July 2025
Cryptocurrencies such as Bitcoin, Ethereum, and Solana are digital means of exchange that use cryptography for security. In addition to transacting value and data, cryptocurrencies may act as capital assets and stores of value as use of the various networks grows.
Alere Planning currently maintains allocations in companies focused on blockchain technologies that enable the use of cryptocurrencies. We prefer to scale the allocation to these positions based on their expected price volatility, meaning lower scores get a higher allocation and higher scores get a lower allocation to manage risk in portfolios.
We select blockchain and crypto ETFs that have a sector focus on this theme, that are sufficiently diversified, and that maintain high liquidity to enhance trading efficiency. We look to ETFs that are well positioned to invest in the cryptocurrency space without directly owning the digital assets (and taking individual asset risk), however we will consider investments in bitcoin directly via ETFs that reflect bitcoin’s price while minimizing complexities and restrictions on liquidity. We are happy to provide details on these products along with current data from the products’ sponsors upon request.
As for all portfolio allocations, we have an upper threshold for these positions based on their return potential and risk that is monitored and adjusted over time.