This Is What Bridgewater Said About China's Stock Market

"We did not properly anticipate the rate of acceleration in the bubble ..."

This is Ray Dalio, billionaire and founder of Bridgewater Associates, possibly thinking about China.
Photographer: Jason Alden/Bloomberg

Provide news feedback or report an error

Confidential tip?

Send a tip to our reporters

Site feedback:

Take our Survey

By Julie Verhage

July 24, 2015 at 2:46 PM UTC

This article is for subscribers only.

Despite the roller-coaster ride that has been Chinese stocks in recent months, Bridgewater Associates, one of the world's largest hedge funds, had remained bullish on China's market and economy. But that appeared to change this week. In a new note released to clients on Tuesday, the hedge fund founded by Ray Dalio appeared to change its view, noting a number of growing concerns in the world's second-biggest economy.

The 10-page note leaked and media companies were quick to report the story, causing Bridgewater to send out a statement yesterday in which the firm played down the apparent change in its outlook. Here's what the hedge fund said, as reported by Bloomberg First Word: