Why Indices?

Benefits of Investing in an Index Over Individual Tokens

1. Diversification

  • Broad Exposure: Index funds provide exposure to a wide range of tokens across projects.

  • Risk Reduction: By spreading investments across multiple assets, the risk of significant loss is minimized and the chance of picking a winner is maximized.

2. Passive Management

  • Hands-off: Our indices are automatically rebalanced every hour with the most appropriate tokens for the index. Index funds aim to replicate the performance of a specific market index, providing returns that are consistent with the overall market.*

3. Ease of Investment

  • Simplified Decision-Making: Investing in an index fund simplifies the investment process, as it eliminates the need to select individual tokens.

  • Accessibility: Index funds are suitable for investors with different levels of expertise.

*NOTE: Sol Index does not currently rebalance tokens within your wallet, as it is a non-custody solution. The tokens are rebalanced on the website and you purchase a snapshot of that index. We are working towards a system by which individuals can self-direct an index rebalance at any moment in time to the current token inclusion and weight.

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