Dalio Says Bridgewater Like An 'Intellectual Navy SEALs'

Jan 31 2014 | 12:41pm ET

Bridgewater Associates founder Ray Dalio took his gospel of radical transparency to the mainstream this week, with an appearance on "CBS This Morning."

The hedge fund billionaire sought to explain his "principles" and their controversial application at Bridgewater.

"What we do is we step back and we get to basically the fundamentals of how people think differently," Dalio told Charlie Rose. "What people are good or bad at. What they're like. We get at what they're like. And then what to do about that. It's like going into an intellectual Navy SEALs. That's what the experience is like, and the key question is, can you get over the ego barrier? Can you just find out what's true?"

Pressed on his own ego or lack thereof, Dalio acknowledged that, as Rose put it, wanting "to be the biggest and best hedge fund" and saying "I have defined the economic machine, which is the way the economies of the world work," could be thought of "as motivated by ego."

Dalio, however, prefers to think of it as altruism.

"Somebody in my position could say, 'OK, no,'" he's not going to share his insights, Dalio said. "But I'm saying that I'm 64 years old. I don't want to have fears… of being open. In other words, I'm not going to let a fear stand in the way of something that I believe is valuable."

Dalio also touched on the growing income gap, warning that it is only going to get worse.

"It's mostly a function of technology in a global workplace," he said. "In other words, technology is having an effect on that productivity that means you don't need people the same way that you did before."


In Depth

Debunking Conventional Investment Wisdom

Feb 8 2017 | 3:22pm ET

Due diligence in the hedge fund world has long involved some combination of the...

Lifestyle

'Tis the Season: Wall Street Holiday Parties Back In Fashion

Dec 22 2016 | 9:23pm ET

Spending on Wall Street holiday parties has largely returned to pre-2008 levels...

Guest Contributor

The Future of Private Equity: New Opportunities, New Challenges

Feb 3 2017 | 6:41pm ET

The private equity industry’s astonishing rebound since the financial crisis has...

 

From the current issue of