$ 290 billion asset manager Ric Edelman increases recommendation for crypto allocation

The renowned financial advisor Ric Edelman recommends investors to invest up to 40 % of their assets in cryptocurrencies – a daring recommendation that illustrates the progress of digital assets in recent years.

“Today I say 40 %, that's astonishing,” said Edelman.CNBCS crypto worldOn Friday. “Nobody has ever said anything like that.”

Edelman, founder of the Digital Assets Council of Financial Professionals, has been active in the crypto sector for over a decade. Already in 2018 he recommended investors to part of their portfolios in Bitcoin

to invest. In his book from 2021 “The Truth About Crypto”, he himself described a crypto allocation of 1 % for most people as “reasonable”.

Edelman now believes that the argument for crypto exposure has become significantly stronger. He refers to a “massive change” in the industry in the past four years. He particularly emphasized increasing political support for digital assets, especially at the election of US President Donald Trump.

“Today all of these questions have been clarified,” said Edelman with reference to regulatory uncertainties and institutional reluctance. “It has changed fundamentally and is now an established fixed assets.”

The company Edelman Financial Engines, led by Edelman, manages assets of almost $ 300 billion. Although the company is traditionally known for retirement planning and asset management, increasing focus on digital assets reflects a broader trend among financial institutions that recognize cryptocurrencies as a legitimate asset class.

Although Edelman described cryptocurrencies as the “best investment opportunity of the decade”, he admitted that an allocation of 40 % was not suitable for everyone and suggested a more conservative rate of 10 % for investors with lower risk tolerance.

Edelman's recommendation represents one of the most aggressive forecasts of an established financial expert. Most financial advisors in the United States currently recommend their customers significantly less than 5 %.

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