Fidelity’s Jurrien Timmer: Asset Inflation is Happening Now

Fidelity’s Jurrien Timmer sat down with Blockworks in Bretton Woods to talk about market bubbles, asset allocation and gold versus bitcoin.


Jurrien Timmer, director of global macro, Fidelity


key takeaways

key takeaways

  • Timmer thinks we are in a period of overvaluation in the market, and he has the math to back it up
  • There is a place for both bitcoin and gold when it comes to portfolio allocation, he says

Earlier this month at the Bretton Woods: The Realignment conference, Jurrien Timmer, the director of global macro at Fidelity, shared his thoughts on the current state of the market and what asset allocation should look like in a period of overvaluation. 

“I think the word ‘bubble’ gets overused,” Timmer explained. “But there is clearly asset inflation, and you can actually quantify that.” 

The discounted cash flow model, Timmer said, is showing an inflation of 5 price-to-earning points for the S&P 500. It’s not quite a bubble in Timmer’s view, but it is a clear example of asset inflation. 

Timmer, a self-proclaimed traditional asset allocator, is a long-time believer in the 60/40 model, but there is a place for digital assets and gold in a diversified portfolio. 

“When I’m thinking about gold and bitcoin, I think of them as different players, but on the same team,” he said. 

Gold cannot compete with equities over the long run, but it can compete with bonds in a period of monetary inflation, which is where we are today, Timmer explained. Bitcoin does have an edge in scarcity and network impacts, but both are stores-of-value assets. 

Watch my full interview with Timmer below.

Want more investor-focused content on digital assets? Join us September 13th and 14th for the Digital Asset Summit (DAS) in NYC. Use code ARTICLE for $75 off your ticket. Buy it now.


Upcoming Events

Hilton Metropole | 225 Edgware Rd, London

MON - WED, MARCH 18 - 20, 2024

Crypto’s premier institutional conference returns to London in March 2024. The DAS: London Experience:  Attend expert-led panel discussions and fireside chats  Hear the latest developments regarding the crypto and digital asset regulatory environment directly from policymakers and experts   Grow your network […]

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]

recent research

Frax report cover.jpg


Frax saw continued development in its frxETH liquid staking derivative and Fraxlend money market throughout 2023. Frax V3 introduces an RWA strategy to drive utility to the protocol's cornerstone product, the FRAX stablecoin.


Bitcoin has rebounded 130% so far this year


Following layoffs at BAYC parent Yuga Labs and OpenSea, Tiger Global marked down its stakes


Recent SEC filings suggest the regulator could be lining up the approval of multiple proposals in early January, segment observers argue


A dinner back in September gave big traders a heads up about the DOJ settlement, Bloomberg reported


On-chain debt capital markets platform deploys on Coinbase-incubated layer-2 after structured investment products push


Past performance is not indicative of future results, sure, but no need to rain on the bitcoin price parade just yet