Ray Dalio: "If You Don't Own Gold, You Know Neither History Nor Economics"

Tyler Durden's picture


Bridgewater's Ray Dalio explains in under 120 seconds why everyone should allocate some of their portfolio to gold:

"If you dont own gold...there is no sensible reason other than you dont know history or you dont know the economics of it..."


Of course, few 'status quo' believers will pay heed to the $150 billion AUM fund manager, despite his imploring everyone that to be successful, one must "Think Independently, Stay Humble"

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Thu, 05/14/2015 - 17:05 | 6094596 rsnoble
rsnoble's picture

Actually, I do know my history.  In regards to gold, when you really, really need it--they take it from you.

Although I think confiscation may be considerably more sloppy this time.

Thu, 05/14/2015 - 17:07 | 6094599 rsnoble
rsnoble's picture

Also, if we get into any big wars with a few large bombs going off here and there...........they may not be able to take it.  So, it doesn't hurt to have it.  You can always sell it.

Thu, 05/14/2015 - 17:17 | 6094628 Supernova Born
Supernova Born's picture

Gold is virtue and politics is vice.

Conflict is inevitable.

Thu, 05/14/2015 - 17:22 | 6094650 Deathrips
Deathrips's picture

His lips is moving funny....is there a synced up video?


Digital fiat or paper money is literally infinate, metals and real resources arent. Any Questions?



Thu, 05/14/2015 - 17:24 | 6094670 Creepy A. Cracker
Creepy A. Cracker's picture

Gold wedding bands.  Many do own gold.  Melt them down!...

Thu, 05/14/2015 - 17:28 | 6094690 kaiserhoff
kaiserhoff's picture

Or maybe you don't own gold because you work 29 hours a week at a minimum wage joke job.

Thank you Scumbama.

Thu, 05/14/2015 - 17:30 | 6094701 Deathrips
Deathrips's picture

You figured it out..it was one man working by himself?



Thu, 05/14/2015 - 17:37 | 6094746 DutchR
DutchR's picture

Tampons are as good as gold

Thu, 05/14/2015 - 17:52 | 6094818 MonetaryApostate
MonetaryApostate's picture

Yeah in a 1930s style depression you're going to sell it to whom?  JP Morgan, pawn shops?  

Oh, I'm sure they'll give you a good price...

Thu, 05/14/2015 - 17:55 | 6094836 Laowei Gweilo
Laowei Gweilo's picture

if you OWN gold, you've had pretty shitty returns the last 4 years


so... huh..... congrats on your history and economics degrees lol

Thu, 05/14/2015 - 18:00 | 6094860 Wait What
Wait What's picture

yes, history is only 4 yrs old. great logic, smart guy.

Thu, 05/14/2015 - 18:07 | 6094880 MonetaryApostate
MonetaryApostate's picture

Well history has proven that the ultra wealthy elite massively buy when they cause massive price deflation with of course printed money they collateralize in the bank using fractional reserve lending, so when the masses move in, they get f__king SLAUGHTERED...


Buy now, the cattle pens are open, quick this offer won't last!

Thu, 05/14/2015 - 18:12 | 6094907 Captain Debtcrash
Captain Debtcrash's picture

Gold is often compared to the dollar but I believe it is a more apt to compare it to bonds.  It is more likely that precious metals will replace bonds as the perfered safe asset rather than replace the medium of exchange.  On the slim chance PM's do become the medium of exchange in the upcoming monetary shift, it will still replace bonds as the prefered safe asset as well.  

Thu, 05/14/2015 - 23:38 | 6095937 macholatte
macholatte's picture



Why do Central Banks hoard as much gold as they can get?


Why is the gold in a Central Bank one of the first things to be taken by  a conquering Army (or the IMF)?

Fri, 05/15/2015 - 00:25 | 6096028 Oh regional Indian
Oh regional Indian's picture

Gold in small quantities is nothing (except minor monetary or exchange value).

Perhaps a NEW way of looking at AU/AG is needed...


Fri, 05/15/2015 - 04:50 | 6096269 MonetaryApostate
MonetaryApostate's picture

Just thought I'd throw this out there for everyone to munch on....



And for my last post here....  

(History Repeats Itself, so... WAKE THE HELL UP Gold Preachers...)


Fri, 05/15/2015 - 05:18 | 6096296 Tall Tom
Tall Tom's picture

First that act did not illegalize FOREIGN HOLDINGS. Americans could buy, sell and trade Gold offshore with absolutely no problem.


