JPMorgan Asset Management has included Bitcoin in its long-term capital market assumptions report for the first time, assigning the asset an expected annualized compound return of 10% over the next 10 to 15 years. That forecast sits above the firm’s assumptions for U.S. large-cap equities at 7.5%, real estate investment trusts at 8.2%, and gold at 5.5%. The report also assumes Bitcoin will carry annualized volatility of 55%, far above traditional asset classes. Because its market correlations are not stable, Bitcoin was not added to the firm’s core asset allocation model. The projection appears in JPMorgan’s 31st annual long-term outlook report, which is intended to support strategic planning by institutional investors. Techub carried the item and cited Crypto.news as the source.
JPMorgan Asset Management has added Bitcoin to its long-term capital market assumptions report for the first time, projecting a 10% annualized compound return over the next 10 to 15 years.
That expected return is higher than the firm’s forecasts for U.S. large-cap equities at 7.5%, real estate investment trusts at 8.2%, and gold at 5.5%.
The report also says Bitcoin carries an assumed annualized volatility of 55%, well above traditional assets. Because market correlations are unstable, Bitcoin was not included in the firm’s core asset allocation model.
The forecast is part of JPMorgan’s 31st annual long-term outlook report, which is meant to serve as a reference for strategic planning by institutional investors. Techub reported the update, citing Crypto.news.
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