Bridgewater Associates is embarking on a major overhaul to boost returns, increase profitability and develop new sources of revenue, five months after founder Ray Dalio handed control of the $138 billion firm to a management team led by Chief Executive Officer Nir Bar Dea.
(Bloomberg) — Bridgewater Associates is embarking on a major overhaul to boost returns, increase profitability and develop new sources of revenue, five months after founder Ray Dalio handed control of the $138 billion firm to a management team led by Chief Executive Officer Nir Bar Dea.
The world’s largest hedge fund firm said on Wednesday that it plans to cap the size of its signature hedge fund, expand in Asia and equities and cut nearly 8% of its workforce, among other moves.
Read more: Bridgewater Exits Dalio Era With Major Revamp Under CEO Bar Dea
The firm said it will:
- Cap the size of its flagship Pure Alpha strategy to $70 billion, down about 30% from its historic peak
- Cut about 100 jobs from its 1,300-person workforce
- Launch new strategies including products that use individual stocks to express the firm’s views on macro trends
- Develop more funds with Asia exposure and double its Singapore staff from 15
- Expand in sustainability to bet on equities and focus on strategies to generate excess return
- Create a new team under Co-Chief Investment Officer Greg Jensen that will engineer tools powered by artificial intelligence
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