(There are ALWAYS LOOPHOLES engineered so that the elitist friends of the Government, of the Roosevelt Administration at that time, will not lose wealth...)


Second just because Gold wasillegalized domestically does not mean that trade within the borders did not happen.


Gold is so easy to smuggle across International Borders. (My folks used to do that in the late 1960s and early 1970s.)


How hard will it be for officials to discern Gold when it looks like Cinnamon, like DIRT?


Here is what it appears like after it is refined...It looks like dirt. I should know as I refine it...FROM OBAMAPHONES. (Thanks Obama. The homeless like the free drink on the Government tab...)




It is simple to bring it back to its beautiful yellow allure. Just melt it with a torch.


That is the best way to hide it.


Just how successful has the Government been stopping the flow of Drugs into the country?


How successful will they be with a substance when it is odorless? The dogs will not ever alert to it.


It is far more easy to smuggle Gold than it is to smuggle cash.


In fact I will educate the Mexican Cartel about this.


I really need to go to jail. Really. I do.





Fri, 05/15/2015 - 08:34 | 6096595 Snake
Snake's picture

sure, forget beijin, singapore, hong kong, moscow, london, paris, hamburg, rio or buenos aires, you live in a small (provincial) world bud


Fri, 05/15/2015 - 08:31 | 6096584 Calmyourself
Calmyourself's picture

Because Armies like shitty investment returns, because they are hungry, I don't know tell me... /s/

Thu, 05/14/2015 - 18:10 | 6094910 kliguy38
kliguy38's picture

Most of these elite don't own gold......they own some paper derivative......gl collecting on it

Thu, 05/14/2015 - 18:20 | 6094972 MonetaryApostate
MonetaryApostate's picture

The real smart ones invest in mines...

Of course they could be sitting on 5000 tonnes and you wouldn't even know it...

Thu, 05/14/2015 - 18:46 | 6095062 boogerbently
boogerbently's picture

When the SHTF, mines get nationalized.

Thu, 05/14/2015 - 18:51 | 6095075 winchester
winchester's picture

dont give a fuck about PM, with a gun , everything is free....

Thu, 05/14/2015 - 19:04 | 6095112 MonetaryApostate
MonetaryApostate's picture

When the rioting starts it's not going to be pretty....

Fri, 05/15/2015 - 06:18 | 6096343 Bendromeda Strain
Bendromeda Strain's picture

Wow, you've been getting downed so much that I believe people just knee jerked this one w/o reading it. For the record, it is the only thing you wrote on this post that is incontrovertible.

Thu, 05/14/2015 - 20:32 | 6095441 Anusocracy
Anusocracy's picture

Prone to go feral easily, eh?

Thu, 05/14/2015 - 22:00 | 6095685 angel_of_joy
angel_of_joy's picture

The feral ones die quickly...

Thu, 05/14/2015 - 19:26 | 6095180 Murf_DaSurf
Murf_DaSurf's picture

When the SHTF, mines get nationalized.


It all gets nationalized this time, rest assured. That's what Facisists do!

Fri, 05/15/2015 - 03:27 | 6096196 MonetaryApostate
MonetaryApostate's picture

Best comment on this thread bro, mad respect.

Thu, 05/14/2015 - 18:23 | 6094985 Winston Churchill
Winston Churchill's picture

You are so wrong. They might trade paper, but believe me they have Phyz as well.

Productive land and fine art as well.

The foundations of generational wealth, and they know it.

Thu, 05/14/2015 - 18:44 | 6095052 knukles
knukles's picture

Would fine productive stuff include the 3 cases of Hello Kitty Vibrators I found when my boat tipped over?

Thu, 05/14/2015 - 18:45 | 6095057 MonetaryApostate
MonetaryApostate's picture

So who wins if the entire world is dirt poor?

That's an intelligent question, do your best to answer it.

Thu, 05/14/2015 - 18:55 | 6095084 Winston Churchill
Winston Churchill's picture

Depends on what you believe their motives are.

After the first hundred million,money is power. So the powerful win.

Same as it always was.

