Over the previous year, Raymond Thomas Dalio’s $223 billion hedge fund Bridgewater Associates has struggled to outperform the market. Following a double-digit loss in the preceding year, his hedge fund lost another 20% in the first quarter of this year. Dalio reduced his holdings in debt instruments, banking stocks, and exchange-traded funds, which were the main contributors to the 2020 losses. At the end of 2019, the financial sector accounted for 81 percent of the whole portfolio. As of the first quarter of 2021, Walmart was one of Dalio’s hedge fund’s significant holdings. Since his beginning, Dalio has created more than $46 billion for investors. In the past, Dalio was one of the most outspoken detractors of bitcoin and the digital currency phenomenon. He now owns bitcoin and believes it will be a true store of value in the future. Bridgewater Associates initiated new investments in 127 stocks and increased its holdings in 204 others.
Insider Monkey dug into the 10 best stocks to buy according to billionaire Ray Dalio. Since the second quarter of 2019, Pinduoduo Inc. has been a part of Ray Dalio’s hedge fund Bridgewater Associates’ portfolio. In the first quarter of 2020, Bridgewater Associates initiated a position in Starbucks Corporation. Ray Dalio has 1.39 million Starbucks Corporation shares for around $152 million. According to billionaire Dalio, Starbucks is one of the best stocks to invest in. During the first quarter, Ray Dalio’s hedge fund increased its existing stake in Costco Wholesale Corporation by 15% to 562,979 shares or 1.75 percent of the portfolio. Costco’s stock price has increased by 21% in the last year. In the last five years, the corporation has boosted its dividend. During the first quarter of this year, Ray Dalio’s hedge fund grew its position in McDonald’s Corporation by 22 percent to 1.86 percent. Because of its long dividend history and continuous share price gain potential, MCD is regarded as the finest company for defensive investors. In recent months, the number of long hedge fund bets has climbed by five. In the first quarter of 2021, Bridgewater Associates increased its position in PepsiCo by 21% to 2.23 percent. PepsiCo has grown its dividend for 49 years in a row and currently has a dividend yield of 2.9 percent. According to billionaire Ray Dalio, Pepsi is one of the greatest companies to buy. For more details, click 10 Best Stocks to Buy According to Billionaire Ray Dalio.