Renowned financial advisor Ric Edelman has spoken about the role of cryptocurrency in investment portfolios, asserting that it is no longer a niche asset.
Crypto as a Core Component of Investment Portfolio
Ric Edelman believes that cryptocurrency has become a core component of modern investment portfolios and should make up between 10% and 40% depending on the investor's perspective.
Customized Allocation Based on Risk Profiles
He provides specific guidelines for different types of investors: conservative investors should consider allocating about 10% of their portfolio to crypto assets, moderate investors around 25%, and aggressive investors up to 40%. This represents a significant shift from his earlier recommendations, which suggested only 1% to 5%.
Crypto as a Strategic Asset
Edelman regards cryptocurrencies like Bitcoin and Ethereum as legitimate long-term investments. He emphasizes that crypto assets offer unique benefits, such as low correlation with traditional markets, which can help reduce overall portfolio risk.
Edelman mentions that this allocation is not about chasing short-term gains but about making a responsible, strategic approach to an evolving financial landscape.
