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Bridgewater Associates bets over $1 billion on market drop: WSJ

Stock Markets Nov 22, 2019 06:27AM ET
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(Reuters) - Bridgewater Associates LP, a hedge fund founded by billionaire Ray Dalio, has bet more than $1 billion that stock markets around the world will fall by March, the Wall Street Journal reported on Friday, citing people familiar with the matter.

The bet, assembled over a span of months and executed by a handful of Wall Street firms, including Goldman Sachs Group Inc (N:GS) and Morgan Stanley (N:MS), would pay off for the world's biggest hedge fund if either the S&P 500 (SPX) or the Euro Stoxx 50 (STOXX50E) — or both — declines, the report said.

The bet is made up of put options, contracts that give investors the right to sell stocks at a specific price by a certain date. The options expire in March and currently represent one of the largest bearish bets against the market, the report added.

Bridgewater Associates was not immediately available for comment.

Bridgewater Associates bets over $1 billion on market drop: WSJ
 

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Comments (12)
Crystal Flournoy
Crystal Flournoy Dec 04, 2019 8:36AM ET
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That Ray is a smart man.
frendy glasser
frendy glasser Nov 22, 2019 11:06AM ET
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Good trade actually. Downside is known and its only the option premuims. Upside is skewed high. They could very well have stops on those as well to limit loss more. Smarter trade than shorting
Andrew carson
Andrew carson Nov 22, 2019 11:04AM ET
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Did they bet on the Astros too. lol
Steven Chen
Gamer_LG Nov 22, 2019 10:45AM ET
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lmao is that why market have been going up lately? banks are longing themselves while this guy shorts.
Kaveh Sun
Kaveh Sun Nov 22, 2019 10:37AM ET
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These traders are like baseball players. A couple small misses, then a home run. The media loves home runs. Thatks how ur name is made.
David David
David9 Nov 22, 2019 9:17AM ET
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My bet is that we will get a big China deal and S&P will doubled by then.
nick bryson
nick bryson Nov 22, 2019 8:59AM ET
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I've been shorting the s&p for months. lost value but still holding onto my shorts.
Mario tragik
Mario tragik Nov 22, 2019 8:52AM ET
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Ray Dalio? the one that lost a fortune predicting a market crash in the 80s-90s?
Hector Barrera
Hector Barrera Nov 22, 2019 8:52AM ET
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Correct. Also the one who runs the largest of them all today. Live in the past or the present. Your call.
Ab Ab
Ab Ab Nov 22, 2019 8:52AM ET
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history repeats itself. just a matter of time.
Pete Peerapong
Pete Peerapong Nov 22, 2019 8:52AM ET
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And who are you?
Themba Martin
Themba Martin Nov 22, 2019 8:52AM ET
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always remember that there aren't 100% win trade predictions so take a chill pill and delete your lame post
Omar Hourani
Omar Hourani Nov 22, 2019 8:12AM ET
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This is expected and i was waiting for it , i thought it will happened before the end of this year but i belive because of the ellection they try thoer best to hold things togather becaue the problem mot just falling the stock market only , the US dollar in my opinion will fall fown like we never wintness in the history. Ive been tell ppl around me about this for over a year and they think im dreaming .. its not just the stock market is over priced, real state is over priced , cridet debit over 1 trillion already , the 2-3 % grown its just stupid spending because we became stupid consumer that the big corporations turn us to another smart type of slavry. The deficit is over a trillion ... if i want to keep going i need probably days to talk about this the finanacail and moral crisis that we are in as humanity. So as denis said “ the clock is ticking “
Anony mous
An0nym0us Nov 22, 2019 7:03AM ET
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Aw **** here we go again..
 
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