Breaking: $8 Trillion Morgan Stanley Opens Bitcoin Investments to All Wealth Clients

Boluwatife Adeyemi
3 hours ago Updated 2 hours ago
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An image of Morgan Stanley's building

Highlights

  • Morgan Stanley will allow crypto investments in any kind of accounts including retirement accounts.
  • The banking giant had earlier limited crypto investments to some specific clients.
  • Crypto investments are limited to just BlackRock and Fidelity's Bitcoin ETFs for now.

Morgan Stanley, which manages $8 trillion in assets under management (AuM), plans to allow all its wealth management clients to access Bitcoin and crypto investments. This comes as the banking giant moves to lift earlier restrictions that limited crypto funds to specific clients based on risk exposure and assets.

Morgan Stanley To Let All Wealth Clients Invest In Bitcoin and Crypto

According to a CNBC report, the banking giant has dropped restrictions on which wealth clients can own crypto funds. The firm has already informed its financial advisors that it is broadening access to crypto investments for all clients. However, this move is limited only to BlackRock and Fidelity’s Bitcoin ETFs for now. The firm is looking to add other cryptos to these offerings at some point.

With this move, all accounts, including retirement accounts, will be able to invest in crypto. Notably, this aligns with U.S. President Donald Trump’s executive order, which opened the door for 401(k)s to invest in crypto.

Meanwhile, CNBC reported that, starting October 15, advisors will be able to pitch crypto investments to any of Morgan Stanley’s clients. The firm had previously only allowed its clients with an aggressive risk tolerance and at least $1.5 million in assets to invest in crypto funds.

This move comes as crypto continues to witness increased adoption among institutional investors. Major financial institutions have also moved to expand their crypto offerings amid the growing popularity of crypto firms and exchanges.

As CoinGape reported, the bank plans to offer crypto trading services to its E-trade clients starting from next year. Morgan Stanley is expected to begin by listing Bitcoin, Ethereum, and Solana.

Allocation Of Up to 4% To Crypto

Notably, Morgan Stanley also recently recommended allocating up to 4% to crypto for growth-oriented investors. The firm noted that 4% was right for those seeking opportunistic growth.

Morgan Stanley's recommendation

Meanwhile, it recommended allocating 3% to crypto for those seeking market growth and 2% for balanced growth. The bank said that its global investment committee considers crypto as “a speculative and increasingly popular asset class that many investors, but not all, will seek to explore.”

With Morgan Stanley dropping eligibility requirements to access crypto funds, the bank plans to rely on an automated monitoring process to ensure that clients aren’t overly concentrating their wealth in this asset class.

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Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.

Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

About Author
About Author
Boluwatife Adeyemi is a well-experienced crypto news writer and editor who has covered topics that cut across several niches. His speed and alacrity in covering breaking updates are second to none. He has a knack for simplifying the most technical concepts and making them easy for crypto newbies to understand. Boluwatife is also a lawyer, who holds a law degree from the University of Ibadan. He also holds a certification in Digital Marketing. Away from writing, he is an avid basketball lover, a traveler, and a part-time degen.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.