Redemption Order Calculation Handbook
This article outlines the calculation methodology for redeeming tokens in an Open-ended scenario. It provides a formula for determining the estimated amount received after redemption, including rounding rules and exchange rate considerations.
Open-ended Token Redemption
Key Parameters
- TR (Tokens to redeem): Number of tokens the user wishes to redeem.
- P (Estimated price per token): Price per token based on the current Net Asset Value (NAV).
- AR (Estimated amount to receive): The amount the user will receive post-redemption.
- EX (Exchange rate): Conversion rate between the base currency and investment currency.
- IC (Investment currency): Currency in which the investment is made.
- BC (Base currency): Currency used as the base for calculation.
Formula for Redemption Calculation
AR = TR P (BC) EX(IC/BC)
Rules & Considerations
- No fees apply during redemption.
- No rounding rules for TR, as the input value is taken as is.
- Rounding rules for AR (IC):
- Always ROUND DOWN.
- If IC is FIAT, round down to 2 decimal places.
This guide provides the required calculations and rounding rules to ensure a smooth redemption process. If further clarification is needed, please reach out to support.
Updated about 4 hours ago