Curators
Professional entities managing Port Vaults - strategy, execution, and portfolio oversight
Curators are the professional entities responsible for managing Port Vaults end-to-end. They define the investment strategy, select eligible Markets, set risk parameters, and execute day-to-day capital deployment, rebalancing, and liquidity management.
Curators play a role analogous to portfolio managers in traditional asset management — but operating on-chain with transparent, verifiable actions.
Curator Role
A Curator is responsible for both the strategic design and the operational execution of the Vault. Responsibilities include:
Strategy & risk. The Curator defines the Vault's investment mandate — the target asset classes, geographies, risk-return profile, and facility types the Vault will invest in. This mandate is published as part of the Vault's documentation and governs all subsequent allocation decisions. The Curator evaluates Port Markets and determines which are eligible for inclusion in the Vault, considering credit assessment, originator quality, structural protections, historical performance, and alignment with the mandate. Only Markets explicitly approved by the Curator can receive Vault capital. The Curator sets concentration limits, allocation caps, and risk thresholds that bound the Vault's portfolio construction.
Execution. The Curator executes capital deployment to approved Markets within the defined caps, rebalances portfolio weights as market conditions and performance evolve, and maintains sufficient idle capital to meet anticipated redemptions while maximizing deployed capital efficiency. Allocations and redemptions are processed through each Market's deposit queue and withdrawal queue; the Curator does not manage Vault-level queues.
Ongoing oversight. The Curator monitors portfolio performance, reviews Market health, and adjusts strategy as conditions evolve — including adding new Markets, removing underperforming ones, adjusting allocation weights, and modifying concentration limits.
Becoming a Curator
Port vets and approves all Curators before they can manage a Vault. The vetting process evaluates:
Credit Expertise
The Curator must demonstrate deep expertise in private credit, trade finance, or structured finance. This includes relevant professional experience, track record of credit portfolio management, and understanding of the asset classes represented on Port Markets.
Operational Infrastructure
The Curator must have the operational capability to monitor portfolio performance, execute rebalancing decisions, and respond to credit events. This includes access to credit analytics tools, risk management frameworks, and sufficient staffing.
Risk Management Framework
The Curator must present a defined risk management approach — including how they evaluate Markets, set concentration limits, monitor credit quality, and respond to adverse events.
Regulatory & Compliance
The Curator must satisfy applicable regulatory requirements and compliance standards for managing investment capital in their jurisdiction.
Track Record
Where available, historical performance data, case studies, and references from prior credit management activities are evaluated.
Curator Governance
Curators operate under a governance framework that ensures accountability and investor protection:
Changes to a Vault's critical parameters — such as adding new Markets, modifying allocation caps, or adjusting fee structures — are subject to a timelock. The timelock creates a mandatory delay between when a change is proposed and when it takes effect, giving investors time to evaluate the change and withdraw if they disagree.
A Guardian (or Sentinel) role provides emergency oversight:
Emergency deallocation: The Guardian can remove capital from a Market if an urgent risk event occurs (e.g., originator distress, fraud discovery).
Cap reduction: The Guardian can reduce allocation caps immediately without waiting for the timelock.
Action revocation: The Guardian can revoke a pending timelocked action from the Curator before it takes effect.
The Guardian role is a safety mechanism — it can reduce risk but cannot deploy capital or increase exposure.
Curators must maintain transparency through:
Published mandate: The Vault's investment strategy, eligible asset classes, and risk parameters are publicly documented.
Action log: All Curator actions (allocation changes, cap adjustments, Market additions/removals) are recorded on-chain and visible to investors.
Performance reporting: Regular reports on portfolio performance, credit quality, and strategy updates.
Fee Structure
Curators earn fees for managing the Vault, structured to align their incentives with investor outcomes:
Management Fee
An annualized percentage fee charged on the Vault's total assets under management. The management fee accrues continuously and is deducted from the Vault's returns. Management fees typically range from 0.5% to 2.0% annually, depending on the Vault's complexity and the Curator's value proposition.
Fee Transparency
Fee parameters are set at Vault creation and published alongside the Vault's documentation. Fees are calculated and accrued on-chain, providing real-time visibility into fee impact on net returns.
Curator Selection for Investors
When evaluating Vaults, investors should consider the Curator's:
Investment mandate: Does the Vault's strategy align with the investor's risk-return objectives?
Track record: What is the Curator's historical performance in managing credit portfolios?
Market selection: Which Markets has the Curator approved, and how does the resulting portfolio compare to the investor's diversification preferences?
Fee structure: How do fees compare to alternative Vaults and direct Market allocation?
Risk parameters: Are the Curator's concentration limits and risk thresholds appropriate for the investor's risk tolerance?
Transparency: Does the Curator provide sufficient reporting and communication?
Last updated