Founder of the world’s largest hedge funds says the ‘magnitude’ of the next downturn will be epic

Discussion in 'Wall St. News' started by dealmaker, May 14, 2017.

  1. 160bn is the entire BW AUM. All Weather is less than half of it, last I looked.
     
    #11     May 14, 2017
  2. Pekelo

    Pekelo

    Sure, quickly....
     
    #12     May 14, 2017
    nooby_mcnoob and ironchef like this.
  3. trdes

    trdes

    Stock market works like everything else, it goes through life cycles. Can't have unlimited growth in a world with finite resources and finite time (from a human perspective).

    We grow, than correct / crash and rebuild from there, until the next cycle. Just because he can't predict when this will happen doesn't mean it's not a valid comment, but I do understand the argument of eventually you'll be right if you call it. I just think it's important to recognize it's just a part of life in general including the markets.
     
    #13     May 14, 2017
    lovethetrade likes this.
  4. newwurldmn

    newwurldmn

    Are all of Bridgewater's funds some flavor of the same portfolio (with different parameters and leverage)?
     
    #14     May 14, 2017
  5. Mtrader

    Mtrader

    The only important thing is to be on the right side when it happens. All the rest doesn't matter.

    All these predictions, even if they are vague, don't care for me.
     
    #15     May 14, 2017
    tradethetrade likes this.
  6. lovethetrade

    lovethetrade Guest

    When self-driving vehicles are ubiquitous, global growth is declining, unemployment is rising and consumer spending is at all lows, that's when the market will do what Dalio is predicting.

    ...and given how much the market has appreciated, the anticipated correction will be huge, especially when you consider how long it will take for the structurally unemployed to develop new skills and the time it takes for governments to adjust their policies.
     
    Last edited by a moderator: May 14, 2017
    #16     May 14, 2017
  7. Well, I have no real way of telling, but Pure Alpha and All Weather seem to perform very differently and have different fee structures, so I'd imagine that they genuinely are different.
     
    #17     May 14, 2017
  8. trdes

    trdes


    Yeah, everyone knows it will eventually come and of course everyone wants to be on the right side of it. Believe me I am not any better as I've participated in the thread as much as anyone else, but this is really just another sky is blue and grass is green thread. Not that there's anything wrong with that, just saying.
     
    #18     May 14, 2017
  9. ironchef

    ironchef

    Why?
     
    #19     May 14, 2017
  10. lovethetrade

    lovethetrade Guest

    Because at some point the global economy will experience dimishing returns from automation and the large amount of structurally unemployed. This will require people to learn new skills and changes to government policies. These things take time.
     
    #20     May 14, 2017