Ray Dalio's Bridgewater Makes Waves: Q4 Unveils Strategic Shifts With New Investments, Sector Expansion In Tech

Bridgewater Associates, founded by billionaire Ray Dalio, made notable adjustments to its portfolio in the fourth quarter of 2023. The hedge fund revealed significant new bets, exits and increased stakes, providing valuable insights into its investment strategy.

Over the past few years, 74-year-old Dalio gradually scaled back his formal role at the firm. He resigned as CEO in 2017 and stepped down as co-CIO last October. He does remain involved in a more informal capacity as a CIO mentor, offering advice and meeting with investors.

Key Portfolio Changes

Bridgewater initiated new positions in prominent companies, including Apple Inc AAPL, Oracle Corp ORCL, Crown Castle Inc CCI, Coterra Energy Inc CTRA, Wells Fargo & Co WFC, and Delta Air Lines, Inc. DAL.

In the fourth quarter, the hedge fund also closed out holdings in Netflix Inc NFLX, Thermo Fisher Scientific Inc TMO, Microchip Technology Inc MCHP, Akamai Technologies Inc. AKAM, and Constellation Energy Corp CEG.

Tech Sector Expansion: Nvidia Stake Up 458%

A highlight of Bridgewater’s fourth-quarter moves was its remarkable 458% stake increase in chipmaker Nvidia Corp NVDA, reflecting the hedge fund’s confidence in the company’s future. This move, bringing Bridgewater’s total Nvidia holdings to 268,489 shares, aligned with Nvidia’s outstanding performance, surpassing Alphabet Inc GOOG GOOGL in market capitalization.

In addition to the substantial Nvidia stake increase, Bridgewater expanded its tech portfolio by adding 500,000 new shares in Alphabet, increasing its Meta Platforms Inc META holdings and making a smaller investment in Apple. The hedge fund also maintained its position in Microsoft Corp MSFT.

Also Read: Ray Dalio’s Bridgewater Bets Big On Retail With Stakes In Coca-Cola, Costco, And Walmart Among Top Holdings

Diversification Extends To Pharma

Bridgewater’s strategic diversification extended to the pharmaceutical sector, evidenced by a new investment in Eli Lilly And Co LLY. The fund added 255,619 shares, demonstrating a nuanced approach to capitalize on health care trends, particularly in weight-loss drugs.

Bridgewater Associates’ 13F changes reveal a strategic and confident investment approach, marked by sector diversification and bold bets on key players. The hedge fund’s moves provide valuable insights into its outlook and investment priorities, offering a compelling narrative for market observers and investors alike.

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