Thu, 05/14/2015 - 19:02 | 6095099 MonetaryApostate
MonetaryApostate's picture

Power is a dangerous thing, because there is a thing called "Jealousy" and people tend to want to kill you for that power.  There is also a thing called revenge, something tells me that the UK/US doesn't have a lot of friends now with all of their bombing escapades.  Of course if a major global financial collapse were to spring up, then those people wanting revenge of course would have absolutely nothing left to lose, since their livelihood is all gone...

Thu, 05/14/2015 - 19:10 | 6095130 Winston Churchill
Winston Churchill's picture

They also know those bolt holes in NZ etc probably will not protect them, so they will

be true ' life and death' desperation as they cling to power.

The prognosis ain't good, so prep and enjoy life while you can.

Thu, 05/14/2015 - 19:31 | 6095191 MonetaryApostate
MonetaryApostate's picture

Well said.

Thu, 05/14/2015 - 21:00 | 6095542 Lurk Skywatcher
Lurk Skywatcher's picture

A bolthole in NZ shows a serious lack of historical knowledge.

The natives invented modern trench warefare.

They sold the same piece of land to muliple parties for guns, watched the different factions fight each other, and then permanently evicted the winner with gun fire. And then did it again!

These ain't no peacenik nature loving hippies living in teepees and smoking peace pipes.

If it all turns to shit, you better have whanau behind you because all that money will only buy you a knife in the back on these islands at the bottom of the world.



Fri, 05/15/2015 - 00:01 | 6095992 taggaroonie
taggaroonie's picture

Too bloody right mate. The Chinese are learning their land here is taxed to hell and fair poaching game, and the cows that came with it are now worth fuck all.

Fri, 05/15/2015 - 05:16 | 6096295 MonetaryApostate
MonetaryApostate's picture

Spot on, both of you.

Thu, 05/14/2015 - 20:46 | 6095492 graspAU
graspAU's picture

Exactly! The real wealthy and smart have a decent portion in metals. I don't have the exact quote in front of me, but when the 2008 during the crash, Maria Bart. inteviewed Evelyn (pronounced - Evil in - don't you love it) Rothschild and he said, "On the other hand, If you are very saftey concious you hold onto your gold bars".

Fri, 05/15/2015 - 06:28 | 6096354 Bendromeda Strain
Bendromeda Strain's picture

Fine art? Did you see the top ten at auction? The Monet and Van Gogh could be hung, the rest were either grotesque or foolishness, and no, it isn't the selling price that determines quality when everyone has lost their minds.

Thu, 05/14/2015 - 19:41 | 6095221 Laowei Gweilo
Laowei Gweilo's picture

guess what


you lost 50% of your gold value and i doubled 100% of my stock value


so... i can now buy 4x as much gold as you when it's ACTUALLY a smart time to hold gold


but whatever helps you cope with your losses hahaha

Thu, 05/14/2015 - 20:25 | 6095416 Crash Overide
Crash Overide's picture

I will make it simple...

Know when to hold em, know when to fold em.


It's easier to wipe your ass with paper then metal...

Thu, 05/14/2015 - 20:28 | 6095428 angel_of_joy
angel_of_joy's picture

Did you cash out ? Did you buy your PHYSICAL gold ?

If not, STFU and go troll somewhere else...

Fri, 05/15/2015 - 09:02 | 6096686 Bunghole
Bunghole's picture

It doesn't matter at what price you purchased it.  

It matters that you HOLD it.

Fri, 05/15/2015 - 10:41 | 6097154 Crash Overide
Crash Overide's picture

Phiz is the only way to go bro...


Go wipe your ass with some comex contracts.

Thu, 05/14/2015 - 20:36 | 6095454 sunnyside
sunnyside's picture

And I'm sure that you can time the markets close to perfect (and frontrunning the algos too) every time.   I'm comfortable with the saying, I'd rather be out a couple of years too early than 1 day too late,

Fri, 05/15/2015 - 05:18 | 6096297 MonetaryApostate
MonetaryApostate's picture

Living in London might help you 10X more though. :D

Thu, 05/14/2015 - 20:52 | 6095502 CultiVader
CultiVader's picture

One bit of wisdom I've gleaned from life, and I swear is alway true, is that whenever someone begins anything with "guess what?" the following statement will be a plain and vulgar display of douchebaggery.

Guess what?
It happened again.

See how that works asshat?

Fri, 05/15/2015 - 01:38 | 6096121 Its All Good
Its All Good's picture

Logged in just to give you a greenie.  Perfect!

Do NOT follow this link or you will be banned from the site!