Chapter 6 · §4.3

Capital allocation ladder with a hard floor

Earning the right to be treated as if entrusted with more capital

Every participant starts with the same theoretical allocation floor. Finam then adjusts the notional capital attributed to the strategy every week based on quality of performance.

Capital can move up. Capital can also move down from an elevated level. But it does not fall below the starting floor.

This is one of the most important design choices in the whole product. It gives the competition a prop-like shape. The question becomes: who earned the right to be treated as if they were entrusted with more capital?

The participant should not need to rewrite the strategy to react to this. They continue to submit portfolio-intent signals the same way. The system changes the notional assigned to those signals.

NOTIONAL CAPITAL earned more notional → FLOOR never below starts at floor retraced — never below floor W1 W2 W3 W4 W5 W6 W7 W8 eight weeks of competition → Same portfolio-intent signal each week. The system resizes the cash behind it.
Notional capital climbs and retraces with quality. The floor never breaks.
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