🏭High Yield Corporate Bond Vault

Flexible term, variable rate on-chain loans fully secured by high yield corporate bond ETFs.

Summary

The high yield corporate bond vault aims to track the investment results of an index composed of USD-denominated, high yield corporate bonds with remaining maturities of less than five years. Interest accrues and compounds daily and lenders can move in and out at anytime. Withdrawals made before the cut off time are in one business day.

Vault	Details
Vault Name	High Yield Corporate Bond Vault
Token Symbol	XHYC
Eligible Collateral	BlackRock iShares 0-5 Year High Yield Corporate Bond ETF (SHYG)
Stablecoins Accepted	USDC
Networks Supported	Avalanche
Investments	Anytime, vault tokens minted immediately
Withdrawals	Anytime, repaid T+1
Minimum Investment	1000 USDC
Term / Lockup	None
Fees	50 bps per annum, deducted from the gross yield generated on the underlying collateral
Interest Accrual	Pegged to the total return of the underlying ETF via the Collateral Rate.
Indicative Interest Rate	Set based on the yield to maturity of the underlying ETF; this rate is only indicative of the annualised returns, actual interest accrual is based on the Collateral Rate
Exchange Rate Method	Reference price set by Investment Advisor each business day at 9.30am GMT based on the value of the underlying collateral at closing for the prior business day.
Legal Structure	Leverages the same institutional grade legal framework, bankruptcy remote structure, and regulated service providers and counter-parties as our other OpenTrade Treasury Management & Yield Products