> For the complete documentation index, see [llms.txt](https://csigma-asset-tokenization.gitbook.io/atlas/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://csigma-asset-tokenization.gitbook.io/atlas/pool-manager/interactive-blocks.md).

# Portfolio Allocation

### Overview

After creating Sub Pools, the Pool Manager must configure how capital from the **Tokenized Master Pool** will be allocated across these Sub Pools.

This configuration defines:

* **How much capital** each Sub Pool receives
* **Which wallet address** will receive and manage the funds for that Sub Pool

The allocation ensures that when capital is deployed from the Master Pool, it is automatically distributed across Sub Pools according to the defined allocation percentages.

### Allocation Concept

Each Sub Pool added to a Master Pool must have:

1. **Allocation Percentage**
2. **Wallet Address**

The allocation percentage determines how the available capital in the Master Pool will be distributed when the Pool Manager deploys funds.

The wallet is the **recipient wallet that receives funds for that specific Sub Pool** and is responsible for repayments.

### Configuration Process

#### Step 1 — Select Master Pool

The Pool Manager navigates to the **Tokenization dashboard** and selects the **Tokenized Master Pool** that needs to be configured.

<figure><img src="https://3125893853-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2Ffmxk4zctrz092V9PoVdO%2Fuploads%2F1hhdgtMWUkdtfC7u86gM%2Fimage.png?alt=media&amp;token=962881a3-7af8-428b-a2bf-19406629967f" alt=""><figcaption></figcaption></figure>

#### Step 2 — Add Sub Pool

From the pool configuration interface, the Pool Manager selects one or more **Sub Pools** that will be associated with the Master Pool.

<figure><img src="https://3125893853-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2Ffmxk4zctrz092V9PoVdO%2Fuploads%2FsBNAZXedm8KaEf6fuq6w%2Fimage.png?alt=media&amp;token=d31fc333-2657-4760-bad5-bf8aa9e0cff9" alt=""><figcaption></figcaption></figure>

#### Step 3 — Define Allocation

For each Sub Pool, the Pool Manager defines the **allocation percentage**.

The allocation determines how capital will be distributed when funds are deployed.

<figure><img src="https://3125893853-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2Ffmxk4zctrz092V9PoVdO%2Fuploads%2FsuzxObG2P4GVh6Vrm3N7%2Fimage.png?alt=media&amp;token=8ab4772e-a7bf-492e-b03e-675ab83189a3" alt=""><figcaption></figcaption></figure>

All allocations across Sub Pools should typically add up to **100%** to fully define the portfolio allocation.

#### Step 4 — Assign Wallet

For every Sub Pool, the Pool Manager must specify a **wallet address**.

<figure><img src="https://3125893853-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2Ffmxk4zctrz092V9PoVdO%2Fuploads%2FL5CB2B9ovKMXm3F8kmoH%2Fimage.png?alt=media&amp;token=4314fa9d-c32b-4dd8-ac61-c075cf4bdbf8" alt=""><figcaption></figcaption></figure>

This wallet will:

* Receive capital deployed from the Master Pool
* Manage the underlying investments
* Return repayments back to the platform

The wallet is specific to that Sub Pool and represents the operational wallet used for managing that portfolio.

#### Step 5 — Save Configuration

Once allocations and wallets are defined, the Pool Manager saves the configuration.

The Master Pool is now linked to the selected Sub Pools and ready for capital deployment.

<figure><img src="https://3125893853-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2Ffmxk4zctrz092V9PoVdO%2Fuploads%2FcEmdFazp9OMPQMA9g4xW%2Fimage.png?alt=media&amp;token=21e70703-9f4c-47c1-9962-f5b82891d3dc" alt=""><figcaption></figcaption></figure>

### Example Allocation

Assume a Master Pool has two Sub Pools configured:

| Sub Pool   | Allocation | Wallet |
| ---------- | ---------- | ------ |
| Sub Pool A | 60%        | xyz    |
| Sub Pool B | 40%        | abc    |

If lenders deposit **100 USDC** into the Master Pool and the Pool Manager deploys the full amount:

* **60 USDC** will be sent to wallet **xyz** for Sub Pool A
* **40 USDC** will be sent to wallet **abc** for Sub Pool B

The allocation ensures funds are distributed automatically according to the configured portfolio structure.

### Updating Allocation

Pool Managers can update the following parameters for each Sub Pool:

* Allocation percentage

<figure><img src="https://3125893853-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2Ffmxk4zctrz092V9PoVdO%2Fuploads%2F5KOSkwodRh5pbEaCwjqn%2Fimage.png?alt=media&amp;token=ffefd1cf-9b85-4054-8adb-8bfc1e37ed3b" alt=""><figcaption></figcaption></figure>

* wallet address

<figure><img src="https://3125893853-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2Ffmxk4zctrz092V9PoVdO%2Fuploads%2FO2NEhnl7P1x6fCRmnTY5%2Fimage.png?alt=media&amp;token=47aad013-142a-488c-811a-0a11555ba014" alt=""><figcaption></figcaption></figure>

Changes allow Pool Managers to **adjust portfolio allocation or update operational wallets** when necessary.

Any updates should be performed carefully to ensure the portfolio structure remains aligned with the intended investment strategy.

### Important Notes

* Allocation determines **how funds are distributed when capital is deployed**.
* wallets are responsible for **receiving funds and returning repayments**.
* Sub Pools must already exist before they can be added to the Master Pool.
* Pool Managers can modify allocations if portfolio strategies change.

### Role Responsibility

**Pool Manager Responsibilities**

* Define capital allocation across Sub Pools
* Maintain operational wallets for each Sub Pool
* Manage deployment and repayment flows

**cSigma Platform Responsibilities**

* Track allocation structure and fund distribution

This configuration step enables Pool Managers to structure the **underlying investment portfolio for a Tokenized Pool**, ensuring capital is deployed across different strategies in a controlled and transparent manner.