Managed Rebalance

The automated vault system is designed to provide users with confidence in each automated rebalance, ensuring that rebalances are done in a sensible manner and that costs in terms of slippage and fees are kept to a minimum. While this is ideal for allowing anyone to rebalance on behalf of the user, it does not allow for more profitable strategies to be implemented.
In such cases, where a user wants to trust someone to make rebalancing decisions based on their predictions of future collateral value, they can use the managed rebalance feature. This gives a whitelisted manager address greater control over the rebalance calls, allowing for more custom and potentially profitable strategies to be employed.

Managed Rebalance Configuration

Similar to the automated rebalance feature, users must configure a vault to be managed by setting the following managed rebalance parameters :
  • The address of the whitelisted manager selected to manage the vault
  • The maximum allowed slippage on rebalancing swaps (see Automated Rebalance)
  • The minimum vault ratio above which the starting vault be at the end of a rebalance operation : this allows user to set a limit on a how close to the vault MCR a manager can rebalance
  • The rebalancing fees (see Automated Rebalance)
  • The rebalancing vault MCR buffer (see Automated Rebalance)