“Cash is trash, US Bond is stupid, Chinese Bond rising”
Ray Dalio, the founder of Bridgewater Associates, the world’s largest hedge-fund firm.
Cash is trash, returns negative relative to inflation.
Any dollar asset or US bond pays less than inflation.
Short cash position preferable than dollar stock/bond mix.
Tax & capital control leads US inhospitable to capitalists.
Borrow cash to buy higher-returning, non-debt investment assets.
Asian (e.g. Chinese bond) performs better, holding by investors rising.
Related comment in last Nov:
Rise in its portfolio for Chinese assets for diversification & tactics.
Favored Chinese bonds over U.S. debt.
Expects capital inflows to Chinese currency.
#chinesebonds #chinabondyield #bondyield #diversification