The post Standard Chartered Swaps Tesla for Bitcoin in ‘Mag 7B’—Outperforms Original Index appeared first on Coinpedia Fintech News
Standard Chartered has shaken up the investment scene by testing a new version of the famous “Magnificent 7” index—this time swapping out Tesla for Bitcoin. Dubbed “Mag 7B,” this fresh lineup has outperformed the original, delivering higher returns and lower volatility. The move sparks debate over whether Bitcoin deserves a spot alongside the biggest tech giants.
A Better Fit Than Tesla?
The experiment showed that Bitcoin, with its $1.7 trillion market cap—double that of Tesla—brings a stronger risk-reward balance to the mix. Geoffrey Kendrick, the bank’s global head of digital assets research, noted that Bitcoin is more aligned with the Nasdaq than gold, suggesting it belongs in a tech-heavy portfolio.
Since December 2017, Mag 7B has outpaced the original index by 5%, with stronger annual returns in five of the past seven years. On top of that, it was nearly 2% less volatile on average, making it a more stable choice than Tesla.
A Growing Role in Institutional Portfolios
Bitcoin’s market cap has soared past $1.7 trillion, more than double Tesla’s, making it a strong contender for institutional investments. Its increasing acceptance in global portfolios, especially as both a tech asset and a hedge, reinforces its potential to stand alongside giants like Apple, Microsoft, and Nvidia.
Moreover, with the rise of spot Bitcoin ETFs in early 2024, trading BTC has become just as seamless as trading major stocks. Kendrick believes Bitcoin now serves multiple roles—both as a hedge against traditional finance and as a key asset in tech portfolios.
Market trends are looking good for Bitcoin. Since the Nasdaq is struggling, investors might shift money into Bitcoin. A key U.S. tariff decision on April 2 could also impact the market, and some experts believe Bitcoin could climb toward $90,000, showing its growing role in mainstream finance.
Following the news, Bitcoin is up over 3.5% on Monday, pushing the total crypto market cap to $2.9 trillion. Other major cryptocurrencies are also gaining, with Ethereum up 4%, XRP rising 3.2%, Solana jumping 6.5%, and Dogecoin increasing by 3%.
