Net asset value

And the loop works best when MSTR trades above the value of the Bitcoin backing each share.

That ratio is known as MNAV, short for Market Value to Net Asset Value.

When MNAV is above 1, every new share sold raises enough to buy more Bitcoin than it dilutes, so the amount of BTC behind each share goes up.

When it drops below 1, issuing shares just dilutes existing holders.

Okay.

So basically your question is that what happens to the value of the fund when fresh money comes in and is not invested immediately? Does a premium build up into the fund? Will the NAV come down? So look, the biggest thing to understand is that no premium builds up in a mutual funds NAV.

It is not like a share.

The NAV is the value of the assets divided by the number of units and the number of units is something which keeps increasing and decreasing.

It's not a fixed number like shares outstanding of a company.

When fresh money comes in, both the assets and the number of units increase.

Suppose the fund has 50 lakh from your example and there's 50,000 units.

The NAV is 100.

Again, Fidelity, BlackRock, all of the major mutual fund companies, they advertise constantly.

right on the financial networks online everywhere you look there's ads and advertising for this fund and that fund and this fund there's no marketing for closed-end funds there's no natural aftermarket buyer because it trades on the exchange So you can fix your NAV every night.

You know what it is, but you can't change the market price.

You can't fix that.

He's the biggest player in the space right now.

And he lost a couple of cases with the courts as far as what he can and can't do to force closing.

or, you know, to force the closing in NAV, but he's still a powerhouse and he's still in there.

Is he active in the

A few WisdomTree entities received this relief, which allowed our money market fund WTGXX, the WisdomTree Treasury Money Market Digital Fund, to trade in secondary market.

at NAV.

So you have a broker dealer, in this case could be Wisdom Tree Securities, our wholly owned broker dealer, doesn't necessarily need to be our own broker dealer, trading the product in the secondary market, which means that subject to its own capacity, somebody could show up at 10 a.m. on a Sunday, could sell the money market fund shares to the broker dealer, receive back stable coins, and then go on and make their payments.

So very big milestone for us.

I was very happy with the reception and the type of client feedback we're getting on that type of transaction to really make it a true 24-7 instrument.

true kind of compliment to Stablecoins.

So that's just an example of where we were able to work with the SEC and then do something really innovative that doesn't sound crazy to have a money market fund trading 24-7 at NAV, but it involved us kind of updating, getting exemptions from certain rules, which we think were all very appropriate.

So it's something that we're very proud of and think that it's going to really add a lot of customer value.

Very well.

In FY26, which ended in March 2026, the trust produced an NAV total return of 41.3% and a share price total return of 48.6% compared with 26.8% for the MSCI Emerging Markets Index, all figures in sterling.

Its formal attribution analysis, which is before expenses, shows that stock selection added 9.8 percentage points of relative performance and sector allocation another 4.9 points.

Parancy and buybacks also helped, although other factors offset some of the gains.

The momentum continued over the year to September 2026.

The NAV returned 51.5% against 31% for the index.

And the share price returned 54.2%.

And what about over the longer term?

Destructive is the bad kind, where the fund keeps paying out more than it actually earns, so it's basically handing you back your own money and shrinking over time.

And one way to keep an eye on that is to look at the fund's total return, its payouts, and its NAV trend, all together over a decent stretch of time.

NAV stands for net asset value, which is basically the per share value of everything the fund owns, minus anything it owes.

But remember, NAV alone isn't total return.

Every time the fund pays out a distribution, that cash leaves the fund, so the NAV drops.

Total return adds that cash back in, as if you'd reinvested it.

So if the NAV is holding steady over time, even after all those payouts, that's a good sign the ROC is the non-destructive kind.

And so far, I'm comfortable with what I've seen from GPIQ.

The stock closed at $12.28 yesterday.

It's a discount of a little over 40% against our NAV, which closed yesterday at $22.59.

So very, very wide discount today.

I guess going back to when we asked shareholders for approval of the list, we said we did expect the fund to trade at a discount for a period of time after the listing.

And we also pointed out that comparable funds tend to trade near NAV over the medium to long term and that we expect to get there over time.

And so I would reiterate that.

And to be clear today, we still expect to get there.

That does take a little bit longer.

With the move in bond yields, I would suggest it's probably not as wide as some might believe.

So it's not just discount to NAV that determines an environment where you could either engage in buying your own units back or privatizing.

It's not as ripe a market now as it would have been six months ago to privatize.

I would argue it's not as ripe with the

move in bond yields, yes.

What other motivations, what other factors would contribute to that decision-making aside from

the discount to NAV? So I would say in some cases REITs are, whether it's controlled or it's a management team or a board that's really not interested in selling, whether because they think there's a lot more they can do or they just don't want to exit the business.

So I would say many of the REIT management teams are not really looking to sell, even if it is a sizable discount to NAV.