Glossary

Core Concepts

Term
Definition

NAV

Net Asset Value — total fund value denominated in USDC

Shares

SPL tokens representing proportional fund ownership (9 decimals)

Share Price

NAV / total_shares — increases as yield accrues

Basis Points (bps)

1 bps = 0.01%. 100 bps = 1%

Fees

Term
Definition

Management Fee

0.5% per year on total shares outstanding

Performance Fee

20% of gains above the high-water mark

High-Water Mark (HWM)

Highest share price at which performance fees were last collected; resets upward only

Rebalancing Fee

0.1% on notional value moved per rebalance (Keystone Alpha Fund only)

Keystone Alpha Fund

Term
Definition

jitoSOL

Jito's liquid staking token; earns ~5.8% APY from staking rewards + MEV

ATH

All-Time High — reference price used to compute target allocation

Market Regime

Classification of current market conditions: Normal, Low Vol Near Peak, High Vol Drawdown, or Bear Market

Circuit Breaker

On-chain mechanism that reduces or suspends rebalancing during extreme stress

Keystone Neutral Fund

Term
Definition

Delta-Neutral

A position with zero net exposure to the underlying asset's price; long spot + short perp

Funding Rate

Periodic payment between perpetual contract long and short holders; positive funding = shorts collect

Health Factor

Collateral-to-liability ratio on Jupiter Perps. Below 1.2 triggers automated deleverage

PendingWithdrawal

On-chain PDA storing USDC owed when a withdrawal is queued

NAV Drawdown Guard

Closes the basis trade position if share price falls a configurable number of bps from its peak

Funding Rate Gate

Blocks deploy_capital when the most recent funding snapshot is below a minimum threshold

Funding Regime Cycle

Automated rotation: standard basis (positive funding) ↔ reverse basis (negative funding)

Reverse Basis

Long SOL-PERP + short jitoSOL spot (borrowed from Kamino); earns negative funding payments

Account Types

Account
Purpose

FundState / BasisFundState / DefenseFundState

On-chain fund configuration and runtime state (PDA seeds in accounts docs). Instruction contexts use the IDL field fundState.

UserPosition

Per-user share balance, deposit, and withdrawal tracking

PendingWithdrawal

Queued USDC owed after a Neutral Fund withdrawal; closed on claim_withdrawal

Fund Authority

PDA that signs all token operations on behalf of the fund; no private key

Abbreviations

PDA

Program Derived Address

CPI

Cross-Program Invocation

ATA

Associated Token Account

TVL

Total Value Locked

APY

Annual Percentage Yield

HWM

High-Water Mark

ATH

All-Time High

bps

Basis Points

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