Ray Dalio says to invest in gold as U.S. debt mounts

Bridgewater Associates founder Ray Dalio said that he expects gold and non-fiat currencies to become “more important” investment sources as U.S. debt becomes “unsustainable” noting this threatens the monetary order.

“We are going to see non-fiat currencies become more important store of wealth and money,” Dalio said while speaking on a panel at FutureChina Global Forum 2025 on Friday. He said investors’ portfolios should be 10% in gold as a way to diversify, CNBC reported.

Gold futures were up about 0.10% around 9 a.m. ET.

He said that U.S. debt has become “unsustainable,” adding its “over-spending” is six times that of the money it brings in, the outlet added. But Dalio added that for “various reasons” the U.S. “cannot cut back on its spending,” Bloomberg reported.

Dalio said that the U.S. will spend $7 trillion in 2025 while only making $5 trillion — adding another $2 trillion. When adding into consideration interest and old debt he said “this means you have to sell $12 trillion in debt” without noting a timeframe for this, Bloomberg reported.

Dalio noted the rest of the world “does not have that same sort of demand for that debt, and that creates a supply-demand imbalance,” the outlet added.

“You’re seeing the threat to the monetary order,” Dalio said during the event according to Bloomberg. “Other factors together will determine whether we’re seeing the end of the entire U.S. empire.”