Speaking at a Fortune event, Ray Dalio publicly addresses the bombshell book about his hedge fund 

William of England
By William of England 11 Min Read

In the book, The Fund, New York Times reporter Rob Copeland delves into Bridgewater’s more and more disappointing returns because it scaled to be the largest hedge fund in the world. But the meat of the story is in its depiction of the firm’s tradition: one which, per the book, was allegedly roiled with widespread surveillance and public humiliation. One of the most damning scenes comes at the very starting, when Dalio chewed out one in every of his senior executives, who was pregnant at the time, on video as she wept, then despatched it out to all staff and confirmed it to potential job candidates.

Shortly after the book was launched, Dalio blasted Copeland in a post on LinkedIn, and Bridgewater Associates issued a scathing response that depicted the book as “ridiculous” and a “false and misleading portrayal of our company, culture, and community.” 

This week, Dalio spoke dwell about the book on stage at the Fortune Global Forum convention in an interview with Fortune CEO Alan Murray.

Dalio stated the book was a black eye for all journalists. He said that there have been “over 400” situations the place a reality checker discovered factors that Copeland had allegedly “made up.” He went on to decry the state of journalism in the U.S., the place he stated that “in the name of journalistic freedom, reporters can actually make up things and lie intentionally…in the United States.” Dalio didn’t point out the in depth on-the-record sourcing in the book, together with a few of Bridgewater’s most senior associates over the years.

Dalio advised the viewers that he was aiming to maneuver previous all of it. “From this point on, I’m not going to give it more attention,” he stated. But the remainder of us might have hassle doing that.

I spent a few days a couple of weeks in the past tucked beneath a blanket in entrance of my fire, studying via a collection of anecdotes from a brand-new style: hedge fund horror tales. Throughout the book, you see Dalio hold including to what’s known as “The Principles”—a collection of legal guidelines for self-improvement that apparently had been regarded by some staff as doctrine, in line with the book. Here’s one in every of the rules, for example: “Not all opinions are equally valuable so don’t treat them as such. Almost everyone has an opinion, but they’re not all equally valuable. Many are worthless or even harmful. So it is not logical to treat them as equally valuable. For example, the views of people without any track records or experience are not equal to the views of people with great track records and experience.”

Or one other: “Never say anything about a person you wouldn’t say to him directly. If you do, you’re a slimy weasel.”

An excerpt I significantly loved of how one worker regarded them:

Once Dalio caught phrase that his new prized rent had struggled in boot camp, he requested for a while to speak. [Jon] Rubenstein, cognizant of all the pieces he’d discovered about the Bridgewater founder’s love of uncooked honesty, determined to inform Dalio what was on his thoughts:

“You’ve got three hundred and seventy-five Principles. Those aren’t principles. Toyota has fourteen principles. Amazon has fourteen principles. The Bible has ten. Three hundred and seventy-five can’t possibly be principles. They are an instruction manual.”

Dalio blamed himself. It’s my fault, the Bridgewater founder stated, for anticipating you to understand such a advanced system so rapidly. The Principles couldn’t merely be memorized after which immediately absorbed—the solely approach to perceive them is to dwell them. Dalio known as The Principles “the way of being.”


If you ask me, hedge funds are higher suited to sticking to what they’re paid to do: being profitable for restricted companions, moderately than delving into philosophy. On that thread, I discovered it significantly revealing that solely about 20% of Bridgewater’s workers—which at its peak was roughly 2,000 individuals—had been truly doing any investing or analysis, in line with The Fund. That’s significantly notable on condition that there was a entire investigations crew (that was at one level led by the former Deputy Attorney General James Comey) devoted to monitoring down worker missteps and punishing them. At one level, the book particulars a six-week inquiry into who was chargeable for buying whiteboard erasers that didn’t erase nicely sufficient. Don’t point out the uproar about an worker not bringing bagels to the workplace.

Dalio could also be anxious for the remainder of us to maneuver on from this book. But it gives a uncommon, vivid, and disturbing glimpse at a hedge fund that appears to have leaned too far into crafting a company tradition. And a lot of that historical past has been stored a secret till now.

