October 1, 2021 • 29 min read Introduction Small allocations to bitcoin have been historically meaningful and have the potential to continue to drive worthwhile, positive portfolio outcomes. We found that the most efficient increase in risk-adjusted returns, measured using the Sharpe ratio, came from the first 50-100 basis points of bitcoin allocation from an otherwise traditional portfolio. "Getting off zero", in reference to a portfolio with a zero percentage bitcoin allocation, is arguably one of the most important modern-day investment decisions for those who have not considered it yet. Getting Off Zero: Bitcoin's Role in Modern Investment Portfolios In this piece, we cover traditional portfolios and opportunity cost, the typical bitcoin investment thesis, an actionable allocation framework, and more. Download the report to learn more about bitcoin’s role in investment portfolios. The information herein was prepared by Fidelity Digital Asset Services, LLC and is for informational purposes only and is not intended to constitute a recommendation, investment advice of any kind, or an offer to buy or sell securities or other assets. Please perform your own research and consult a qualified advisor to see if digital assets are an appropriate investment option. Digital assets are speculative and highly volatile, can become illiquid at any time, and are for investors with a high-risk tolerance. Investors in digital assets could lose the entire value of their investment. Fidelity Digital Asset Services, LLC does not provide tax, legal, investment, or accounting advice. This material is not intended to provide, and should not be relied on, for tax, legal, or accounting advice. Tax laws and regulations are complex and subject to change. You should consult your own tax, legal, and accounting advisors before engaging in any transaction. By using or logging into this website, you consent to the use of cookies as described in the Fidelity Crypto LC Privacy Policy. Fidelity Digital Asset Services, LLC does not provide tax, legal, investment, or accounting advice. This material is not intended to provide, and should not be relied on, for tax, legal, or accounting advice. Tax laws and regulations are complex and subject to change. You should consult your own tax, legal, and accounting advisors before engaging in any transaction. This site uses cookies to improve your experience on our site. By continuing to use the Fidelity Crypto LC website, you consent to the use of cookies in accordance with our Cookie Policy. Trademarks and logos used within are the property of their respective owners Services provided by Fidelity Digital Asset Services, LLC, a New York State-chartered, limited liability trust company (NMLS ID 1773897). Fidelity Crypto LC and the Fidelity Crypto LC logo are service marks of FMR LLC. © 2021 FMR LLC. All rights reserved. 997424.1.0