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So You Want Bridgewater To Manage Your Money? There Is One Small Condition
When it comes to the world's largest hedge funds, none is bigger than Bridgewater. Yes, some hedge funds may apply massive leverage to their AUM to boost their regulatory assets by orders of magnitude (such as Ben Bernanke's new employer Citadel has done for the past decade), but when stripping away all artificial bells and whistles, nobody can match Ray Dalio's behemoth, which launched in 1975 and which according to whose annual regulatory filing with the SEC, "Bridgewater’s assets under management increased from $150 billion as of 12/31/13 to approximately $154 billion as of 12/31/14."
So, for whatever reason, say because you enjoyed listening to Ray Dalio talk about an imminent beautiful deleveraging, since utterly disproved and replaced with secular stagnation as the theme du jour, because you are impressed with the fund's 14% return YTD due to a huge bet against the EUR, because you want your money to be managed by a robot, or because you just have to be part of the biggest thing out there, you want to have Bridgewater manage your asset for you.
Sure, no problem. there are a few small conditions one must satisfy...
Bridgewater investors must be sophisticated investors who (i) can afford the risks associated with futures, commodities, currencies, options, forwards and other derivatives trading in fixed income and equity securities, and (ii) have sufficient knowledge and experience in financial and business matters to evaluate the risk of an investment in a fund or account managed by Bridgewater and determine its suitability.
... and one slightly bigger one:
Bridgewater generally requires that its Clients have a minimum of $5 billion of investable assets. Generally, the minimum initial investment in a fund managed by Bridgewater is in accordance with the minimum fee requirement for that strategy, as detailed in Item 5.
Oops. This is like the Groucho Marx joke about joining clubs... only in reverse.
As for item 5?
For new client relationships, Bridgewater’s standard minimum fee is expected to be $500,000 for its All Weather strategy, $1,000,000 for its Pure Alpha and Pure Alpha Major Markets strategies, and $4,750,000 for Optimal Portfolio. Bridgewater funds often invest in other Bridgewater funds. In such cases, there is no layering of fees.
Yes, you read that right: some hedge funds use 500,000/1,000,000 as the minimum investable capital. Bridgewater, however, makes it clear in advance that that is the "minimum fee" you will be charged, irrelevant of how your assets perform subsequently.
Unable to meet these conditions?
Tough. Then you will have little choice but to give your money to some unverified fraud on Twitter who tweets 24/7 in hopes of attracting even more fools or appearing on financial comedy TV all day long, instead of actually managing your money.
Or, worse, you can trade on your own. As a reminder, here is who you will be trading against.
For everyone else congratulations: because while there are funds of hedge funds, populated by C-grade asset managers who never managed to make it on their own in the front office, there is also a fund for hedge funds. One that doesn't need Ben Bernanke as an "advisor" to help it navigate the very rough waters that are dead ahead.
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Where should I send my money to?
Does anybody actually know how Virtu and the likes actually make money? I doubt it is purely front running.
"Personal cheque gonna be OK? Might have to wait till the end of the month to cash her?
I do have to switch some funds. The charity I like to work with is gonna take a hit."
Let me check my portfoio value as of COB today.... no, still a little shy of the minimum.
Watch Bridgewater shit the bed soon.
Think not? Ask BlackRock (Fink's tied-into-the-FRBNY outfit) investors circa-2005 to 2008 how things turned out.
Tops are like obscenity; hard to describe but obvious when seen.
There is something I miss there . Why a hedge fund who makes money every day, like virtu does need to go expose itself and all its accounting and calculations for the sake of raising money ? Why virtu , if he makes money every day needs to raise 300 million (which in hedge fund world is merely peanuts ) through an iPo?
My take is they are not actually making those money and number and the management is now clearly trying to make money by flipping shares
I'm making over $7k a month working part time. I kept hearing other people tell me how much money they can make online so I decided to look into it. Well, it was all true and has totally changed my life. This is what I do... www.globe-report.com
Looks like golden torch is the only one of us who can meet the Bridgewater minimum.
