BlackRock: Allocating 1% to 2% in Bitcoin can enhance the performance of a 60/40 investment portfolio

Bitcoin News posted on platform X that after analyzing a rolling 10-year period ending in May 2026, BlackRock found that allocating 1% or 2% of Bitcoin in a traditional 60/40 portfolio could enhance the assumed annualized return and improve risk-adjusted performance.

The analysis showed that the Sharpe ratio of the traditional 60/40 portfolio is 0.81; after allocating 1% Bitcoin, the Sharpe ratio rises to 0.9; after allocating 2% Bitcoin, the Sharpe ratio increases to 0.96. The portfolio with a 2% Bitcoin allocation also generated an alpha of 1.85% with a maximum drawdown of 20.9%; the maximum drawdown for the traditional 60/40 portfolio was 20.3%.

BlackRock stated that Bitcoin remains a "unique portfolio diversification tool and currency alternative option," and long-term investors may increasingly consider moderate Bitcoin allocations outside of traditional holdings.