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Tranched Value Security™ (patent pending) is a security whose income payments and value are derived from and collateralized (or "backed") by the value of a single asset, group of assets, stream of cash-flows or any other entity or product possibly having a determinable value (and / or price). Value of TVS™ is derived either from a value share of a specific underlying, or from a minimum contract value, which can equal to the value share of a specific underlying at the contract initiation, given that a higher-level (or “prior”) TVSs™ are satisfied.
Assets transformed by a single equation!
TVSi,t=min(St-TVSi-1,t, max(wi, St, Xi))

You can trade cryptocurrencies on as.exchange through a new, innovative type of contract called Tranched Value Security (TVS) which is aimed at transforming the underlying spot market performance in a way that investor has a complete control over the possible results. This product might have or might have no expiry date and is able to significantly magnify the underlying performance, while able to assure that investor’s holdings do not drop in value while the underlying market declines.

The product suits traders who prefer to hold positions for a long and short time and do not want their positions to fluctuate in value due to large swings in basis, or aim at exploiting expected price movements without using leverage, which is subject to additional fees.
Split one asset into thousands of opportunities!
Split a single underlying asset into multiple independent securities – TVSs and earn different returns from each one of them. They are “independent” because they will still be driven by the same fundamental factors as the underlying, but due to their unique features and seniority conditions, each TVS will earn different return. Moreover – TVS issued with your Bitcoin (for example) today, can have totally different returns from TVSs issued by your friend with the same Bitcoin tomorrow.
Underlying
$6,000
Bitcoin
Senior
Price: max($3,000, 50% x $6,000) = $3,000
Junior
Price: min($6,000 - Senior, max($3,000, 50% x $6,000)) = $3,000

How does it work? Quite simple! Imagine that you have one Bitcoin (assume the price is $6,000) and issue 2 TVSs backed by it – Senior TVS, and Junior TVS. Each TVS can have a value claim of 50% of market price of Bitcoin, or 50% x 6,000 = $3,000, and minimum $3,000. So far, they are same, right? Yes, and here innovation would step in, if there’s no additional feature for each TVS (be it Senior or Junior) to claim value share of Bitcoin, a higher level TVS’s claim must be satisfied first (in this case Senior is the most and only senior tranche). So, it means that before Junior TVS can make a claim, Senior’s must be satisfied first.

In such a simple setup, see below what happens: When the price declines, Junior tranche loses first. However, when price starts increasing afterwards, Junior is compensated by magnified return. At the same time Senior one does not decline below its minimum value, unless the value of underlying is completely wiped out, but still earns positive return when Bitcoin goes up.

Underlying
$6,300
Bitcoin
Senior
Price: max ($3,000, 50% x $6,300) = $3,150
Return: $3,150 / $3,000 = 5.00%
Junior
Price: min ($6,300 - $3,150, max ($3,000, 50% x $6,300)) = $3,150
Return: $3,150 / $3,000 = 5.00%
Underlying
$5,700
Bitcoin
Senior
Price: max ($3,000, 50% x $5,700) = $3,000
Return: $3,000 / $3,150 = -4.76%
Junior
Price: min ($5,700 - $3,000, max ($3,000, 50% x $5,700)) = $2,700
Return: $2,700 / $3,150 = -14.29%
Underlying
$6,500
Bitcoin
Senior
Price: max ($3,000, 50% x $6,500) = $3,250
Return: $3,250 / $3,000 = 8.33%
Junior
Price: min ($6,500 - $3,250, max ($3,000, 50% x $6,500)) = $3,250
Return: $3,250 / $2,700 = 20.37%
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Alter Securities™ is a service mark and/or trademark of Alter Securities. Supporting documentation for any claims and statistical information will be provided upon request. Any trading symbols displayed are for illustrative purposes only and are not intended to portray recommendations.

The risk of loss in online trading of stocks, options, futures, forex, foreign equities, fixed income and derivatives can be substantial.

Derivatives involve risk and are not suitable for all investors. For more information read the "Characteristics and Risks of Derivatives". Before trading, clients must read the relevant risk disclosure statements on our Warnings and Disclosures document - Warning and Disclosures. Trading on margin is only for sophisticated investors with high risk tolerance. You may lose more than your initial investment.

The Company has filled a patent application with the World Intellectual Property Organization (WIPO) for the Tranched Value Securities™ (the “TVS™”) instrument. The current status of the patent is patent pending, therefore, any use or reference to the Tranched Value Securities™ might be subject to the local patent laws and regulars and should be done after the official approval from the Alter Securities Limited. Unauthorized use without the Alter Securities Limited consent, reference to or commercialization of Tranched Value Securities™ is subject to legal proceedings and financial penalties.
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