He calls Chinese people country bumpkins and he puts on eyeliner delicately. Vice President Vance, who is at the center of controversy, is the center of attention in Washington, where the political spectrum is colliding fiercely. Today, let's talk about this rising star in the political arena who came out of the Rust Belt in Ohio. He manages assets worth more than $5 million with a strategy that combines Silicon Valley venture capital thinking with middle-class financial management logic. Among them, 6% of Bitcoin allocation and 72% of US stock index fund portfolio have become samples for global investors to study.
1. Core Strategy: Investing in the U.S. with Three Major Indexes
Vance's investment portfolio is consistent with his political philosophy, with 72% of his positions evenly distributed in three major ETFs: Nasdaq 100 (24%), S&P 500 (24%), and Dow Jones Industrial Average (24%). This seemingly conservative configuration is actually a historically proven wealth growth engine, investing in the destiny of the United States:
The Nasdaq 100 is anchored to technology giants such as Apple and Microsoft, with an annualized return of 13.93% over the past 20 years, far exceeding similar assets; the S&P 500 covers 500 leading companies and will maintain an annualized increase of 17.03% during the Federal Reserve's interest rate cut cycle in 2024; the Dow Jones Industrial Average focuses on traditional blue chips such as Boeing and Disney, providing stability to the portfolio.
This strategy of buying national fortune is essentially a full-scale bet on the US economic ecosystem. Data shows that since 1970, if you buy the three major indexes at any time and hold them for 10 years, the probability of positive returns exceeds 92%. Brother Vans' eyeliner expenses are all covered by these investments.
2. Cryptocurrency layout: the triple value of a 6% position
In the framework dominated by traditional assets, Vance's allocation of Bitcoin ETF is the finishing touch. The logic behind holding a 6% position through Fidelity FBTC is far from simple speculation. This is also his political pledge to the crypto president Trump, proving that he supports crypto economic policies. In addition, there are multiple values:
1. Hedging against depreciation of fiat currency
After the Fed's interest rate cut cycle began in 2024, the purchasing power of the US dollar shrank by 3.2% annually. As a digital gold with a fixed supply of 21 million pieces, Bitcoin has shown a strong negative correlation of -0.68 with the US dollar index in the past three years. In Vance's portfolio, Bitcoin ETF and gold ETF form a double inflation barrier.
2. Geopolitical leverage
The US government currently holds more than 200,000 bitcoins. Vance's holdings are in line with the trend of national strategic reserves. The "Draft Digital Asset Regulatory Framework" he promoted has clearly classified Bitcoin as a commodity, clearing the way for institutional funds to enter.
3. The key to intergenerational wealth
Survey data shows that the proportion of Generation Z holding cryptocurrencies (47%) has exceeded that of stocks (39%). Vance indirectly holds cryptocurrencies through ETFs, which not only avoids technical risks such as private key management, but also takes a position in the asset form changes in the next 20 years. When Bitcoin breaks through $60,000 in 2024, this position contributes 38% excess returns to its portfolio.
3. Risk Control: Building a Four-Dimensional Protection Network
Vance's satellite position design is a model of hedging art, fully demonstrating the technical configuration of not putting all eggs in one basket.
Gold ETF (6%) : The volatility is only 18% during the Israeli-Palestinian conflict in 2024, which effectively buffers stock market shocks;
20-year US Treasury bond (6%) : locks in a 3.8% coupon yield, with a -0.3 correlation with US stocks. When the stock market crashed in Q4 2024, this position rose 9% against the trend;
Crude Oil ETF (2%) : Negatively correlated with technology stocks, capturing cyclical opportunities during energy crises;
Individual stocks (6%) : Invest in the conservative video platform Rumble to hedge against the risk of technology regulation that may be initiated by the Democratic Party.
This multi-level hedging ensures that the portfolio’s maximum drawdown during the 2024 market shock is only 9.2%, significantly better than the 14.6% drop in the S&P 500 index during the same period.
IV. Replicable strategies for ordinary investors
Vance's investment framework is highly operational for individual investors, combining conservative and aggressive approaches to generate alpha returns that keep up with the times.
1. The 80/20 Rule
Allocate 80% of the funds to low-fee broad-based ETFs (such as the S&P 500 ETF, which has an annual management fee of only 0.03%), and use 20% of satellite positions to capture opportunities in alternative assets. Data shows that since 2000, the annualized return of this strategy has reached 9.8%, and the volatility has been reduced by 37%.
2. Dynamic rebalancing
Adjust holdings to the target ratio every year. For example, in 2024, Vance liquidated Walmart and crude oil ETFs and increased funds to Bitcoin and Nasdaq 100. Ordinary investors can maintain a stable risk exposure through quarterly adjustments.
3. Policy arbitrage thinking
Pay close attention to policy trends and market news from Washington to Wall Street. Vance's deregulation policy has directly led to a net inflow of $4.7 billion in Bitcoin ETF funds in the first quarter of 2025.
In short, for ordinary investors, the biggest revelation of Vance's strategy is that wealth accumulation is essentially a rational bet on the trend of the times. From betting on the long-term bull market of US stocks to laying out digital assets, every step he took accurately hit the macro cycle node. As he wrote in his autobiography: Finding order in chaos and capturing certainty in volatility is the ultimate wisdom of investment.
