Survey: As clients gain confidence in cryptocurrencies, more advisors suggest increasing their allocations

Odaily News A new survey recently released by the Digital Assets Council of Financial Professionals and Franklin Templeton Digital Assets shows that more clients now own cryptocurrencies, and advisors are recommending cryptocurrencies to them at a higher rate. The Q3 2024 Advisor Pulse survey noted that advisors are recommending more allocations to cryptocurrencies, reflecting their growing confidence in this asset class to diversify their portfolios. In addition, 19% of financial advisors found that more than half of their clients invested in digital assets, an increase of 4% from earlier this year. In addition, 36% of advisors noted that 10% to 49% of their clients own cryptocurrencies. The percentage of advisors reporting no cryptocurrency ownership among their clients fell to less than 3%, a significant drop from the second quarter of 2024. 70% of financial advisors recommend that at least 10% of their clients invest in cryptocurrencies. In addition, more than a third of professionals (specifically 36%) recommend cryptocurrencies to at least 50% of their clients. Financial advisors who include cryptocurrencies in their recommendations typically recommend a 2% investment, with about 26% supporting this allocation. In addition, 22% support a 5% allocation. The survey included 619 financial professionals, 61% of whom primarily serve clients with assets between $500,000 and $3.5 million. Meanwhile, 11% focus on clients with assets greater than $3.5 million.