Ray Dalio Is Putting His Money Where His Mouth Is

Ray Dalio was insanely bullish about emerging markets and gold at the beginning of March. Here is what we wrote about his thoughts:

“US Equities first are comparatively cheap but more importantly flows are beneficial to them,” Dalio said.

He thinBRIDGEWATER ASSOCIATESks most currency devaluations are bullish. Dalio expects emerging market funds, like Sovereign Wealth Funds (SWFs), that invest in bonds will shift into equities and these capital flows will benefit equities.

He’s bullish about US equities but he’s more bullish about emerging market equities and bonds. “Portfolios have too much concentration in developed countries’ stocks and bonds relative to other assets,” said Dalio. “The key thing is going to be diversification. Most investors have too much dollar denominated assets or too much of their portfolio in developed countries. I don’t think that they have typically much gold in their portfolio. Gold is a form of money…The main theme now for investors is that if they diversify their assets into other assets, I think other assets will perform better. It will also lower the risk of their portfolio.”

Recently Ray Dalio’s Bridgewater filed its 13F form with the SEC. Bridgewater increased its emerging markets bets by around 8% since the end of December. Ray Dalio had more than $750 Million in Vanguard International Equity Index Funds (VWO) at the end of March. He also had more than $500 Million in iShares Emerging Markets ETF (EEM). He didn’t have any of the popular gold ETFs or gold miners ETFs.

Ray Dalio trimmed his MSFT bets by 8% despite the decline in Microsoft’s stock price. Microsoft is still the largest stock position in Dalio’s portfolio. Ken Fisher’s Fisher Asset Management, Jean-Marie Eveillard’s First Eagle Investment Management, Boykin Curry’s Eagle Capital, Bill Miller’s Legg Mason, and Phill Gross and Robert Atchinson’s Adage Capital had the largest positions in Microsoft among the 300+ funds we follow.

Ray Dalio’s second largest stock holding is General Electric (GE). Bridgewater boosted its holdings by 20% during the first quarter. D.E. Shaw and Bruce Berkowitz’s Fairholme are the largest holders of GE. Sandy Nairn’s Edinburgh Partners, James Dinan’s York Capital, Warren Buffett’s Berkshire, and Steve Cohen’s SAC Capital had at least $100 Million in GE at the end of March.

Dalio’s two largest new stock positions are Motorola Solutions (MSI) and Costco Wholesale (COST). Warren Buffett, Andreas Halvorsen, Bruce Kovner’s Caxton, SAC’s Sigma Capital, and Richard Chilton’s Chilton Investment Company are among the holders of Costco. Here is a summary of  Ray Dalio’s recent portfolio activity:

Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The Best B-Boy Movies

Most Awesome Hip Hop Documentaries

Foods That Stain Your Teeth

Richest Doctors in the World

The Best Movie Sountracks Ever

The Highest Grossing Musicals on Broadway

The Most Successful Reality TV Stars

Cheapest Cities to Visit in the US

Most Expensive Summer Camps

Most Expensive Animals in the World

Most Expensive Specialty Crops in the World

Movies That Took Ages to Make

The Longest Hollywood Films Ever Made

Most Expensive Concert Stages

The Richest Bands of all Time

10 Most Corrupt Countries 2013 List

10 Countries with the Highest Quality of Life Index

Most Expensive Mattresses in the World

5 Smallest Countries by Land Area

The Ultimate Heartbreak Songs

Richest Teenagers in the World

10 Most Haunted Places in America

10 Best Places to Retire in Florida East Coast

Top 10 Places to See Before You Die

Top 8 Countries in the World Where Justice Prevails

10 Richest States in America

15 Wealthiest Countries in the World

Richest Singers in the World

Most Expensive Tasting Menu in New York City

Most Expensive Baby Items in the World

Most Expensive Hotel Suites in Vegas

Most Expensive Brunch in New York City

Most Expensive Beef Cuts in the World

25 Best Colleges to Get a Job

Top 10 US Supermarkets

The 25 Most Dangerous Cities in the World to Visit

Most Expensive Xbox Games

Top 11 Cities Where Billionaires Live

Top 10 Most Charitable Companies in America

Most Expensive Seafood in the World

The 10 Wildest Conspiracy Theories

The 10 Best Job Markets in the US

Top 10 Accounting Scandals of All Time

The 25 Biggest Cities in the World

Top 10 Best Paying Virtual Jobs

Most Expensive Leather Shoes in the World

Top 6 Things to Buy in March

The 10 Most Stressful Jobs in America – 2014 List

Top 10 Jobs for Introverted People

Top 10 Honeymoon Destinations in the World

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!