{"id":830659,"date":"2025-03-01T08:11:52","date_gmt":"2025-03-01T14:11:52","guid":{"rendered":"https:\/\/newsycanuse.com\/index.php\/2025\/03\/01\/blackrock-adds-its-ibit-bitcoin-etf-to-alternative-asset-model-portfolio\/"},"modified":"2025-03-01T08:11:52","modified_gmt":"2025-03-01T14:11:52","slug":"blackrock-adds-its-ibit-bitcoin-etf-to-alternative-asset-model-portfolio","status":"publish","type":"post","link":"https:\/\/newsycanuse.com\/index.php\/2025\/03\/01\/blackrock-adds-its-ibit-bitcoin-etf-to-alternative-asset-model-portfolio\/","title":{"rendered":"BlackRock Adds Its IBIT Bitcoin ETF To Alternative Asset Model Portfolio"},"content":{"rendered":"
\n

The world\u2019s biggest asset manager added a 1% to 2% allocation to its target allocation portfolios.<\/h2>\n

Updated Feb 28, 2025, 7:52\u202fp.m. UTC<\/span>Published Feb 28, 2025, 5:13\u202fp.m. UTC<\/span><\/p>\n<\/div>\n

\n

BlackRock has added the iShares Bitcoin Trust (IBIT), the fund issued by the asset manager that holds bitcoin (BTC), to one of its model portfolios.<\/p>\n

These models suggest portfolios and rebalances which are then followed by advisors and platforms who can also request adjustments to the models based on their investment needs.<\/p>\n

BlackRock added a 1% to 2% allocation to IBIT in its target allocation portfolio that allows for alternative assets, according to James Seyffart, ETF analyst at Bloomberg Intelligence.<\/p>\n

In a report from Thursday, Michael Gates, lead portfolio manager for BlackRock\u2019s Target Allocation ETF models, wrote that there are \u201cseveral substantive arguments that support bitcoin\u2019s long-term investment merit.\u201d<\/p>\n

According to Gates, this includes the crypto asset\u2019s novel store of value and global monetary alternative, as well as hedge to the U.S. dollar hegemony and political instability, and proxy play on the \u201coffline\u201d to \u201conline\u201d digital transition of goods and services.<\/p>\n

\u201cCollectively, these features may help provide unique and additive sources of risk premia and diversification to traditional multi-asset portfolios,\u201d Gates wrote.<\/p>\n

The model represents one of IBIT\u2019s smaller portfolios, however, the step is significant given that it is the first time BlackRock had made the decision to add IBIT to any of their models.<\/p>\n

\u201cThis is a big deal because this is the first of those models to add bitcoin,\u201d said Seyffart. \u201cIt probably won\u2019t be the last but bitcoin is also a lightning rod for many \u2014 some will hate this while others will love it \u2014 so I don\u2019t know if or when they would add IBIT to their primary models that have a lot more money tracking them.\u201d<\/p>\n

BlackRock\u2019s model portfolios manage around $150 billion in assets as of December 31, 2024.<\/p>\n

CORRECTION (February 28, 2025, 14:56 UTC):<\/em><\/strong>\u00a0Adds that BlackRock’s model portfolios manage $150 billion in assets as opposed to $130 billion which the article incorrectly stated previously.<\/em><\/p>\n<\/div>\n

\n
\n
Helene Braun<\/a><\/h5>\n

Helene is a New York-based news reporter at CoinDesk, covering news about Wall Street, the rise of the spot bitcoin exchange-traded funds (ETFs) and updates on crypto exchanges. She is also the co-host of CoinDesk’s Markets Daily show on Spotify and Youtube. Helene is a recent graduate of New York University’s business and economic reporting program and has appeared on CBS News, YahooFinance and Nasdaq TradeTalks. She holds BTC and ETH.<\/p>\n

X icon<\/title><\/svg><\/a><\/svg><\/a><\/g><\/svg><\/a><\/p>\n<\/div>\n

\"Helene<\/a><\/p>\n<\/div>\n

Read More<\/a>
\n Helene Braun<\/p>\n","protected":false},"excerpt":{"rendered":"

The world\u2019s biggest asset manager added a 1% to 2% allocation to its target allocation portfolios. Updated Feb 28, 2025, 7:52\u202fp.m. UTC Published Feb 28, 2025, 5:13\u202fp.m. UTC BlackRock has added the iShares Bitcoin Trust (IBIT), the fund issued by the asset manager that holds bitcoin (BTC), to one of its model portfolios. These models<\/p>\n","protected":false},"author":1,"featured_media":830660,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4041,164],"tags":[],"class_list":{"0":"post-830659","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-bitcoin","8":"category-blackrock"},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts\/830659","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/comments?post=830659"}],"version-history":[{"count":0,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts\/830659\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/media\/830660"}],"wp:attachment":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/media?parent=830659"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/categories?post=830659"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/tags?post=830659"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}