“Investing in bonds has ‘become stupid,’ Ray Dalio says. Here’s what he recommends instead”
March 16, 2021
““I believe a well-diversified portfolio of non-debt and non-dollar assets along with a short cash position is preferable to a traditional stock/bond mix that is heavily skewed to U.S. dollars. I also believe that assets in the mature developed reserve currency countries will underperform the Asian (including Chinese) emerging countries’ markets. I also believe that one should be mindful of tax changes and the possibility of capital controls.”…”
I agree with some things in this article and i disagree with others. If every investor dumps the U.S. dollar that will only make matters worse. I agree that investing in bonds is not a good idea though. I am highly, highly in favor of having cash on hand. (The average person should have 5k in the bank in my opinion) After that then yes, don’t rely on the dollar so much.
Also lets be clear here. China’s currency is in much, much more trouble than the U.S. currency. That’s like jumping from the pot to the frying pan. Hard assets and things that have real world value are the way to go in my opinion.