Ray Dalio's Investment Preferences

Billionaire investor Ray Dalio shared his preference for gold and bitcoin over debt assets as global indebtedness rises.

"I want to steer away from debt assets like bonds and debt, and have some hard money like gold and bitcoin," said Dalio, founder of Bridgewater Associates, during a speech at the Abu Dhabi Finance Week, as reported by South China Morning Post.

Dalio pointed out that all major economies, except for Germany, have experienced unprecedented levels of indebtedness. He emphasized that "it is impossible for these countries to avoid a debt crisis in the years ahead that will lead to a great decline of [money] value," according to SCMP.

This stance is striking, especially considering Dalio's previous skepticism towards bitcoin. In February 2023, he expressed to CNBC that he does not see bitcoin as effective money: "It's not an effective store of wealth. It's not an effective medium of exchange."

Dalio also stated, "I don't think digital currencies will succeed in the way people hope they would," citing volatility and limited use cases as challenges in 2020.

However, he did reveal ownership of bitcoin in 2021. After relinquishing control of Bridgewater in October 2022, Dalio previously stepped down as chairman and CEO in 2021 and 2017, respectively.