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Dalio’s Bridgewater Associates made $536 million net in capital gains

Bridgewater Associates, a prominent asset management firm, led until recently by Ray Dalio, achieved an impressive $929.8 million in capital gains during the most recent quarter, as revealed by the company’s quarterly filings with the U.S. Securities and Exchange Commission (SEC). Bridgewater’s total investment portfolio is valued at $16.4 billion, encompassing a diverse range of assets across different classes, including common shares from class A to class C, as well as other asset categories. The portfolio consists of 703 assets, a decrease from the previous quarter’s count of 811.

During this period, Bridgewater Associates strategically divested from the stocks of 227 companies, including prominent names like PINDUODUO INC and BANK OF AMERICA CORP, resulting in divestments of $297 million and $106 million, respectively. Simultaneously, the firm made 109 new acquisitions, notably investing in PDD HOLDINGS INC with $162 million and THE CIGNA GROUP with an investment of over $52 million.

However, the firm also experienced capital losses due to underperforming assets within its holdings. Notably, the stock price of JOHNSON & JOHNSON dropped by 12%, leading to a substantial capital loss exceeding $77 million for this particular asset alone. Collectively, the total capital loss incurred across all invested assets amounted to $394 million.

In a comprehensive assessment, Bridgewater Associates managed to achieve a net capital gain of $536 million for the second quarter of the current year, taking into account gains offset by losses. This performance translates to a return of 2.93% on the firm’s substantial $18.3 billion investment portfolio (as per the filing).