Balancer is an automated portfolio manager and trading platform. Conceptually, it somewhat resembles an index fund, in the sense that users can create funds based on their crypto holdings. Unlike an index fund, users don’t pay fees to portfolio managers, they collect fees from other traders using the platform. Balancer offers users the flexibility to create and join private, shared, or smart contract-controlled liquidity pools. Users can earn profits by contributing to pools and by holding its governance token, BAL.