Just read a "Investment Policy Statement" for an Investment Trust that I am a trustee of. A medium risk portfolio is being suggested:

- Cash: 5%

- Fixed income and bonds: 20%

- Equities: 60%

- Absolute return funds: 15%

Which is going to be benchmarked for performance against the "MSCI PIMFA", a weighted average of different asset types, updated regularly to match what UK advisors are doing

This benchmark, has a long-term average of 5-6% annualized over 10-20 years (adjusted for cpi ~2-3%)

Whilst at the end, there is the convenient: "Please be aware that past performance is not an indication of future performance. The value of investments and the income derived from them may fluctuate and you may not receive back the amount you originally invested."

The asset management industry...

WTF

It's got so much work to do!

They sell the convenient truth that you're not "regulated", and can't be trusted to allocate your own funds for lack of "skill", calculate their success against a benchmark that conveniently tracks CPI, rather than real inflation rates, and encumber you with vast counter-party risk

Enter Bitcoin

Sound money, self-custodied, blowing benchmarks like the MSCI PIMFA out the water, with drastically reduced counter-party risks

If it was up to me, none of the capital would be in these traditional portfolio's

Point of sharing: this is how the majority of the world's wealth is managed...

Arguably not even protecting purchasing power, but paying the money managers regardless of performance

It's only a matter of time until more figure out Bitcoin