Managing Cryptocurrency Risk via Portfolio Rebalancing

I wrote recently about how the addition of cryptocurrency to a portfolio over the last five years would have increased the risk-adjusted return of a portfolio as measured by the Sharpe ratio. In that article, I analyzed three possible portfolios; one with 5% bitcoin; one with 2.5% bitcoin and 2.5% ether; and one with no cryptocurrency (standard 60/40 allocation). In … Read More