See you tomorrow,

Jessica MathewsTwitter: @jessicakmathewsEmail: [email protected] a deal for the Term Sheet e-newsletter right here.

Joe Abrams curated the offers part of in the present day’s e-newsletter.


– Wormhole, a Cayman Islands-based platform designed to permit builders to speak with one another from totally different blockchains, raised $225 million in funding from Jump Trading, Brevan Howard, Coinbase Ventures, Multicoin Capital, and others. 

Adionics, a Les Ulis, France-based firm growing lithium extraction processes, raised $27 million in Series B funding. SQM led the spherical and was joined by Bpifrance, Supernova Invest, Céleste Management, and Ovive.

Mytos, a London, U.Ok.-based biotech platform that automates cell manufacturing, raised $19 million in Series A funding. Buckley Ventures led the spherical and was joined by IQ Capital and Wing VC.

Squint, a San Jose, Calif.-based cellular app that makes use of AI and AR to automate information entry and generate customized procedures, raised $13 million in Series A funding. Sequoia Capital led the spherical and was joined by Menlo Ventures. 

Biolexis Therapeutics, an American Fork, Utah-based firm utilizing AI for metabolic drug discovery, raised $10 million in Series A funding from Clarke Capital.

Aperiam Bio, a Brooklyn, N.Y.-based protein engineering firm, raised $9 million in a seed extension from OMX Ventures, Axial VC, KDT Ventures, and Civilization Ventures.  

Letterhead, a Miami, Fla.-based platform for automated e-newsletter creation, raised $5.3 million in seed funding. Las Olas Venture Capital and Reign Ventures led the spherical and had been joined by BDMI, Florida Opportunity Fund, and McClatchy.

Retrocausal, a Redmond, Wash.-based developer of an AI copilot for manufacturing processes, raised $5.3 million in funding. Glasswing Ventures, One Way Ventures, and Indicator Ventures led the spherical and had been joined by present buyers Argon Ventures, Differential Ventures, Ascend Vietnam Ventures, and others.

@hotel, a Washington, D.C.-based resort reserving platform, raised $4 million in funding from Jeff Boyd, Robert Mylod, PAR Capital, and others

LUCKY F*CK, an Austin, Texas-based sugar-free power drink, raised $4 million in seed funding from Imaginary Ventures.

Layla, a Berlin, Germany-based platform that makes use of short-form movies and AI to attach customers with journey plans, raised €3M ($3.3 million) in seed funding. Firstminute Capital and M13 led the spherical and had been joined by others. 


– KKR agreed to accumulate the remaining 37% stake in Global Atlantic Financial Group, a New York City-based supplier of insurance coverage and reinsurance providers, for about $2.7 billion. 

– Blackstone agreed to take Rover, a Seattle, Wash.-based on-line pet-care providers market, non-public for $2.3 billion. 

– Rocket Software, backed by Bain Capital, agreed to accumulate the software modernization and connectivity enterprise of OpenText, for $2.3 billion. 

– Blue Halo, a portfolio firm of Arlington Capital Partners, acquired Ipsolon Research, a Frederick, Md.-based designer and producer of software program outlined radio know-how. Financial phrases weren’t disclosed. 

– Inno-Pak, a portfolio firm of Emerald Lake Capital Management, acquired Albany Packaging, an Ontario, Canada-based designer and producer of paperboard cartons. Financial phrases weren’t disclosed. 

– Madison Dearborn Partners acquired T2S Solutions, a Belcamp, Md.-based supplier of R&D, prototyping, engineering, and know-how merchandise to mission essential packages for the U.S. Department of Defense, Intelligence Community and different U.S. authorities companies. Financial phrases weren’t disclosed. 

– SCI Flooring, a portfolio firm of Rainier Partners, acquired United Carpet, a Hazelwood, Mo.-based flooring overlaying supplier. Financial phrases weren’t disclosed. 

– Talent Groups, a portfolio firm of Osceola Capital, acquired Progilisys Solutions, a Phoenix, Ariz.-based supplier of IT staffing and IT managed options. Financial phrases weren’t disclosed. 


Tola Capital, a Seattle, Wash.-based enterprise capital agency, raised $230 million for its third fund targeted on startups growing enterprise software program 

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