Ray Dalio is one of the world’s most influential investors and the founder of Bridgewater Associates, the world’s largest hedge fund. Known for his macroeconomic insights and data-driven approach, Dalio has built a reputation for predicting major market cycles — including the 2008 financial crisis. When he issues a warning, investors tend to listen.
Dalio recently cautioned that rising U.S. government debt and interest obligations are pushing the financial system toward what he calls a potential “financial heart attack.” (reuters.com)
As part of his prescription, Dalio recommends investors allocate
10–15% of their portfolios to gold, arguing that non-fiat stores of value like gold become essential when traditional assets and currencies face stress. (reuters.com)
Bridgewater’s recent moves reflect this stance. In the first quarter of 2025, the hedge fund cut its holdings of the SPDR S&P 500 ETF (SPY) by roughly
59–60%, reducing its weight in the firm’s publicly disclosed U.S. equity portfolio from around
22.1% to 8.7%. (benzinga.com)
At the same time, Bridgewater increased its exposure to
GLD (SPDR Gold Trust) and shifted allocations toward international and emerging market assets, a sign the firm is actively hedging against U.S. equity market concentration and potential dollar weakness. (benzinga.com)
RSG Market Watch Takeaway
When one of the most respected investors in the world warns about systemic risk, and backs it up with bold portfolio moves, it’s a signal worth paying attention to. Allocating
10–15% of your portfolio to gold can provide ballast when equities and fiat currencies come under pressure. Precious metals like gold and silver have historically helped investors preserve purchasing power during periods of high debt, inflation, and market turbulence. Including physical metals in your portfolio can add stability and help you prepare for what may be a new era of financial volatility.
