Ray Dalio Says Evergrande Crisis ‘Manageable’

Sep.21 -- Ray Dalio, founder and co-chief investment officer at Bridgewater Associates, says China Evergrande Group’s debt crisis “is all manageable” even as lenders are hurt by the property developer’s troubles. "Investors will be stung -- that’s how it works,” Dalio says in an interview with Tom Keene on "Bloomberg Surveillance."

[jacksbob]

he should tell that to chinese people who worked for 20 years to buy a house.
:(
imagine wasting your life for a good home and in the end not be completed?.

[EmilyAllan]

Its so nice for Ray to come out and do the CCP's job for them.

[jayren]

He’s appealing to bag holders since his money and position depend on CCP and bag holders. Evergrande crisis is manageable inside by CCP’s iron fist but China’s market would become dead water under Xi. If you are dreaming of hope in China, have patience after Xi’s death.

[stephanweiskorn]

This man is loyal to the "Establishment".

[merrillt.velarde]

We should be careful on money disposal if you are not spending to earn or get back money, then stop spending...

[lebron]

He clearly has a lot of money invested in that
He's crying to defend the company lol

[HafeezBlackLeg]

Ray Dalio's confidence is through the roof, even his head nods every time he speaks

[thewindwaker]

If it is a good thing "borrowers get stung" the system sucks

[ThreeChe]

Dalio is trying to convince us this situation is isolated to one massive Chinese real estate company. When you pull up a rug and cockroaches come running out, you better check inside the walls...

[m_all_around]

The problem is not Evergrande, but how big is the whole sink hole in Chinese real estate to get the government take such sharp actions and making the market feel how if it will not walk in. If we consider the US mortgage bust, as a comparison, Evergrande can be New Cent. Financial corp. and the bank that had gone underwriting that stuff and the US banks.
That said, if a publicly traded company, with rating agency scoring, listed on multiple stock markets, just went through and was seen how bad it was in march 2022, what is the condition of small private real estate players in China.
How big is the hole?
How slumped is the market?
How deep are the implications?

One Evergrande can pass, two might go through ... but if we look at a moltitude of small medium players running out of the market, we speak about a possible problem that might be tough to manage.
Let's be honest, we need a deep wash in the economy, we can't have junk bonds with 3/4% yields.

[បេះដូង-ឡទ]

As always, Ray is an avid defender of China.

[guyinthesky]

Today’s tip: Listen to Ray and go broke

[lukecarterpenney]

Tell me you have billions of dollars at stake in Chinese assets without telling me you have billions at stake in Chinese assets

[Jenniferlawren]

*I HAVE ABOUT 5% OF MY PORTFOLIO IN URANIUM BITCOIN ANY ADVICE ON ANY OTHER CRYPTO CURRENCY THAT I CAN GROW MY $300K CAPITAL TO A MILLION dollars?*

[uiop]

This is the only time I've disagreed with Mr Dalio.
Is it true that 10 or so other developers, 2.7 times Evergrande's size estimated UBS, could collapse as China's RE bubble bursts?
Are reports true -say China's pouring $70+B into the endangered banking sector with their money printer?
Is it accurate that 50M homes are lying vacant in China? I know I've seen years-vacant homes in upscale RE markets in the US.
So many vacant residential units exist in China that the people from Germany, UK, France, Canada, and Italy would fit into the vacant units. Really?

[chrisw]

translation: its completely out of control

[frederickmiles]

Oh snap Ray - right on cue - portfolio burning in the background; 'screaming all is well' as he scours the earth for bag holders - pension holders mind your wallets!

[maxhenrix]

What a bad-ass interviewer. Constantly interrupting with no follow up on statements

[carverhartl]

Yeah the problem is a lot of their debt is US Dollar denominated. Riddle me that Dalio

[andytan]

Disappointed

Either he doesn't know China well enough or he pretends not to know.