Morgan Stanley of Financial Services issued guidelines for crypto allocation for the Multi-Asset portfolio and recommended investment advisors a “conservative” approach in its Global Investment Committee (GIC) report in October.
Analysts at Morgan Stanley recommended an allocation of up to 4% of cryptocurrencies in their “opportunistic growth” portfolio. This is configured for higher risk and higher returns.
Analysts also recommended an allocation of up to 2% of their “balanced growth” portfolio, characterized by a more moderate risk profile. However, the report recommended a 0% allocation of the portfolio towards wealth conservation and income. The author writes:
“While emerging asset classes have experienced a decline in total revenue and volatility for a large number of people in recent years, cryptocurrencies may experience a higher correlation with higher volatility with other asset classes during periods of macro and market stress.”
Morgan Stanley GIC Guidelines The largest crypto allocation for your investment portfolio. sauce: Hunter Horseley
Hunter Horsley, CEO of investment manager Bitwise, called the report “huge” news. “GIC guides 16,000 advisors managing $2 trillion in savings and wealth for their clients. We are entering a mainstream era,” he writes.
Morgan Stanley’s report reflects the growing adoption and approval of facilities, particularly among crypto and financial services companies, among crypto and financial services companies, attracting more capital to the crypto market and solidifying the legitimacy of crypto as an asset class.
Related: Trades to add Bitcoin, Ether and Solana to e*Morgan Stanley’s crypto extension
Morgan Stanley Report calls Bitcoin Digital Gold as BTC hits the record
Bitcoin (BTC), which Morgan Stanley analysts consider as a “rare asset similar to digital gold,” continues to acquire institutional adoption as a reserve asset for the Ministry of Finance and through investment vehicles such as funds (ETFs) traded on exchanges.
Bitcoin price hit a new all-time high of over $125,000 on Saturday, as BTC Exchange balances hit its first in six years, according to GlassNode data.
https://www.youtube.com/watch?v=gu3jr-ddtke
Bitcoin has skyrocketed to a new all-time high due to government closures in the US and rising prices of safe hulls, storage and risk-on assets.
“There is a widespread rush to assets that are happening right now. As inflation recovers and the labor market weakens,” an investment analyst for the Kamiyasuda letter wrote on Sunday.
magazine: Metric Signal $250K Bitcoin is the “best case”.
