Itaú Unibanco, Brazil’s largest private bank, recommends allocating up to 3% of Bitcoin. Small long-term holdings can hedge risks.

In a recently released year-end research report, Itaú Asset Management, the asset management arm of Itaú Unibanco, Brazil's largest private bank, recommended that investors allocate 1% to 3% of their investment portfolios to Bitcoin in 2026.
(Preliminary briefing: Bank of America approved wealth advisors to "actively recommend" clients to buy Bitcoin! The investment ratio is 1%-4%, which will officially start in January next year)
(Background supplement: BlackRock CEO: The sovereign wealth fund "increases its investment in Bitcoin as it falls! BTC is a fear asset and has been used as a long-term safe haven)"

Itaú Asset, the asset management arm of Brazil's largest private bank Itaú Unibanco Management, in a recently released year-end research report, recommended that investors allocate 1% to 3% of their portfolios to Bitcoin in 2026.

Bitcoin can diversify investment portfolios and hedge risks

The main reason for this suggestion is the low correlation between Bitcoin and local traditional assets. Renato Eid, head of beta strategy and responsible investment at Itaú Asset Management, pointed out that the lack of significant correlation between Bitcoin and stocks, bonds and Brazilian local market assets can effectively increase the diversification of investment portfolios. In the current context of geopolitical tensions, inflationary pressures, monetary policy uncertainty, and increased volatility in the Brazilian real exchange rate, Bitcoin can serve as a hedging tool, especially for local Brazilian investors.

Invest in Bitcoin in small and stable amounts

However, Eid specifically emphasized that although the bank recommends investing in Bitcoin, a cautious and disciplined attitude should also be adopted. He said: "Our concept is not to use crypto assets as the core of the investment portfolio, but to include them as a supplementary component - appropriately adjusting the scale according to the investor's risk tolerance."

At the same time, he also warned investors not to try to time their way in and out of the market, but recommended maintaining a small and stable Bitcoin investment, with a long-term perspective. This not only provides a partial hedge against currency depreciation and global market volatility, but also allows investors to gain exposure to potential global returns. Eid further wrote: “This requires proportion and discipline: setting a strategic proportion (for example, 1%–3% of the total portfolio), maintaining a long-term perspective, and resisting the temptation to short-term noise.”

The recommendations of this report are consistent with the trend of large international institutions, such as BlackRock recommending an allocation of 2% and Bank of America allowing a maximum allocation of 4% in Bitcoin, showing that institutional investors are embracing crypto assets in a more active and at the same time more rational manner.