Dalio Talks Debt Crises in New Book

In an interview with CNBC in September, Bridgewater Associates founder Ray Dalio discussed his new book, “A Template for Understanding Big Debt Crises,” in which he shares lessons learned from history’s financial downturns. Dalio’s book describes the six stages that lead to debt crises. Of these, he says, the most important is the “bubble stage” in which asset prices are rising and people are borrowing excessively. “Central banks don’t pay much attention to the bubble… Read More

Ray Dalio on the Odds for Trade and Other Wars

A recent Bloomberg article recounted comments made my Bridgewater Associates founder Ray Dalio on LinkedIn. Here are a few: “Recent geopolitical developments have led me to raise my probabilities of trade and other types of wars, such as capital wars, cyber wars (and possibly even shooting wars).” Dalio described current trade talks with China as a “public game of chicken” since President Trump “raised the stakes by another $100 billion.” While he initially “thought trade… Read More

Ray Dalio Talks to Google About his “Principles”

In a recent talk at Google, Bridgewater Associates CEO Ray Dalio discusses his views on life stages, the evolution of Bridgewater and the “idea meritocracy” upon which the firm is built. Dalio explains that an idea meritocracy is born of partnering meaningful work with meaningful relationships, and that this is accomplished through “radical truthfulness and radical transparency”. His presentation to the Google audience includes various slides and video clips that illustrate his approach. Within Bridgewater,… Read More

Dalio’s $22 Billion Bet Against Europe

Billionaire fund manager and Bridgewater founder Ray Dalio is “leading his firm down a path few other funds care to tread,” that involves selling off European holdings to the tune of $22 billion. This according to a recent article in Bloomberg. The article explains that Europe’s strong economy, tight labor market and rising interest rates are factors that fulfill Dalio’s “sell” requirements. Last year, it reports, Europe’s economy grew at the fastest pace in a… Read More

Ray Dalio Says Recession Risks on the Rise

Billionaire Ray Dalio recently said that the Fed’s response to strong economic data and increased fiscal spending could lead to an “economic slowdown.” This according to a CNBC article. Dalio, founder of Bridgewater Associates, argues that we are in a stage of the economic cycle in which “the central banks’ getting monetary policy right is difficult,” and that “the risks of a recession in the next 18-24 months are rising.” He says that, while most… Read More

Ray Dalio: Recent Market Dips Are Minor Corrections

The head of Bridgewater Associates, the world’s largest hedge fund, says that “the latest sell-off in stocks and bonds is evidence of typical market behavior in the later parts of a cycle and has come sooner than the firm expected.” This according to a recent article on CNBC.com. The article cites a recent blog in which Dalio explains how the current “late-cycle” behavior is more pronounced due to the increased sensitivity of investment assets to… Read More

Ray Dalio Says Market Surge Ahead

 At the recent World Economic Forum in Davos, Switzerland, billionaire Ray Dalio told CNBC that the coming tax cut could lead to big gains for the U.S. stock market. “We are in a Goldilocks period right now,” said the Bridgewater CEO. “Inflation isn’t a problem. Growth is good,” he said, predicting a “market blow off” rally fueled by cash from banks, corporations and investors. “There is a lot of cash on the sidelines,” he added. “If… Read More

Hedge Fund Titan Ray Dalio Says American Debt Likely to be a Drag on Growth

Although Bridgewater Associates founder Ray Dalio doesn’t see a market crisis in the near term, he believes that Americans have accumulated more debt than their assets and income can support. This according to a recent article in The Wall Street Journal. This will “drag” on growth and markets, says Dalio, leaving the economy “acutely vulnerable” to higher interest rates, arguing that the Fed is now being forced to balance containing inflation through rate hikes with… Read More

The Bridgewater Culture and “Principles” of Ray Dalio

Westport, Connecticut-based Bridgewater Associates, the largest hedge fund firm in the world, was one of the first to “embrace quantitative analysis,” according to a recent article in The New York Times that  delves into the idiosyncrasies of the Bridgewater culture—both positive and negative—on what it terms a “rigid and sometimes oppressive work environment.” The article describes the strict set of rules, or “Principles,” created by CEO Ray Dalio , which include “advising employees not to… Read More

Podcasts of the Week: Dalio, Bass, Gardner & Egan

By Jack M. Forehand — As I discussed in my Best Investing Podcasts article last week, podcasts have become a great source of investing knowledge for me. The format allows for conversations with much more depth than traditional mediums like TV and radio and I tend to learn at least one thing I didn’t know before from each episode. Given that there are many podcasts, and most people lack the time to listen to all… Read More