- In a new interview, Ray Dalio compares casino poker and investing in a diversified portfolio.
- Billionaire investors are skeptical of cryptocurrency's value as a store of wealth or medium of exchange.
- Dali also likens life to playing video games and the gems of problem-solving lessons.
In a recent episode of his Richer, Wiser, Happier podcast, Ray Dalio compared the casino market to poker and purses.
The billionaire investor and founder of Bridgewater Associates has questioned the value of cryptocurrencies as a store of wealth and medium of exchange, predicting higher adoption of currencies in the future. She compares life to ninja training with video games, jewelry classes and meditation.
1. “Markets are a zero-sum game. It's like poker - someone will take someone else's money. The competition is tougher than the Olympic Games.
2. “If I have 15 independent good bets, I have reduced my risk by 80% without sacrificing my returns. And that means I've improved my risk/reward ratio by a factor of five. It's like a casino. , they have many tables, etc. Not tonight.” (Dalio compared a diversified portfolio to a casino, which may lose money on some games but must make money especially over time.)
3. “All digital currencies replicate next to nothing. They rise and fall for everyone. It is not an inflation hedge, nor is it an effective store of wealth. You have nothing to hang your hat on. Nope. And it's a tiny bit of bitcoin right now, probably worth a quarter of Microsoft's stock in total, and so on. (Bitcoin's market cap is about $480 billion, while Microsoft's market cap is about $1.9 trillion).
4. “Everyone is watching what you do, so it's not private. And as a medium of exchange, it is not very effective. It is simply not possible to buy things. things with So it's not going to be my favorite thing." "Who knows?" I have a small part of it thanks to the hardware, but I think there will be better digital currencies in time."
5. “Life is more of a video game than school. Instead of sitting and memorizing what you're taught, you go out there, meet them, learn, etc."
6. “Pain and thought are the same progress. I learned that every time I met him, it was like a puzzle. If I can solve the puzzle, I will find the jewel, and the jewel is a new principle or lesson that improves my life.”
7. “The process of meditation gives you calmness, calm concentration. It's a bit like ninja movies - they have a fight and everything goes very fast, but then they slow down because everything seems slow to the ninja hero, it's your arrival and they take it slowly." (Dali also emphasized. the value of mystical meditation.)