leverages arbitrage trading strategies and AI-based high-frequency trading to increase value appreciation. INVAO’s trading engine is designed to enable enhanced yields in all market cycles, by capitalizing on multiple strategies such as:
- Statistical Arbitrage: A type of strategy which exploits mispricing of two or more assets to derive profits.
- Inter-Exchange Arbitrage: Mispricing of digital assets across major exchanges create opportunities for arbitrage trading.
- Intra-exchange Triangular Arbitrage: Triangular intra-exchange arbitrage patterns based on the mispricing of currency pairs and spreads on a single exchange enable INVAO’s high-frequency trading algorithm to generate profits within milliseconds.
- Market Making: INVAO’S portfolio managers determine a trading band and place bid and ask orders to benefit from price movement within the trading band, providing a risk-managed method to generate sustained returns.
- Latency Exploitation: Profits from short time-lags when pricing information spreads across the market. INVAO exploits slow reactions of human market participants and inefficient trading algorithms.
- Pull-to-Par arbitrage: Exploits the price fluctuation of a stable coin towards its face value over time.
- ...and others.