Redemptions

The request-based exit flow — from a share-holder's request to operator-settled, paid-out assets.

A redemption is a user's request to exit the fund by returning shares in exchange for one of the approved payout assets (for example USDC), priced against the current NAV.

The redemption lifecycle.

Lifecycle

1

Request. The holder calls requestRedemption(sharesIn, minAssetsOut, redemptionAsset, receiver). The shares are pulled into escrow inside the kpkShares contract, a PENDING request is recorded, and a RedemptionRequest event is emitted. minAssetsOut is slippage protection, applied to the amount after the redemption fee. The redemptionAsset must be approved for redemptions (canRedeem = true), otherwise the call reverts with UnredeemableAsset.

2

Settlement. An operator calls processRequests(approveIds, rejectIds, asset, sharesPrice). For each approved redemption it takes the redemption fee in shares (fee = sharesIn * redemptionFeeRate / 10_000) and transfers it to the fee receiver, computes assetsOut = sharesToAssets(sharesIn - fee, sharesPrice, asset), checks assetsOut ≥ minAssetsOut, burns the net shares from escrow, and transfers the assets from the Portfolio Safe to the receiver. The request becomes PROCESSED and RedemptionApproval is emitted (including the redemptionFee).

3

Or rejection / expiry / cancellation. As with subscriptions, an operator can reject a request (RedemptionDenial), an expired request is auto-rejected (RedemptionRequestExpired), and the holder or receiver can cancel while PENDING once the TTL has elapsed (cancelRedemption(id)). In every case the escrowed shares are returned.

The request event

event RedemptionRequest(
    address indexed investor,
    uint256 requestId,
    address indexed receiver,
    address indexed redemptionAsset,
    uint256 assetsAmount,   // the minAssetsOut at request time
    uint256 sharesAmount,   // shares being redeemed
    uint64  timestamp,
    uint64  cancelableFrom, // timestamp + redemptionRequestTtl
    uint64  expiryAt        // timestamp + 7 days
);

This mechanism lets users exit at transparent, NAV-aligned terms while the fund manages liquidity and the pacing of outflows. See Redemption request for integration code and Fees for how the redemption fee fits alongside management and performance fees.