NEW YORK Feb 20 The Teacher Retirement
System of Texas has taken a non-voting equity stake in
Bridgewater Associates LP, one of the world's largest hedge
fund, as part of a 10-year plan to dilute the stake held by
Raymond Dalio, Bridgewater's founder, according to Pensions &
Trustees on Feb. 16 approved a $250 million investment in
privately held Bridgewater, according to the article on the
magazine's website on Monday.
The investment is Texas Teachers' first private investment
in a money manager, according to a spokeswoman for the $109
billion pension fund.
Texas Teachers is a Bridgewater client. A fund spokesman did
not disclose the size of the fund's allocations to
Bridgewater's investment strategies, Pensions & Investments
About four years ago, Dalio, who founded Bridgewater in 1975
and is also its president and co-chief investment officer, began
to gradually reduce his ownership stake and management
responsibilities to concentrate more on "what he really loves -
markets and managing money," Robert Prince, a Bridgewater co-CIO
told the magazine.
Another Bridgewater institutional client has a stake in the
firm, the online magazine said. Prince would neither identify
the client nor give the size of the investment.
Bridgewater is negotiating with a third institutional
client, Pensions & Investments said. Prince declined to identify
the client, but said a deal is close to being completed, the
magazine said. The company is unlikely to seek additional
clients as financiers, it reported.
He also declined to say how much in total financing
Bridgewater is seeking from its client-investors.
Dalio's stake in Bridgewater along with his family trusts
will be maintained between 10 percent and 20 percent of the
firm's equity ownership at the end of the 10-year period,
Pensions & Investments said, citing a letter Bridgewater sent to
clients on Feb. 17.