A 60/40 portfolio is an investment strategy that allocates 60% of funds to global equities (represented by the MSCI AC World net TR Index) and 40% to fixed-income assets of various currencies and ratings (represented by the Bloomberg Multiverse TR Index).

Benefits of the 60/40 Strategy

Diversification: Combine stocks and bonds to reduce total risk.

Risk reduction: Bonds are less volatile than stocks.

Risk-adjusted performance: Offers a good balance between risk and return.

Flexibility: Suitable for different risk profiles and investment horizons.

Simplicity: Easy to implement and manage.

Building a 60/40 Portfolio

Define objectives and investment horizon: Establish financial goals and investment deadline.

Select equity assets (60%): Index funds or ETFs that track the MSCI AC World net TR index.

Select fixed-income assets (40%): Funds or ETFs that track the Bloomberg Multiverse TR index.

Initial allocation: 60% in equities and 40% in fixed income.

Periodic rebalancing: Review and adjust the portfolio regularly.

Monitoring and Adjustment: Stay informed and adjust as needed.

Incorporating Cryptocurrencies into a 60/40 Wallet

Define objectives and investment horizon: Consider the high volatility of cryptocurrencies.

Select equity assets (60%): Index funds or ETFs that track the MSCI AC World net TR index.

Select fixed income assets and cryptocurrencies (40%): Split between bonds and cryptocurrencies (e.g. 30% in bonds and 10% in cryptocurrencies).

Initial allocation: 60% in equities, 30% in fixed income and 10% in cryptocurrencies.

Periodic rebalancing: Review and adjust the portfolio regularly.

Monitoring and Adjustment: Stay informed about the cryptocurrency market and adjust as needed.

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