The name Ray Dalio is often mentioned in the amazing world of finance and investing? He is another guy I would rank as one of the world’s guru investors. In the following sections, I will introduce Ray and tell you some more fascinating information about him and his career. Enjoy!
Ray Dalio – Background
Raymond Thomas Dalio was born in New York on 8 August, 1949. He is an American billionaire hedge fund manager and philanthropist who has served as co-chief investment officer of Bridgewater Associates since 1985. He founded Bridgewater in 1975 in New York and in 2013, it was listed as the largest hedge fund in the world.
A hedge fund is, in simplified terms, an investment company that invests its clients’ money in alternative investments to either beat the market or provide a hedge against unforeseen market changes. Leading hedge funds will make money in rising and falling markets.
Roy is also an author and his recent book published in 2017 (Principles: Life and Work ) proved to be very successful and extremely well received throughout the world. In the words of Michael Bloomberg, “Ray Dalio’s market acumen is legendary, but it was creating and living by a set of principles that allowed him to reach the top. Everyone with goals and dreams can learn from Ray’s approach”.
Ray Dalio – Education
Ray attended Long Island University and completed a bachelor’s degree in finance. He then went on to complete an M.B.A. from Harvard Business School in 1973.
It is understood that Ray began his illustrious investing career at age 12 when he bought shares in Northeast Airlines for $300 and tripled his investment after the airline merged with another company. So, investing and making money from investments was in the blood from an early age.
Ray Dalio – Investment Successes
In 1975 he founded investment management firm Bridgewater Associates out of his apartment. The firm opened an office in Westport, Connecticut in 1981 and became the world’s largest hedge fund in 2005. As of October 2017, it had $160 billion in assets under management with approximately 300 institutional investors. Bridgewater is a macro manager that trades in more than 150 liquid markets throughout the world, including stocks, bonds, currencies, and commodities.
Ray Dalio – What is he doing now?
Ray has a strong regard for giving back to society and his philanthropic contributions have been strongly pursued. In April 2011, Dalio and his wife joined Bill Gates and Warren Buffett‘s Giving Pledge, vowing to donate more than half his fortune to charitable causes within his lifetime.
According to Forbes, his current net worth as of 10 Sep 2020 was $US16.9 billion which makes him the 46th richest person in the world.
It is understood that around 80% of his portfolio is currently invested into index funds. In 2020 his largest Index Fund investment is via the ‘SPDR S&P 500 ETF Trust’.
Ray Dalio – Inspirational quotes
A few inspiring quotes from Ray follows:
- If you’re not failing, you’re not pushing your limits, and if you’re not pushing your limits, you’re not maximizing your potential
- You must not let your need to be right be more important than your need to find out what’s true
- Almost nothing can stop you from succeeding if you have flexibility and self-accountability.
Your PROFITABLE ACTION STEPS this time around:
- Continue to expand your knowledge regarding some of the world’s great investors. If you want to dig deeper on Ray Dalio there is some great reading available including: “Principles: Life and Work” and “Big Debt Crises”
- Check out my recent article on the ‘Rule of 72’
- If you haven’t already, go to my home page and download my Passive Income Guide. It describes a number of ways to earn income with minimal ongoing effort (in most cases) and it’s ABSOLUTELY FREE.
Stay safe, healthy and wise and most importantly of all, take ACTION.