Quantitative Finding
A 1% to 2.5% allocation to digital assets in a traditional 60/40 portfolio improved overall Sharpe ratio by 0.18 without increasing maximum historical drawdowns.
1. Bitcoin Portfolio Allocation & Efficient Frontier
Due to low historical rolling correlation with sovereign debt, systematic quarterly rebalancing captures positive asymmetric volatility drag.
2. Ethereum Proof-of-Stake Validator Staking Yields
PoS validator yields generate native staking yields derived from base block rewards, priority fees, and MEV (Maximal Extractable Value) boosts.