In a recent interview with Bloomberg Wealth, Galaxy Digital’s founder, Mike Novogratz, shared his ideal investment portfolio for young investors with a high-risk tolerance. Novogratz recommended investing in several assets including Alibaba stock, silver, gold, Bitcoin (BTC), and Ethereum (ETH).
Novogratz stated that if he were investing $100,000 as a young investor with high-risk tolerance, he would allocate his portfolio to include Alibaba stock, silver, gold, Bitcoin, and Ethereum. However, he advised that for those with lower risk tolerance, it would be wise to allocate only 30% of their portfolio to these assets, with the remaining 70% invested in bonds and index funds as a safer option.
Novogratz’s bullish stance on Bitcoin was further reinforced by BlackRock’s recent application for a spot Bitcoin exchange-traded fund (ETF) in June. He believes that this application is the most significant development in the Bitcoin market in 2023.
According to Novogratz, the CEO of BlackRock, Larry Fink, played a crucial role in changing the perception of Bitcoin. Fink, who was initially a nonbeliever, now recognizes the potential of Bitcoin as a global currency. Novogratz referred to Fink as having been “orange-pilled,” a term used to describe converting nonbelievers into Bitcoin advocates.
Novogratz also highlighted the recent decision in the case of Ripple vs. the Securities and Exchange Commission (SEC). He called the decision a victory for the crypto industry and emphasized that it demonstrates the lack of clarity in regulatory rules regarding cryptocurrencies.
Furthermore, Novogratz discussed the potential impact of BlackRock’s entry into the Bitcoin market. He believes that this move is part of an adoption cycle and suggests that it could contribute to driving the price of Bitcoin to new highs, particularly if the Federal Reserve decides to cut interest rates.
In conclusion, Novogratz’s recommended investment portfolio for young investors with high-risk tolerance includes Alibaba stock, silver, gold, Bitcoin, and Ethereum. He also expressed optimism regarding BlackRock’s involvement in Bitcoin and emphasized the importance of regulatory clarity in the crypto industry.