According to PANews, a recent report by CoinShares suggests that the traditional 60/40 investment portfolio, comprising 60% stocks and 40% bonds, is no longer suitable for the current market environment. The research indicates that including Bitcoin in the investment portfolio can significantly enhance returns after risk adjustment.
By allocating 4% of Bitcoin to the 60/40 portfolio, the Sharpe ratio, a measure of investment return relative to its risk, increased from 0.48 to 1.05, reducing the portfolio's correlation. Furthermore, Bitcoin has shown significant diversification and return enhancement effects in classic portfolios such as the All Weather Portfolio and the Yale Endowment.
The analysis suggests that the optimal Bitcoin allocation ratio is between 4-10%, which can significantly improve portfolio performance while maintaining reasonable risk.
