Itaú Says Bitcoin Can Enhance Diversification and Hedge Currency Risk
Itaú Asset Management, the investment arm of Brazil’s largest private bank, has advised investors to consider allocating between 1% and 3% of their portfolios to Bitcoin in 2026, citing its potential role as a diversification tool amid global economic uncertainty.
In a recent research note, the firm highlighted geopolitical tensions, shifting monetary policy, and ongoing currency risks as factors strengthening the case for Bitcoin as a complementary asset. The bank described Bitcoin as distinct from traditional equities fixed income and domestic markets, with unique return characteristics and a potential hedge against currency depreciation due to its global and decentralized structure.
The recommendation comes after a volatile year for Bitcoin, which opened near $95,000, fell toward $80,000 during trade-related market stress, climbed to a record $125,000, and later stabilized around previous levels. For Brazilian investors volatility was compounded by a 15% appreciation of the Brazilian real, which magnified local drawdowns.
Despite this, Itaú argued that small consistent exposure can improve portfolio resilience. Internal analysis showed low correlation between the bank’s locally listed Bitcoin ETF and major asset classes, supporting the view that Bitcoin can reduce overall risk when added in moderation.
To support growing demand, Itaú has expanded its digital asset strategy, launching a dedicated crypto unit and planning new products ranging from conservative instruments to higher-volatility strategies. The move underscores Bitcoin’s increasing acceptance within mainstream portfolio construction in Brazil.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.