Is bitcoin the best portfolio diversifier over gold and bonds?

Tue, Dec 17, 2024, 11:00 AM

With the new year just around the corner, investors may be revisiting their portfolio allocation strategy to make sure they are best positioned for 2025. Yahoo Finance host Madison Mills examines the correlation of bond yields (^FVX, ^TNX, ^TYX), gold (GC=F), and bitcoin (BTC-USD) to equity performance.

Recent analysis from BlackRock shows that government bonds are heavily correlated with equity performance, while bitcoin and gold are more independent. This could suggest that cryptocurrency and commodities are better suited to be portfolio diversifiers.

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This post was written by Naomi Buchanan.