We summarize seven fundamental innovations that would be required for participants to have greater confidence in decentralized finance (DeFi) and to obtain wealth appreciation coupled with better risk management.The conceptual ideas we discuss outline an approach to: 1) Strengthened Security Blueprint; 2) Rebalancing and Trade Execution Suited for Blockchain Nuances 3) Volatility and Variance Adjusted Weight Calculation 4) Accommodating Investor Preferences and Risk Parity Construction; 5) Profit Sharing and Investor Protection; 6) Concentration Risk Indicator and Performance Metrics; 7) Multi-chain expansion and Select Strategic Initiatives including the notion of a Decentralized Autonomous Organization (DAO).Incorporating these concepts into several projects would also facilitate the growth of the overall blockchain eco-system so that this technology can, have wider mainstream adoption and, fulfil its potential in transforming all aspects of human interactions.Necessity is the mother of all creation / invention / innovation, but the often forgotten father is frustration.The innovations we are building are, no doubt, very necessary. But the key motivation for the products we are creating are due to the many frustrations that we have encountered while trying to obtain: 1) unencumbered access to decent investment opportunities in the traditional financial world, and 2) peace of mind while investing in crypto assets.Alpha, Beta and Gamma are our three main funds with different levels of risk and expected returns. Alpha will be more risky than Beta, which will be more risky than Gamma. Investors will be able to combine the three funds depending on their risk appetites using our Graphical User Interface (GUI). Mixing Alpha, Beta and Gamma will give the Risk Parity portfolio. Risk Parity will generate returns for investors that factor the risk of the individual assets, with each asset contributing equally to the overall risk of the portfolio. The end result will be the first investment vehicle that will tailor the preferences of each investor, providing diversified and risk adjusted returns, entirely on a highly secure blockchain environment.There are several independent, and distinct components, that interact to manage our funds, generating excess returns and minimizing risk. The overarching goal in designing the system has been to keep each piece as separated as possible, but with well defined interactions with the other components. The rationale for this design objective is to ensure that improvements to any one piece, at any time, will not affect the smooth operation of the other pieces, but the end result will be a better functioning of the entire system. Risk parity, for all investors, will be the result of the seamless integration of all the various pieces. The order in which the components are created, and enhanced, might change depending on various considerations including but not limited to fund flows, component specific performance, market sentiment, user feedback, time lines for deliverables, etc.The aim of this document is two fold: 1) to capture the crucial pieces, including the corresponding mathematical and algorithmic aspects, and to provide sufficient details to facilitate ease of technical implementation; 2) to compile high level versions of the technical portions, which will be in the form of articles explaining the intuition in a simplified manner, for distribution to the community via medium and other outlets to serve various educational purposes. We describe numerous cutting edge innovations, geared to overcome the challenges in the Decentralized Finance (DeFi) environment, and to accumulate wealth through all cycles in the market. Illustrative examples are provided where helpful, and external references are pointed out as necessary, to aid in greater understanding
