Ark Invest analysts discuss where the yield for Strategy's bonds are coming from:
"what asset they are holding that yields 10.5% other than they will continue to raise capital above MNAV thus paying back their shareholders in the earlier products and that's where the dividend yield comes from. "
some napkin math reveals:
ARK at 0.75% yearly AUM fee--> rewards managers/analysts for active management
--> upside beyond 0.75% given to shareholders
MSTR at 1.6% of yearly AUM to bond holders--> rewards bond investors for trust in bitcoin
--> bitcoin upside beyond 1.6% given to shareholders
i may be conceptualizing this incorrectly.
https://x.com/i/status/1997681123422343560
