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Getting Off Zero: Bitcoin's Role in Modern Investment Portfolios

  • By Jack Neureuter, Fidelity Digital Assets
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Small allocations to bitcoin have been historically meaningful and have the potential to continue to drive worthwhile, positive portfolio outcomes. We found that the most efficient increase in risk-adjusted returns, measured using the Sharpe ratio, came from the first 50-100 basis points of bitcoin allocation from an otherwise traditional portfolio. "Getting off zero", in reference to a portfolio with a zero percentage bitcoin allocation, is arguably one of the most important modern-day investment decisions for those who have not considered it yet.

In this piece, we cover traditional portfolios and opportunity cost, the typical bitcoin investment thesis, an actionable allocation framework, and more.


Download the report to learn more about bitcoin’s role in investment portfolios.

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