Fans of Ray Dalio, founder of the hedge fund Bridgewater Associates, now have a new way to incorporate the investment guru’s strategies into their portfolios: State Street Global Advisors and Bridgewater Associates have launched the SPDR Bridgewater All Weather ETF (ALLW), a fund that brings the “all weather” strategy approach within reach of retail investors seeking resilience for their portfolios during market turbulence.
The strategy, which was developed by the hedge fund under Dalio’s leadership nearly 30 years ago, aims to provide exposure to different markets and asset classes to create a portfolio resilient to a wide range of market conditions and environments, according to the fund’s prospectus.
The portfolio allocates assets based on the fund’s view of cause-and-effect relationships, specifically how those asset classes react to changes in growth and inflation. State Street will buy and sell the fund’s investments, which may include a range of global asset classes, such as domestic and international equities, nominal and inflation-linked bonds, and commodity exposures.
The launch of the fund comes as markets face a phase of volatility due in part to concerns around tariffs and their effects on the economy and inflation. It also continues to expand State Street’s range of alternatives following the recent approval of the firm’s private credit ETF with Apollo Global Management.
This actively managed ETF has an expense ratio of 0.85% and invests based on a daily model portfolio provided by Bridgewater.
