Top 31 Ray Dalio Quotes On Investment And Life.

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Raymond Thomas Dalio was born on August 8, 1949. He is an American billionaire investor and hedge fund manager, who has served as co-chief investment officer of the world’s largest hedge fund, Bridgewater Associates, since 1985


Ray Dalio is regarded as one of the greatest innovators in the finance world, having popularized many commonly used practices, such as risk parity, currency overlay, portable alpha and global inflation-indexed bond management.

Source – Wikipedia.

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Top 31 Ray Dalio Quotes:

  1. It all comes down to interest rates. As an investor, all you’re doing is putting up a lump-sump payment for a future cash flow.

2. The greatest gift you can give someone is the power to be successful. Giving people the opportunity to struggle rather than giving them the things they are struggling for will make them stronger.

3. If you’re not failing, you’re not pushing your limits, and if you’re not pushing your limits, you’re not maximizing your potential

4. I saw that to do exceptionally well you have to push your limits and that, if you push your limits, you will crash and it will hurt a lot. You will think you have failed—but that won’t be true unless you give up.

5. When growth is slower-than-expected, stocks go down. When inflation is higher-than-expected, bonds go down. When inflation is lower-than-expected, bonds go up.

6. Imagine if you had baseball cards that showed all the performance stats for your people: batting averages, home runs, errors, ERAs, win/loss records. You could see what they did well and poorly and call on the right people to play the right positions in a very transparent way.

7. Nature gave us pain as a messaging device to tell us that we are approaching, or that we have exceeded, our limits in some way.

8. There are two main drivers of asset class returns – inflation and growth.

9. I learned that if you work hard and creatively, you can have just about anything you want, but not everything you want. Maturity is the ability to reject good alternatives in order to pursue even better ones.

10. An economy is not a complicated thing; it just has a lot of moving parts.

11. What I’m trying to say is that for the average investor, what I would encourage them to do is to understand that there’s inflation and growth. It can go higher and lower and to have four different portfolios essentially that make up your entire portfolio that gets you balanced.

12. It is far more common for people to allow ego to stand in the way of learning.

13. Thoughtful disagreement is not a battle; its goal is not to convince the other party that he or she is wrong and you are right, but to find out what is true and what to do about it.

14. I just want to be right—I don’t care if the right answer comes from me.

15. Look for people who have lots of great questions. Smart people are the ones who ask the most thoughtful questions, as opposed to thinking they have all the answers. Great questions are a much better indicator of future success than great answers.

16. The happiest people discover their own nature and match their life to it.

17. Treat your life like a game.

18. Over the long run, the price of gold approximates the total amount of money in circulation divided by the size of the gold stock. If the market price of gold moves a long way from this level, it may indicate a buying or selling opportunity.

19. Because our educational system is hung up on precision, the art of being good at approximations is insufficiently valued. This impedes conceptual thinking.

20. Every time you confront something painful, you are at a potentially important juncture in your life—you have the opportunity to choose healthy and painful truth or unhealthy but comfortable delusion.

21. Pain + Reflection = Progress

22. first principle: • Think for yourself to decide

  1. what you want,
  2. what is true, and
  3. what you should do to achieve #1 in light of #2 . . . . . .
    and do that with humility and open-mindedness so that you consider the best thinking available to you.

23. Listening to uninformed people is worse than having no answers at all.

24. Look at what caused people to make a lot of money and you will see that usually it is in proportion to their production of what the society wanted.

25. Constantly probe the people who report to you, and encourage them to probe you.

26. If you can’t successfully do something, don’t think you can tell others how it should be done

27. To be effective you must not let your need to be right be more important than your need to find out what’s true. If you are too proud of what you know or of how good you are at something you will learn less, make inferior decisions, and fall short of your potential.

28. It’s more important to do big things well than to do the small things perfectly.

29. I also feared boredom and mediocrity much more than I feared failure. For me, great is better than terrible, and terrible is better than mediocre, because terrible at least gives life flavor. The high school yearbook quote my friends chose for me was from Thoreau: “If a man does not keep pace with his companions, perhaps it is because he hears a different drummer. Let him step to the music which he hears, however measured or far away.

30. Truth – more precisely, an accurate understanding of reality – is the essential foundation for producing good outcomes.

31. Meditate. I practice Transcendental Meditation and believe that it has enhanced my open-mindedness, higher-level perspective, equanimity, and creativity. It helps slow things down so that I can act calmly even in the face of chaos, just like a ninja in a street fight. I’m not saying that you have to meditate in order to develop this perspective; I’m just passing along that it has helped me and many other people and I recommend that you seriously consider exploring it.

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