Ray Dalio is an investor, writer, hedge fund manager, philanthropist, and self-help coach. Through his company Bridgewater Associates he has amassed a fortune in trading using High-Frequency Trading (HFT) on the stock exchanges around the world. After his big success, he wrote the book Principles, which is a guide for young people to follow in their personal and professional lives. The book became a bestseller and has been read by many CEO’s like Bill Gates and many more. On this page, we take a look at his net worth and his lifetime accomplishments.
Ray Dalio Net Worth: $18 Billion
Ray Dalio grew up in Long Island in a middle-class family. He started trading stocks at a very young age. In fact, he bought his first stock at age 12: $300 in Northeast Airlines. He tripled his investment and after that, he was hooked on the stock market. He went to Business School and went on to graduate and earn his MBA. After this he started working on Wall Street, the biggest financial district in the world. Working in this part of New York was the start of his massive net worth.
He started working on the trading floor of the New York Stock Exchange. The NYSE is the biggest stock exchange in the world and processes millions of orders on a daily basis. From here Ray Dalio processed thousands of transactions over the course of his working period there. In 1975 he decided to create his own investment firm and called it Bridgewater Associates. Although the hedge fund is not officially a “Quant” hedge fund, it heavily relies on mathematical formulas and theories while making investments.
His company Bridgewater became the biggest hedge fund in the world in 2005. This is a tremendous achievement, especially when you consider the fact that Ray Dalio almost went bankrupt in 1992. In the 90’s he made a big bet with all his money on a prediction that the stock market would see a big crash. He bought billions worth of short-calls, but the stocks kept going up. He had to fire all Bridgewater employees and start his firm from the ground up again.
Having learned from his mistakes, he went on to build an investment firm with a very open-minded attitude. He did due diligence on every trade and didn’t take big risks as he did before. He later admitted: “I was wrong on a trade that I thought I was %100 right on. This experience has humbled me for life.”
After his turbulent rise and fall, Ray Dalio started to form his life philosophy. All the lessons he has learned throughout his life, he distilled into applicable principles. He applied these principles in his personal and professional life, and with big success. This motivated him to pass on this knowledge, and he started writing. The result came in a big book called: Principles: Life & Work. The book became the #1 New York Times Bestseller and has had a tremendous impact on thousands of lives. Even we here at Big Brand Boys have read it, and apply the principles of Dalio into our life on a daily basis. To read our extensive review of the book, you can click here. Below you will see a video that captures a small part of the book in a very visual way.