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Pure Alpha Fund by Bridgewater's Ray Dalio - What are the holdings?

Posted: Thu Mar 14, 2019 2:26 pm
by teelainen
Does anyone know what the current top holdings are inside of the Pure Alpha Fund by Bridgewater's Ray Dalio?

It seems to have done very well for the past 25 years.

Thanks.

Re: Pure Alpha Fund by Bridgewater's Ray Dalio - What are the holdings?

Posted: Thu Mar 14, 2019 2:30 pm
by interestediniras
Let me just call up Ray Dalio and ask...

Re: Pure Alpha Fund by Bridgewater's Ray Dalio - What are the holdings?

Posted: Thu Mar 14, 2019 2:41 pm
by nisiprius
One of many important differences between hedge funds and mutual funds is that in the words of the SEC,
Hedge fund investors do not receive all of the federal and state law protections that commonly apply to most mutual funds. For example, hedge funds are not required to provide the same level of disclosure as you would receive from mutual funds. Without the disclosure that the securities laws require for most mutual funds, it can be more difficult to fully evaluate the terms of an investment in a hedge fund. It may also be difficult to verify representations you receive from a hedge fund.

Re: Pure Alpha Fund by Bridgewater's Ray Dalio - What are the holdings?

Posted: Thu Mar 14, 2019 3:56 pm
by azanon
He would probably say (based on interviews of his I've watched) that it really wouldn't do you any good to know, unless you were being constantly updated so that you could make the changes along with them. So it's not just what you hold, but also the buying and selling all along the way. And he's also plead with you to not even try to compete with them, because you stand no chance on your own vs. all of their resources.

Even their All-Weather portfolio which doesn't change as much, has an even more extreme defense portfolio they sometimes use (I forget exactly what they call that).

Re: Pure Alpha Fund by Bridgewater's Ray Dalio - What are the holdings?

Posted: Thu Mar 14, 2019 9:30 pm
by whodidntante
azanon wrote:
Thu Mar 14, 2019 3:56 pm

Even their All-Weather portfolio which doesn't change as much, has an even more extreme defense portfolio they sometimes use (I forget exactly what they call that).
Dalio is playing at the highest levels while most of us just complain that our team doesn't win the big game. He believes that the credit cycle is a fundamental driver of the business cycle, which is not an idea he is alone in believing. The idea is to invest in sources of risk and return such that one can manage risk and make money regardless of the credit cycle. Owning it also makes the investor feel silly when the equity risk premium has killed everything recently. I don't know anyone who actually owns the portfolio 100%, but then, I guess they wouldn't be hanging out here.

Re: Pure Alpha Fund by Bridgewater's Ray Dalio - What are the holdings?

Posted: Thu Mar 14, 2019 9:34 pm
by jbranx
Here's one list of that fund's holdings:

https://whalewisdom.com/filer/bridgewat ... s_tab_link

Re: Pure Alpha Fund by Bridgewater's Ray Dalio - What are the holdings?

Posted: Thu Mar 14, 2019 9:43 pm
by AlohaJoe
teelainen wrote:
Thu Mar 14, 2019 2:26 pm
Does anyone know what the current top holdings are inside of the Pure Alpha Fund by Bridgewater's Ray Dalio?.
Nobody knows their current holdings. However, all hedge funds are required to file quarterly reports with the SEC. So you can read those to see what they used to hold a few months ago.

The approach of reading these and following hedge funds is detailed in one of Meb Faber's books . Like most (all?) of his strategies, I don't think the results have been great since he published his book.

Re: Pure Alpha Fund by Bridgewater's Ray Dalio - What are the holdings?

Posted: Fri Mar 15, 2019 9:23 am
by alpenglow
jbranx wrote:
Thu Mar 14, 2019 9:34 pm
Here's one list of that fund's holdings:

https://whalewisdom.com/filer/bridgewat ... s_tab_link
Interesting, if that is accurate. Overweight on emerging markets.

