How can an experienced investor earn profits on the Safinus platform?
Experienced investors will open cryptoasset portfolios on the Safinus platform, composed of cryptocurrencies and ICO tokens. After this, in just a few clicks, newbie-investors can join these portfolios, receiving a share of the portfolio in proportion to their investments.
The profits of an experienced investor, managing a portfolio, consist of the commissions that he personally establishes for each individual portfolio. There are two such commissions, a fixed one for joining and exiting the portfolio, as well as a percentage of profits from the earnings of newbie-investors joining the portfolio (generally between 40% and 60%).
Newbie-investor profits are fixed either when they exit a portfolio, or once every six months (depending on which event occurs first). Wherein, a portfolio manager, will receive profits in the form of the established commission.
For simplicity’s sake, let’s use an example.
- An experienced investor opened a portfolio on the Safinus platform and invested $10k.
- While creating the portfolio, the experienced investor designated that he will receive 40% of the profits from newbie-investors which join his portfolio.
- The portfolio was joined by 3 newbie-investors, the first one invested $10k, second $5k, the third, $15k.
- The portfolio’s total value is $40k.
- The share of Newbie-investor 1 is 25%, Newbie-investor 2 -12,5%, Newbie-investor 3 –37,5%.
- Let’s assume that by the end of the billing period, the value of the portfolio grew by 50% and is now $60k.
- The portfolio manager (experienced investor) has a share in the portfolio of 25% = $15k, thus, his profits are $5k.
- Newbie-investor 1 has a portfolio share of 25% = $15k, his profits constitute $5k.
- Newbie-investor 2 has a portfolio share 12,5% = $7.5k, his profits constitute $2.5k.
- Newbie-investor 3 has a portfolio share 37,5% = $22.5k, his profits constitute $7.5k.
- The experienced investor (portfolio manager) receives 50% from the profits of newbie-investors that join him: 40% * ($5k + $2.5k + $7.5k) = $6k.
Therefore, thanks to the Safinus platform, an experienced investor increased his managed capital from the newbie-investors that joined his portfolio. As a result, he significantly increased his profits, which amounted to $11k, instead of $5k.