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Oct 2023
59m 46s

Ray Dalio - Risk, Return, and Asset Allo...

Columbia Business School
About this episode

Navigating the complex world of wealth creation and financial history can be daunting. That's why our guest, Ray Dalio, places a strong emphasis on understanding the evolution of wealth, the current economic landscape, and the patterns that govern financial markets.

 

As an iconic investor and author, Ray offers a wealth of knowledge backed by years of experience in the finance industry. He has written the seminal book, "Principles for Navigating Big Debt Crisis," which serves as a crucial resource for anyone interested in understanding historical financial crises.

 

Ray is a legendary investor and the founder of Bridgewater Associates, one of the largest hedge funds in the world. He has extensive experience with debt crises, having navigated them multiple times in his career. In addition to his achievements in finance, he is the author of several highly acclaimed books that have garnered him a massive following both inside and outside of the financial community. 

 

In this episode, Ray, Michael, and Tano discuss a range of topics from the evolution of wealth throughout history to the rise of populism in the modern world. They delve into the role of capital markets in wealth creation, the importance of understanding risk-return trade-offs, and much more. Ray also shares his unique perspectives on the challenges faced by countries like China and talks about the importance of deleveraging in today's economic climate.

 

Join us as we dive deep into these captivating topics with one of the most brilliant minds in the finance industry. Stay tuned for an enriching conversation that promises to offer valuable insights and much more!

 

 

Key Topics:

  • An overview of Ray’s background (2:56)
  • Ray’s early foray into commodities (5:18)
  • Shifting from micro to macro via commodities (6:59)
  • Founding and pivoting Bridgewater (8:37)
  • Alpha and beta separation in investing (11:29)
  • Client portfolio customization, beating traditional methods  (14:04)
  • Decision systemization for diverse returns (16:13)
  • Navigating 2008 with debt dynamics knowledge (21:42)
  • Transition from assets to future earnings (26:00)
  • Market links to economic boom, risks of future promises (31:48)
  • Growth's double-edged sword: innovation vs. debt and conflict (33:15)
  • US-China war likelihood in the next decade (39:34)
  • China's trio of challenges: Debt, demographics, economic model  (46:37)
  • Advocacy for bipartisan societal reform (54:06)
  • Ray’s book recommendations (58:28)
  • And much more!

 

Mentioned in this Episode:

 

Thanks for Listening!

 

Be sure to subscribe on Apple, Google, Spotify, or wherever you get your podcasts. And feel free to drop us a line at valueinvesting@gsb.columbia.edu.

 

Follow the Heilbrunn Center on social media on Instagram, LinkedIn, and more!

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