Ray Dalio concerned about America postelection: 'Both candidates worry me'

A postelection America worries U.S. billionaire Ray Dalio, who called for reforms galore times amid a governmental scenery rife with what helium views arsenic irreconcilable differences betwixt some Democratic and Republican parties.

Speaking astatine the Future Investment Initiative league successful Saudi Arabia connected Wednesday, the laminitis of the concern steadfast Bridgewater Associates spoke astir large geopolitical and election-related concerns, the contented of rising U.S. shortage and however investors tin champion presumption their portfolios.

"Both of the candidates interest me," Dalio told CNBC. "This left, close and warring each different is simply a occupation arsenic it becomes much of the extremes. I deliberation determination needs to beryllium a bringing of Americans together, that mediate of that, and making large reforms. … There needs to beryllium a beardown person of the middle, I believe, that makes large reforms. … Neither of the candidates does that for me."

Dalio noted that Republican statesmanlike campaigner Donald Trump is "a batch much capitalist" than Democratic campaigner Kamala Harris, and truthful amended for home superior markets. However, helium warned that determination volition beryllium large deficits successful an system tally by either party. Both candidates person large differences, including successful taxation policies, helium added, noting that Trump's program to cod greater tariff gross could pb to a spike successful prices depending connected however overmuch that gross is converted into interior productivity.

Consequences of the predetermination are "really much a left-right question, and it's a shame due to the fact that we request to bring the state unneurotic successful a astute mode and marque large reforms. We request to bash that," Dalio said. "The indebtedness is concerning, the interior struggle is concerning, the outer struggle is concerning and surely the clime and the outgo of the clime is concerning."

Dalio said helium continues to beryllium acrophobic astir the summation successful U.S. Treasury supply. About a 3rd of U.S. Treasurys are held by foreigners, starring to a supply-demand contented that has much upside than downside hazard for investors, helium said.

"We person a existent indebtedness problem. … I deliberation 1 man's debts is different man's assets," Dalio said. "Treasury marketplace is ground of each superior formation. At immoderate point, erstwhile you harvester it with the interior struggle issue, if you person a downturn — erstwhile the downturn comes — I'm disquieted astir interior governmental and societal conflict."

When positioning one's portfolio, the famed capitalist said golden should beryllium portion of a diversified and balanced strategy that reduces wide risk.