Why Are Active Bond Funds Considering Bitcoin Exposure? March 1, 2021 With interest rates low, managers of active fixed income funds are looking for ways to boost returns. Bitcoin could actually be part of that equation. Bitcoin and other digital assets are considered alternative assets, meaning they’re unlikely to proliferate in significant fashion, but some managers may be nibbling at the largest cryptocurrency. “At this point, nontraditional bond funds, which have the most latitude to take risks, are the most likely to incorporate some form of bitcoin exposure,” according to Morningstar. “In fact, BlackRock added prospectus language in January giving two of its mutual funds the flexibility to invest in bitcoin futures. That included nontraditional bond strategy BlackRock Strategic Income Opportunities (BSIIX) as well as BlackRock Global Allocation (MALOX).”