Name: FS Insight
Price range: $$$

FSI Core Strategy

Sean Farrell

As one might expect, our team holds a long-term bullish view on crypto, and thus believes that over the next decade, simply dollar-cost averaging at opportune times into BTC and ETH will prove to outperform most liquid asset classes. However, to take our research platform to the next level, we would like to offer more services geared towards our cohort of clients and subscribers interested in actively managing their portfolios.

Sean Farrell is the Head of Crypto Strategy at FS Insight. Prior to joining FS Insight, Sean was a manager in the Transaction Opinions group at Alvarez & Marsal, and previously worked as an associate with Anvil Advisors.

What is it?

The Core Strategy offers subscribers an easy and digestible tool to manage their crypto portfolio by following along with our core strategy.

This strategy seeks to outperform the industry's king, bitcoin, by tweaking one's allocations to stablecoins, bitcoin, and select altcoins that our team has evaluated. During times of increased downside risk, one might notice our relative allocation shifting to stablecoins. Similarly, during periods favorable to crypto, one might expect increased exposure to higher beta names further out on the risk curve.

How do I use it?

We do not make recommendations pertaining to the amount of capital an individual should invest in crypto. However, one simply needs to take the total amount they wish to invest and apply the relative weightings provided. This rebalancing approach should help deliver more profits in a bull market and reduce losses in a bear market. If an investor does not wish to copy our exact allocation, this tool will still provide qualitative direction on how risk-seeking we are at any given time.

Approach

Broadly speaking, we combine our crypto expertise with macro, on-chain, and market data to make allocation decisions. More specifically, this portfolio seeks to reflect our ability to:

Identify emerging investment narratives and potential market catalysts
Understand unique supply and demand mismatches
Employ thorough fundamental on-chain analysis
Apply our deep knowledge of macro and crypto cycles

Eligible Assets

Eligible assets will be those within the top 200 by circulating market cap on CoinMarketCap.com. Given the wide-ranging universe of cryptoassets, we may exclude certain assets from eligibility based on a perceived lack of transparency or inconsistent documentation. All selected assets must also have sufficient liquidity across multiple crypto exchanges.

Frequency

As compared to our S&P 500 sector allocation tool, the Core Strategy will be updated at our Analyst's discretion, but our portfolio tools will be accessible at any time via our research hub.

Disclosures (show)

This research is for the clients of FS Insight only. FSI Subscription entitles the subscriber to 1 user, research cannot be shared or redistributed. For additional information, please contact your sales representative or FS Insight at fsinsight.com.

Conflicts of Interest

This research contains the views, opinions and recommendations of FS Insight. At the time of publication of this report, FS Insight does not know of, or have reason to know of any material conflicts of interest.

General Disclosures

FS Insight is an independent research company and is not a registered investment advisor and is not acting as a broker dealer under any federal or state securities laws.

FS Insight is a member of IRC Securities’ Research Prime Services Platform. IRC Securities is a FINRA registered broker-dealer that is focused on supporting the independent research industry. Certain personnel of FS Insight (i.e. Research Analysts) are registered representatives of IRC Securities, a FINRA member firm registered as a broker-dealer with the Securities and Exchange Commission and certain state securities regulators. As registered representatives and independent contractors of IRC Securities, such personnel may receive commissions paid to or shared with IRC Securities for transactions placed by FS Insight clients directly with IRC Securities or with securities firms that may share commissions with IRC Securities in accordance with applicable SEC and FINRA requirements. IRC Securities does not distribute the research of FS Insight, which is available to select institutional clients that have engaged FS Insight.

As registered representatives of IRC Securities our analysts must follow IRC Securities’ Written Supervisory Procedures. Notable compliance policies include (1) prohibition of insider trading or the facilitation thereof, (2) maintaining client confidentiality, (3) archival of electronic communications, and (4) appropriate use of electronic communications, amongst other compliance related policies.

FS Insight does not have the same conflicts that traditional sell-side research organizations have because FS Insight (1) does not conduct any investment banking activities, and (2) does not manage any investment funds.

This communication is issued by FS Insight and/or affiliates of FS Insight. This is not a personal recommendation, nor an offer to buy or sell nor a solicitation to buy or sell any securities, investment products or other financial instruments or services. This material is distributed for general informational and educational purposes only and is not intended to constitute legal, tax, accounting or investment advice.
The statements in this document shall not be considered as an objective or independent explanation of the matters. Please note that this document (a) has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and (b) is not subject to any prohibition on dealing ahead of the dissemination or publication of investment research.
Intended for recipient only and not for further distribution without the consent of FS Insight.

This research is for the clients of FS Insight only. Additional information is available upon request. Information has been obtained from sources believed to be reliable, but FS Insight does not warrant its completeness or accuracy except with respect to any disclosures relative to FS Insight and the analyst’s involvement (if any) with any of the subject companies of the research. All pricing is as of the market close for the securities discussed, unless otherwise stated. Opinions and estimates constitute our judgment as of the date of this material and are subject to change without notice. Past performance is not indicative of future results. This material is not intended as an offer or solicitation for the purchase or sale of any financial instrument. The opinions and recommendations herein do not take into account individual client circumstances, risk tolerance, objectives, or needs and are not intended as recommendations of particular securities, financial instruments or strategies. The recipient of this report must make its own independent decision regarding any securities or financial instruments mentioned herein. Except in circumstances where FS Insight expressly agrees otherwise in writing, FS Insight is not acting as a municipal advisor and the opinions or views contained herein are not intended to be, and do not constitute, advice, including within the meaning of Section 15B of the Securities Exchange Act of 1934. All research reports are disseminated and available to all clients simultaneously through electronic publication to our internal client website, fsinsight.com. Not all research content is redistributed to our clients or made available to third-party aggregators or the media. Please contact your sales representative if you would like to receive any of our research publications.