Billionaire Ray Dalio said investors should reduce their bond holdings and put as much as 15% of their money in gold to hedge against the risk of a US debt crisis that he warns could be just three years away.
In a LinkedIn post Friday, the Bridgewater Associates founder said investors should diversify across assets and countries with strong finances. Underweighting bonds and holding about 10% to 15% of a portfolio in gold and “a bit” of Bitcoin could both reduce risk and boost returns, said Dalio, who has long warned about the dangers of mounting government debt.