'The world will look different': Billionaire investor Ray Dalio predicts the pandemic will ultimately boost savings and drive self-sufficiency

-

ray dalio

  • Ray Dalio discussed how the coronavirus pandemic might reshape the US economy in a LinkedIn Live interview on Tuesday.
  • The billionaire co-chief of Bridgewater Associates predicted it would spur people to save more, prompt government to invest more in healthcare, and lead countries to manufacture critical equipment instead of importing it.
  • "We're now going to be moving to a self-sufficient world," Dalio said.
  • Visit Business Insider's homepage for more stories.

Billionaire investor Ray Dalio expects the coronavirus pandemic to have sweeping effects on people's financial decisions, governments' investment priorities, and global trade.

"The world will look different," the founder and co-chief of Bridgewater Associates, the world's largest hedge fund, said during a LinkedIn Live interview on Tuesday.

Even after the coronavirus threat fades and lockdowns are lifted, individuals and companies may be more prudent with their money so they're better prepared to weather the next crisis.

Read more: An expert at Boyar Research lays out the Warren Buffett-inspired investing approach that's helped the firm crush the market for 7 years — and offers 4 stock picks for a coronavirus-battered market

"Savings rates are going to rise," Dalio predicted, "because everybody wants to assure themselves of safety."

Authorities might also address the weaknesses in their healthcare systems exposed by the coronavirus. For example, they could invest in more ventilators and critical-care beds, and bolster their supplies of masks and other protective equipment.

"Priorities are going to shift [towards] healthcare and building the basics," Dalio said in the interview.

Read more: A top strategist for JPMorgan's $2 trillion asset-management arm shares his 4-part strategy for a coronavirus recovery — and breaks down a surprising bond-market bet

Countries could also shift towards manufacturing critical healthcare equipment instead of importing it, Dalio said, even though it is generally less efficient. He gave the example of the US importing masks and ventilators from China, describing it as a "vulnerability."

"We're now going to be moving to a self-sufficient world," Dalio said, as both individuals and countries have realized that "they're all so vulnerable."

The status quo of global supply chains could change significantly, he added. "That won't be anywhere near the same."

Join the conversation about this story »

NOW WATCH: Why thoroughbred horse semen is the world's most expensive liquid

Theron Mohamed Money Game http://www.businessinsider.com/moneygame

Comments

Post a Comment

Popular posts from this blog

NY postpones primary New York Governor Cuomo Postpones Primary Election as State Gets Slammed By Coronaviruswww.thegatewaypundit.comNew York Governor Andrew Cuomo has postponed the state’s presidential primary election as they continue to get battered by the coronavirus. The primaries were originally scheduled for April 28, but have now been moved to June 23. “I don’t think it’s wise to be bringing a lot of people to one...

-
Image
NY postpones primary New York Governor Cuomo Postpones Primary Election as State Gets Slammed By Coronavirus www.thegatewaypundit.com New York Governor Andrew Cuomo has postponed the state’s presidential primary election as they continue to get battered by the coronavirus. The primaries were originally scheduled for April 28, but have now been moved to June 23. “I don’t think it’s wise to be bringing a lot of people to one... Gateway Pundit Gateway Pundit (Facebook) https://www.facebook.com/196087640574
Read more

Inaccurate Virus Models Are Panicking Officials Into Ill-Advised Lockdowns

-
Image
Misinformation is driving this mania. You have leftwing panicmongers like MSNBC’s O’Donnell predicting ‘millions’ will die if churches are ‘packed’ on Easter. Inaccurate Virus Models Are Panicking Officials Into Ill-Advised Lockdowns How a handful of Democratic activists created alarming, but bogus data sets to scare local and state officials into making rash, economy-killing mandates. By Madeline Osburn, The Federalist, March 25, 2020 As U.S. state and local officials halt the economy and quarantine their communities over the Wuhan virus crisis, one would hope our leaders were making such major decisions based on well-sourced data and statistical analysis. That is not the case. A scan of statements made by media, state governors, local leaders, county judges, and more show many relying on the same source, an online mapping tool called  COVID Act Now.  The website says it is “built to enable political leaders to quickly make decisions in their Coronavirus response i...
Read more

Covid-19: Day 87: Mar26th: Why Did Hundreds Of CEOs Resign Just Before The Virus? Millions of locusts cover streets in Oman: Fired Americans Send Unemployment Websites Crashing Down: US deaths top 1,000 as $2.2 trillion in virus aid approved.

-
Image
Certain people made billions from 9/11, it looks like many more bosses were given a heads-up just before Covid-19 exploded! Why Did Hundreds Of CEOs Resign Just Before The World Started Going Absolutely Crazy? In the months prior to the most ferocious stock market crash in history and the eruption of the biggest public health crisis of our generation, we witnessed the biggest exodus of corporate CEOs that we have ever seen. And as you will see below, corporate insiders also sold off billions of dollars worth of shares in their own companies just before the stock market imploded. In life, timing can be everything, and sometimes people simply get lucky. But it does seem odd that so many among the corporate elite would be so exceedingly “lucky” all at the same time? One financial publication is using the phrase “the great CEO exodus” to describe the phenomenon that we have been witnessing. It all started last year when chief executives started resigning in numbers, unlike anything th...
Read more