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Shares & Price Per Share

When you deposit, the vault mints you shares, a standard ERC-20 token in your wallet. Your shares are your proportional claim on the vault: own 1% of the shares, own 1% of the vault's assets.

The formula​

price per share (PPS) = totalAssets / totalSupply

If a vault holds 1,000,000 USDC and has issued 1,000,000 shares, the PPS is 1.00 USDC. Deposit 1,000 USDC and you receive about 1,000 shares.

PPS moves, your share count doesn't​

You don't receive more shares over time, instead the value of each share changes. When the strategy earns yield, totalAssets rises while totalSupply stays the same, so PPS goes up. When the strategy loses value, PPS goes down.

Example: deposit 1,000 USDC on Day 0 at PPS 1.00, you hold 1,000 shares worth 1,000 USDC. If the strategy earns 8% by Day 90, PPS is 1.08, and your same 1,000 shares are now worth 1,080 USDC. Your profit is the difference between the PPS when you exit and the PPS when you entered.

PPS is always net of fees​

Management and performance fees are charged by minting new shares to the fee recipient. This raises totalSupply without raising totalAssets, which gently lowers the PPS for everyone else. You never get a separate fee invoice, fees are already baked into the share price you see.

Deposits and redemptions don't dilute anyone​

A deposit increases totalAssets and totalSupply by the same proportion, so PPS is unchanged. A redemption decreases both by the same proportion. Only the strategy's profit and loss, and fees, move the PPS.

The high-water mark that gates performance fees is covered in Operations.