Ladies and gentlemen,
I am currently trying to set up and asset management strategy for my crypto currencies.
I hope to find some experienced people who might want to share their way which works for them for inspiration and learning.
Asset management example:
100% investment seperated into the following risk areas:
1) safety = "solid" hodl @ 50% of total investment (only very trusted and established projects with examples like: BTC, ETH, LTC,...)
2) low-medium risk = "mobile" long term trading, lending @ 30,9% of total investment
3) high risk = "aggressive" ICOs, unpopular altcoins, trading - buying underpriced / bleeding altcoins @ 19,1% of total investment
Each area in itself spreads the investment into different projects, depending on your preference / trust to avoid an "all in" situation in any of the 3 risk areas.
-This system transfers wealth from area 3 & 2 towards area 1, the safe pot, where you accumulate crypto wealth.
-You are not allowed to "refill" losses from area 2 or 3, you are forced to manage each area to gain profits with its own more detailed strategy.
-Profits from areas 2 & 3 are redestributed among the entire investment, while area 1 keeps beeing fat and greedy, sharing nothing for safety.
-Area 1 can cash out 10% after a gain of at least 20-35% for buying stuff (land, house,...), which prevents you from cashing out more than it actually accumulated.
This system works, if you have a working profit strategy, simply YOLO-ing will not be of much success.
This system works like a tree, spreading into finer parts of asset - risk management, where we have 3 main branches which follow a different strategy.
If you like, you can use the same system on each branch again as a pattern which repeats itself, like the branches of a tree do.
This diversification of your asset gives you the advantage of damage prevention from risk while also allowing for some profits to be achieved.
Ideally you even seperate these 3 branches into different wallets and keep them apart. This way you also see quickly, if your strategy in the risky branches 2 & 3 does or doesn't work.
You are forced to make profit with branches 2 & 3 to "keep them alive" and be able to redistribute the newly accumulated wealth.
Since all people are unique, you might want to change the %-amount of each of the 3 areas. The only way which makes sense to me is to increase the percentage of the safer branches and put less investment into area 3 or even area 2, which means to take even less risks, because I consider this strategy example as pretty aggressive and greedy imho.
Let me know if you have any ideas for improvement or if this helped you!
evdokimo
In solid hold i am really appreciate but i am going to 65%-70% hold in the legit investment because there are no risk in this strategy.
"Aggressive" ICOs, means untrustworthy project absolutely big risk in your asset but anyhow if will success you will undoubtly rich.