God, I wonder if they are hiring.
Theyre always hiring, that place has ridiculous turnover.
since these guys are making money every day....who is losing?
All the dead in Middle East and Ukraine, maybe.
They bet against the Euro and a handful people have won.
500 million Europeans living with a cheaper Euro have lost.
No one necessarily has to be losing. They may be losing value on their trades but that doesnt mean it is an overall loss. HFT Front Running is basically just a tax on all trades. Or, most at least. And that tax is going to these scumbag hedgefunds.
Retail / corporate clients lose all day every day by paying over the top spreads
Nice work if you can get it.
Bridgewater needs to payoff it's margin calls.
Well , they only accept pensions funds and cbs anyways. Not even the 0.1% gets to play on this blackjack table.
You guys are just figuring this out now???
We have been here for years. Sometimes you cannot overdose the patient. It's a uphill battle for me. I curse and drop f bombs. Because I care and love the people around me. Changing mindset is not easy.
Fees like that can buy a helluva lot of hookers and blow. And everybody loves the Friday midget toss...!
We should start flooding their inbox with spurious applications.
I just checked my passbook and I'm a little short. Would you accept $332.57?
Log onto itunes and download America's Bad Bet App. It really doesn't exist. For now. Gamble your way to prosperity.
"Dah...that's peanuts! i''l send u the funds in Nickel's and dimes so it cant be traced...."
FUCK OFF.
Tough. Then you will have little choice but to give your money to some unverified fraud on Twitter who tweets 24/7 in hopes of attracting even more fools or appearing on financial comedy TV all day long, instead of actually managing your money.
That would be you, Barry Ritholtz.
Barry "When A Dozen Custard Donuts Just Isn't Enough" Ritholtz.
I'll take two with a side of mashed potatoes, heavy on the gravy, and a large grape soda
This guy is more desperate and has bigger balls than Madoff. Who the F*ck has $5b and is greedy/desperate enough to try to make an extra dollar on it with the potential risk of getting Corzined?
You can buy a real bridge with $5b and get all the water below it free. The Bridgewater name suits them well. LOL.
Apparently they figure that there are plenty billionaires looking for a suitable fund manager
Just confirms the absolute absurdity of our financial systems.
There are 0.01% winners or plantation owners and 99.99% losers or slaves.
Why we keep feeding the 0.01%, making their beds, cleaning their houses and mowing their lawns and many other things.. I don't know
This class is too expensive to maintain which is why this class needs to be culled - not the other way around
Most of Bridgewater's clients are central banks and institutional investors like banks, pension funds, unions, and insurance companies. They are looking for to park their money with someone who has both an excellent track record for growing the investments entrusted to him and a reputation for unimpeachable honesty and ethics. Ray Dalio has a personal net worth of over 15.2 billion dollars and is heavily involved in philanthrophy----to the tune of over 109 million dollars in 2014. His employees are well-paid and both Dalio and the company overall have always been found to be squeaky clean in terms of ethics.
Bridgwater are ALL criminals everyone of them. Do your diligence & look at their BOD, Past affiliations names etc. You can"t roll in it w/o getting any on you. ALL THUGS & CRIMINALS.
If you have evidence of wrong-doing let's see it.
While I respect Ray Dalio and all, I've got to ask-
5 billion? Really????
If you are at the point in your life where you have 5 billion and are still looking to make money, I don't think you will ever be satisfied.
I don't want to invest with a guy who has a picture taken after the photographer just said "work with me ...gay up, give me your good side". OK - I have no money to "invest" but let's not get hung up on details.
So, even among the uber wealthy there is a hierarchy. There is alsways someone more advantaged than you. There is always the we's and they's.
FOR CRYING OUT LOUD, PLEASE COME UP WITH A DAMN FILTER ALREADY TO BLOCK THESE "I'M MAKING 7K/MON" SPAM POSTS.
zerohedge readers are just mad that ray dalio is an italian boy from long island and not some vampire blood sucking jew
hhaha
you white supremecist idiots dont have a nice WASP to look up to now!!