Itaú Asset Management Recommends 1%–3% Bitcoin Allocation for Investors
Itaú Asset Management, Brazil’s largest private asset manager, recommends a strategic Bitcoin allocation of 1%–3% for investor portfolios. The year‑end analyst note from Renato Eid, head of beta strategies, cites Bitcoin’s low correlation with traditional assets and potential role as a partial hedge against currency depreciation and macroeconomic instability. Itaú stresses a disciplined, long‑term approach: set a strategic allocation, avoid reacting to short‑term volatility, and keep the position between 1% and 3%. The guidance aligns Itaú with prior institutional recommendations from firms such as Bank of America and BlackRock and may channel institutional flows into local products, notably Itaú’s BITI11 spot Bitcoin ETF and other unit trusts and pension wrappers. Itaú has built regulated crypto capabilities — including a dedicated crypto division and participation in local crypto products — and manages roughly R$850 million in its regulated crypto suite within a broader R$1+ trillion AUM platform. The endorsement is viewed as increasing institutional credibility for Bitcoin in Brazil and could encourage adoption among high‑net‑worth clients and family offices. Traders should note the potential for incremental institutional inflows into BTC spot products in Brazil, which may support demand over time while volatility and macro drivers continue to influence short‑term price action.
Bullish
Itaú’s public recommendation for a 1%–3% Bitcoin allocation constitutes a cautious but explicit institutional endorsement. Such guidance from Brazil’s largest private asset manager raises the probability of incremental institutional demand for spot BTC products (for example, BITI11 and other regulated wrappers). Incremental inflows into spot ETF and pension/wealth products typically provide positive demand pressure for BTC over the medium term. The impact on short‑term price action is likely limited: the recommendation is modest in size and framed as long‑term, so it reduces the chance of immediate large-scale buying. However, the credibility boost and potential onboarding of high‑net‑worth and family office capital in Brazil increases structural demand and market depth, which is bullish for BTC over weeks to quarters. Risks that temper the effect include prevailing macro volatility, discretionary reaction to headlines, and the fact the allocation is small (1%–3%), meaning any flow impact will likely be gradual rather than explosive.