Re: Pure Alpha Fund by Bridgewater's Ray Dalio - What are the holdings?

Posted: Fri Mar 15, 2019 9:59 am
by quantAndHold
Keep in mind that the 13F only shows what the fund is long on. It won’t show shorts or leverage. Not sure, mostly because I don’t care, if this fund is long/short or levered or not.

Re: Pure Alpha Fund by Bridgewater's Ray Dalio - What are the holdings?

Posted: Fri Mar 15, 2019 1:27 pm
by DonIce
quantAndHold wrote:
Fri Mar 15, 2019 9:59 am
Keep in mind that the 13F only shows what the fund is long on. It won’t show shorts or leverage. Not sure, mostly because I don’t care, if this fund is long/short or levered or not.
Presumably it also includes all the various bridgewater funds, so a combination of pure alpha + all weather + anything else. So it's not representative of any one of their strategies.

Re: Pure Alpha Fund by Bridgewater's Ray Dalio - What are the holdings?

Posted: Fri Mar 15, 2019 3:11 pm
by nisiprius
I will watch Le Bron James closely, and do exactly what he does, three seconds later.

Re: Pure Alpha Fund by Bridgewater's Ray Dalio - What are the holdings?

Posted: Sun Apr 07, 2019 11:10 pm
by AlphaLess
nisiprius wrote:
Fri Mar 15, 2019 3:11 pm
I will watch Le Bron James closely, and do exactly what he does, three seconds later.
Let me know how that works out.

Re: Pure Alpha Fund by Bridgewater's Ray Dalio - What are the holdings?

Posted: Mon Apr 08, 2019 12:12 pm
by Oakwood42
interestediniras wrote:
Thu Mar 14, 2019 2:30 pm
Let me just call up Ray Dalio and ask...
lol

Re: Pure Alpha Fund by Bridgewater's Ray Dalio - What are the holdings?

Posted: Mon Apr 08, 2019 5:06 pm
by columbia
Oakwood42 wrote:
Mon Apr 08, 2019 12:12 pm
interestediniras wrote:
Thu Mar 14, 2019 2:30 pm
Let me just call up Ray Dalio and ask...
lol

He was on “60 Minutes” last night. Maybe they asked. 😀

Re: Pure Alpha Fund by Bridgewater's Ray Dalio - What are the holdings?

Posted: Mon Apr 08, 2019 7:50 pm
by retire2022
op

No he does not disclose his portfolio information but he does have charity and willing to give half of his 18 Billion net worth away just like Bill Gates and Warren Buffet

https://www.cbsnews.com/news/ray-dalio- ... 0-minutes/

Re: Pure Alpha Fund by Bridgewater's Ray Dalio - What are the holdings?

Posted: Tue Apr 09, 2019 5:29 pm
by BJJ_GUY
By looking at 13f filings it's more likely to lead to inaccurate conclusions. In other words, you're better off guessing what he's doing than going with public information which only tells a some of the story.

For example, if the top holding is the EM ETF, it make actually be used simply as a delta hedging tool against options which reference the index of sub-components etc. So it could be be a perfect indicator their trades, and it could be completely misleading - showing a long position where they are truly short in aggregate.

I haven't read the Faber article or book mentioned, but that sounds like something that is applicable to fundamental long/short equity hedge funds (and others that invest in cash instruments - and aren't trading volatility etc.). Activist managers would be another example that work here.

As for Pure Alpha, I'm aware of what they do and the enormous breadth of markets and instruments they trade. I have no idea what's available to most retail investors to trade, but my guess is that even if we had the exact trades provided to us in real time, as Bridgewater sends their own execution orders, we wouldn't be able to but a small fraction of them. Beyond lack of access to many of the markets, individual investors run into another road block as implicit and explicit leverage availability is going to significantly restrict implementation.

I do love how this site where most threads emphasize simplicity, the one 'hedge fund' that is seemingly of interest is one of the most complex - and relatively secretive outside of some of the large quant firms out there. Interesting discussion, nonetheless