Standard Chartered has proposed a revised version of the “Magnificent 7” tech index—dubbed “Mag 7B”—which replaces Tesla with bitcoin. The bank’s analysis found that this “Mag 7B” hypothetical index delivers higher returns and lower volatility than the original Mag 7 index, suggesting bitcoin could enhance traditional tech-focused investment strategies.
Geoffrey Kendrick, head of digital assets research at Standard Chartered, argues that bitcoin behaves more like a tech asset than a commodity in the short term, often showing stronger correlation with the Nasdaq than with gold. By treating bitcoin as both a tech stock and a hedge against the risks of traditional finance, the revised index reflects how institutional investors might increasingly incorporate the cryptocurrency into diversified portfolios.
