Catenaa, Thursday, December 18, 2025-Itaú Unibanco, Latin America’s largest private bank, is recommending that investors allocate 1% to 3% of their portfolios to Bitcoin as a hedge against currency swings and for diversification benefits.
Renato Eid, head of beta strategies at Itaú Asset Management, said the allocation is intended as a complementary component rather than a core holding.
He emphasized long-term investment and cautioned against market timing, highlighting Bitcoin’s potential to provide returns uncorrelated with domestic economic cycles and partial protection against Brazilian real devaluation.
The guidance references the BITI11 fund, a Brazilian-listed ETF offering Bitcoin exposure, launched in 2022 in partnership with Galaxy Digital and Itaú Asset.
The fund currently manages about $115.6 million. Eid noted that holding BITI11 provides both international diversification and a global store of value.
The recommendation aligns with Brazil-specific concerns: the real fell to record lows in December 2024, prompting investors to seek assets that can partially offset foreign exchange volatility.
Itaú has also expanded crypto trading offerings through its platform íon, with the bank acting as custodian. Recent regulatory changes require domestic digital asset firms to register with the central bank to operate legally.
The move mirrors similar advice from Bank of America, which suggested a 1%–4% crypto allocation for wealth clients, reflecting growing institutional acceptance of cryptocurrencies in portfolio strategies.
