Bitcoin Is Half Of Bill Miller’s Portfolio
Legendary value investor Bill Miller said in an interview that Bitcoin provides an insurance to financial catastrophe that no other asset can provide and is the only investment that can increase in value by ten or 50 times.
Miller also said half of his personal investment portfolio is allocated to bitcoin and Bitcoin-related companies including bitcoin miner Stronghold and software intelligence company MicroStrategy. He explained that despite the common beliefs around portfolio asset diversification, most billionaire investors’ allocations are “very concentrated” due to a strong confidence in the value of that investment. For Miller, that investment is Bitcoin.
Miller is the founder, owner, and chief investment officer of Miller Value Partners LLC, a $3.1 billion registered financial advisor that provides investment management services for high net worth individuals, institutions, and private funds. Miller also holds the record for most consecutive years outperforming the S&P 500 between 1991 and 2005 with the Legg Mason Capital Management Value Trust Fund, a total of 15 years.
He said he bought bitcoin for the first time after a talk by an Argentinian Bitcoiner who in 2014 presented the case for BTC as a hedge against governments’ loose monetary policies and authoritarian stances by sharing his family’s story, whose wealth got debased or confiscated by the government in four different occasions over 150 years.
The first time Miller bought bitcoin, the peer-to-peer money was trading for around $200, and he said didn’t add more exposure until the Chinese ban of bitcoin mining led to an over 50% correction in the bitcoin price, dropping below $30,000 after having set a new all-time high at around $66,000 in the previous month. Miller said he added “a fair amount” of bitcoin to his portfolio at $30,000, in addition to SDIG, MSTR, and other Bitcoin-linked companies.
“In the United States, Franklin Roosevelt confiscated everybody’s gold in 1933,” Miller said when asked why he invests in bitcoin since he lives in the U.S., which is supposedly stable, and not in a country like Argentina. “You had to turn it in or you went to jail.”
Miller went on to highlight that differently than gold, “they can’t confiscate your bitcoin,” providing a unique store of value that stays in control of its owner regardless of who’s in office and what their agenda is.