NEW YORK, June 24 A $70 billion portfolio
managed by hedge fund titan Ray Dalio's Bridgewater Associates
is emerging as one of the big losers in the selloff in bonds and
stocks sparked by the belief the Federal Reserve is about to
pull back on its easy money policies, according two people with
knowledge of the numbers.
The Bridgewater All Weather Fund is down roughly 6 percent
through this month after losing 5 percent in May, according to
the two people.
The fund is down 8 percent year to date. The All Weather
Fund rose 14.7 percent last year, according to a year-end
investor note reviewed by Reuters.
The All Weather Fund is what is known in the $2.25 trillion
hedge fund community as a risk parity product and is a popular
investment option for many pension funds. The theory behind
these products is that when stocks fall, bond markets will rally
and vice versa.