james22

In a 2022 paper published by BlackRock titled "Asset Allocation with Crypto," the investment management corporation suggests that the optimal Bitcoin allocation for a well-diversified portfolio is 84.9%. This significant allocation highlights the growing recognition of cryptocurrencies as an essential asset class for investors seeking to maximize returns and diversify their portfolios in the ever-evolving financial landscape. https://www.binance.com/en/feed/post/2023-07-25-according-to-a-2022-blackrock-paper-optimal-bitcoin-allocation-is-84-9-855701

Sorry, should have said: Not Dave, but I'll try to answer. demand > supply = numbergoup

Not Dave, but I'll take the bait. Descriptive in Bitcoin's case, rather than predictive, no? Or don't you take EFT approval as acceptance? https://www.google.com/search?q="cantillon+effect"+bitcoin https://www.google.com/search?q="nakamoto+effect" As opposed to what other investment?

In an election year?

Great, great essay, but I'll probably wait and borrow from the library. "Heart-wrenching" is a little much for me.

Why would institutional adoption be so much slower than (surveyed) RIA adoption? Especially the institutions that brought the ETFs forward? Fidelity won't market its Bitcoin ETF as an advantage over Vanguard?

Fair enough (shouldn't expect RIAs to be chomping at the bit in 60 days or whenever they can recommend an allocation), but a couple quarters of underperformance should encourage adoption, yeah?

At first, I thought class was about money. https://www.robkhenderson.com/p/social-class-on-tv-shows

I'd think they can't risk sitting out if it goes up another (well-publicized) amount? As long as the music is playing, you've got to get up and dance. 75% is more than sufficient. But they'll ultimately respond to what their customers want. One way or another.

Once investment advisors are cleared to recommend making bitcoin an allocation, there won't be a race to secure their clients that allocation?

Thought there'd be more reaction to this? RIAs manage $8T. 75% of them plan to allocate an average of 2.5% to the bitcoin ETFs. That's $150B demand. And doesn't include the wirehouses, regional broker-dealers, or institutions (Blackrock alone manages $9T).

https://www.cnbc.com/video/2024/02/14/bitwise-matt-hougan-dacfp-ric-edelman-growing-adoption-of-spot-bitcoin-etfs.html

Yes, please.

BlackRock's portfolios might be getting more bitcoin in coming years. Rick Rieder, BlackRock's chief investment officer of global fixed income and head of global allocation, said the world's largest asset manager currently has a very small exposure to bitcoin. But he said that could change along with public attitudes. "Time will tell whether it's gonna be a big part of the asset allocation framework," Rieder said on WSJ's Take On the Week podcast. "I think over time, people become more and more comfortable with it." BlackRock recently launched a spot bitcoin fund that holds more than $3 billion of the cryptocurrency. Rieder oversees a wide range of portfolios that manage the money of government pensions and retirement funds. More from Rieder: - "If there is more and more receptivity, now we have more vehicles that people can utilize to get more comfortable with owning it and buying it and selling it and liquidating it." - "As you get more and more people that adopt it as an asset, we think the upside potential is real, which has been recognized recently." https://archive.ph/hQnt8#selection-4073.0-4139.136

It's different this time.

Gell-Mann Amnesia effect The issue is never the issue. The issue is always the revolution.

A Quick Look at the 21st Century So Far Since 2000, Europe has stagnated on many fronts -- anemic growth, a crashing birth rate, military disinvestment -- from which countries such as Belgium and Germany have still not emerged. Perhaps most worrying of all, according to criteria such as patents, capital investment, and stock market giants such as GAFA (Google, Apple, Facebook, Amazon), Europe has stopped innovating. People innovate in the United States; they still innovate in Asia, but in Europe – hardly at all. If you add to this the European Union's obsession with the environment, which has become little more than a machinery for imposing constraints, vexations, punishments and taxes in the name of "energy transition", it appears that stagnation is a problem from which Europe might have the greatest difficulty in freeing itself. As history shows, stagnation is an intermediate state. Over time, stagnation is almost always the prelude to regression (here, here and here). When Sparta stopped having children, Sparta wasn't defeated overnight. Sparta remained Sparta, for a time, with its glorious city and its military contingents. Afterwards, Sparta was not defeated: it simply gradually disappeared from the face of the earth. https://www.gatestoneinstitute.org/20340/21st-century

Sure, but works both ways. Chinese investors and their creditors are putting up “For Sale” signs on real estate holdings across the globe as the need to raise cash amid a deepening property crisis at home trumps the risks of offloading into a falling market. The prices they get will help finally put hard numbers on just how much trouble the wider industry is in. The worldwide slump triggered by borrowing-cost hikes has already wiped more than $1 trillion off office property values alone, Starwood Capital Group Chairman Barry Sternlicht said last week. But the total damage is still unknown because so few assets have been sold, leaving appraisers with little recent data to go on. Completed commercial property deals globally sank to the lowest level in a decade last year, with owners unwilling to sell buildings at steep discounts. Regulators and the market are nervous that this logjam could be concealing large, unrealized losses, spelling trouble both for banks, who pushed further into bricks and mortar lending during the cheap money era, and asset owners. https://www.bnnbloomberg.ca/the-global-tremors-from-china-s-real-estate-crisis-are-only-just-starting-1.2032831

Guns, like EVERYTHING ELSE, have value tiers and are priced accordingly.

Not quite here yet, actually. 1% of $168M, not $4T. Fidelity Canada. And this allocation has been around for years and Canada has had a BTC spot ETF for three years now. https://www.reddit.com/r/Bitcoin/comments/1ala1yi/fidelity_allocating_1_to_spot_bitcoin_in_their/ Still, so fidelity has been able to hold people's btc safely for 3 years without issues? promising

Earlier than I'd thought.

Boom!