Fund Founder Dalio: Suggests Investing 15% in Gold and Bitcoin

Bridgewater founder Ray Dalio has advised investors to allocate at least 15% of their assets to gold and bitcoin, citing concerns over the US debt issue becoming increasingly severe, with potential currency devaluation risks.

Dalio notes that the US government's spending exceeds its income by 40%, and it is unable to truly cut spending, resulting in accumulated debt being six times higher than income. Annual interest payments amount to $1 trillion, equivalent to half of its budget deficit. The US government can only repay debt through issuing more bonds and the Federal Reserve "printing" money. This has led to a increasingly panicked market scenario, with some believing that large-scale quantitative easing policies or the government controlling the Federal Reserve could trigger another major collapse.

Given these risks are not yet reflected, Dalio suggests investors allocate at least 15% to gold or bitcoin as a hedge against fiat currencies and cash (such as bonds). He strongly leans towards gold over bitcoin, as central banks will not use cryptocurrencies as reserve currencies. Dalio owns some gold and bitcoin, but the amounts are small.