You Should Own 40% Crypto in Your Portfolio: $300B Finance Advisory Firm Founder Says

“The traditional 60/40 stock-bond allocation model is dead,” declared Edelman in a new paper released on June 30.

He added that owning crypto is no longer a speculative position, but “failing to do so is.”

The founder of the $300 billion investment advisory firm, Edelman Financial Engines, made the dramatic recommendation suggesting that aggressive investors should hold up to 40% of their assets in crypto, 25% for moderate, while conservative investors should allocate 10%.

You need to plan on living past 100, and that means you need more than stocks and bonds. My new white paper explains why you’ll get to 100+ and why your portfolio should include 10% to 40% crypto.

Read it now: https://t.co/hfjCMvQC3J pic.twitter.com/pZgJs79GdZ

— Ric Edelman (@ricedelman) June 30, 2025

10/10 on The Wow Scale

A passive market-weighted index comprised of all asset classes would have 3% in crypto, “so an investor who lacks crypto is now effectively shorting it,” he said.

“There’s no logic to omitting an asset class that’s outperformed all others for 15 consecutive years and is widely projected to continue doing so for the next decade or more. ​​Historic performance data show that portfolios with Bitcoin have generated higher returns with lower risks.”

Edelman, who has been named America’s top Independent Financial Advisor by Barron’s three times, said to other financial advisors, “If you’re fearful that recommending crypto could cause a client to fire you, then you’re suffering from a conflict of interest.”

“This is ten out of ten on the wow scale,” exclaimed Bloomberg ETF analyst Eric Balchunas, who added:

“This is arguably the most important full-throated endorsement of crypto from the TradFi world since Larry Fink.”

“40% is wild for most normies!” exclaimed entrepreneur Adam Cochran, while industry pioneer Adam Back and other Bitcoin maximalists grumbled at the usage of the term crypto rather than just Bitcoin.

Institutions Driving Markets

Edelman’s recommendation comes as institutional adoption accelerates, with over $20 billion invested in spot Bitcoin ETFs by wealthy investors and institutions, and more than 70 crypto ETF proposals pending with the SEC.

The finance guru also cited the Trump administration’s regulatory reversal, the growth of stablecoins, and basic supply-demand dynamics supporting his bullish outlook, even suggesting Bitcoin could reach $500,000.

Institutional investors and corporations have been scooping up all of the Bitcoin that long-term holders have been selling, which is why prices have stagnated recently.

However, “Bitcoin’s price appreciation isn’t speculation — it’s just supply and demand,” concluded Edelman.