Configurable lending pools governed by 3rd party PMs
Flexible Portfolios are configurable lending pools run by independent managers on TrueFi infrastructure. Portfolio Managers ("PMs") have discretion over loan terms, as well as other items such as the pool's maximum size, maturity date, and lender access/restrictions.
Portfolio on TrueFi
Portfolio managers define who can lend into each portfolio (i.e. whether portfolios are permissioned or permissionless).
Portfolio Managers (PMs) make decisions on underwriting loans, managing relationships with borrowers, and configuring portfolios. Lenders are responsible for conducting diligence on PMs and portfolios before lending.
No, portfolio tokens are non-transferrable by default.
Managers can enable transfers if desired.
Portfolios pay a standard protocol fee of 50 bps (0.50%) per annum to the TrueFi DAO treasury. Fees accrue block-by-block and are paid upon each smart contract interaction (lend/withdraw/disburse loan/repay loan).
The example below illustrates how the protocol fee works:
Additionally, PMs can set an optional Portfolio Fee. Portfolio Fees are paid to the PM, and can be configured such that they are accrued linearly over time, or paid as a flat fee at time of deposit and/or withdrawal.