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By Weston Blasi

The hedge-fund billionaire says today’s economic times remind him of the 1970s

A 15% gold portfolio? Ray Dalio think you should have one.

‘If you look at it just from a strategic asset-allocation perspective, you would probably have something like 15% of your portfolio in gold, because it is one asset that does very well when the typical parts of the portfolio go down.’

That was Ray Dalio – the billionaire founder of the world’s largest hedge fund, Bridgewater Associates – discussing how much gold it makes sense for investors to have in their portfolios.

Speaking last Tuesday at the Greenwich Economic Forum in Connecticut, Dalio touted gold (GC00) while comparing the current economic landscape with that of the 1970s.

“It’s very much like the early ’70s. … Where do you put your money in?” he said. “When you are holding money and you put it in a debt instrument, and when there’s such a supply of debt and debt instruments, it’s not an effective storehold of wealth.”

See: Morgan Stanley is opening cryptocurrency investments to all clients. Here’s what percentage of your portfolio should be in crypto.

Generally, gold is seen by some investors as a way to protect against inflation and market volatility, particularly in uncertain economic times. But Dalio’s 15% asset recommendation for gold holdings contrasts with the advice of many financial advisers who tell clients that a 60/40 split between stocks and bonds is optimal, with alternate assets like gold and commodities below a 10% threshold.

“There’s going to be some individuality to each portfolio,” Clifford Cornell, Certified Financial Planner at Bone Fide Wealth told MarketWatch. “Gold is the talk of the town, and it’s been a stellar year for the asset class, and people get FOMO [fear of missing out].”

Cornell does not offer a one-size-fits gold asset-allocation recommendation for clients, but noted 15% is a “pretty hefty allocation.”

Edward Hadad, a financial planner at Financial Asset Management Corp. with over 15 years of experience, is skeptical of Dalio’s comments on the precious metal.

“We advise to equites and bonds – assets that have earnings,” he said. “Gold is not going to pay you dividends. It’s not part of our models.”

If a client wants to have some of their portfolio in gold or alternative assets, Hadad recommends that portion should not exceed more than 5% of the total portfolio. “If somebody wants to speculate, we want to insure the totality of what we manage can still achieve your financial goals,” he said.

Similarly, one of BlackRock’s portfolio managers posted last month that a 2% to 4% strategic allocation for gold is preferred, while Fidelity generally advises a “small percentage” of gold exposure.

Representatives for Dalio did not respond to a request for comment.

Dalio’s comments came as gold prices continue their all-time highs this week, reaching over $4,100 an ounce. Gold prices have spiked over 55% in 2025 amid mounting U.S. fiscal deficits, inflation, bets on falling interest rates and a weaker dollar, among others factors.

Silver prices are also on a track for big gains this year. Comex silver futures SI00 (SI00) (SIZ25) were just below $48 an ounce on Saturday as prices have climbed more than 60% in 2025 to date.

The ICE U.S. Dollar Index DXY, a measure of the dollar against a basket of six major world currencies, is down just under 9% for the year.

Read on: If New York or California enter a recession, the entire U.S. economy would be next. So how are they doing?

-Weston Blasi

This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal.

  (END) Dow Jones Newswires

  10-11-25 1244ET
Copyright (c) 2025 Dow Jones & Company, Inc.

By Weston Blasi

Morgan Stanley will rely on its automated monitoring processes to make sure clients are not overly exposed to crypto

Crypto goes even more mainstream as Morgan Stanley drops restrictions for its clients.

Financial-services giant Morgan Stanley will start allowing its financial advisers to pitch crypto investments to clients with any type of account, according to a person familiar with the matter.

Prior to this change, which goes into effect Oct. 15, crypto funds were only available to Morgan Stanley (MS) clients with an aggressive risk tolerance and at least $1.5 million in assets with traditional brokerage accounts.

While the move signifies a dramatic shift in the crypto industry, which is further solidifying its presence in the mainstream U.S. investing ecoystem, the question now becomes: What percentage of one’s portfolio does it make sense to have invested in crypto?

“It comes down to the individual,” Clifford Cornell, a certified financial planner at Bone Fide Wealth, told MarketWatch, noting that their clients have been eager to get into crypto. “We have a lot of conversations with clients about bitcoin. It’s one thing clients are really interested in, whether it’s actually allocating or just understanding what it is.”

Generally, Cornell said that if people come to him interested in assets outside of stocks or bonds, then he doesn’t give them a blanket asset-allocation recommendation. Instead, he may suggest setting up a separate growth-investing account – what he calls an “opportunity portfolio” – where those alternate assets can go.

“Maybe it’s more of a trade instead of an investment,” he said. “In those instances, I’d be less concerned with the percentage – whether it’s 90/10, etc. – and more concerned with what we call an opportunity portfolio.

“We never shy away from allowing clients [to invest] if they feel strongly about bitcoin, gold or an individual stock,” he added.

Prices for bitcoin( BTCUSD) reached an all-time high this week of about $126,000, before retreating back to $118,000 on Friday. The digital asset is up over 25% in 2025 to date.

“When we see a stellar year for any individual asset class, I think a lot of people get antsy,” Cornell said, explaining that clients who aren’t invested can feel left behind by a bull run in an asset.

Some other financial advisers were more comfortable giving a recommended allocation percentage for assets like crypto or gold (GC00).

Edward Hadad, a financial planner at Financial Asset Management Corp. with over 15 years of experience, recommends that speculative assets like crypto or gold should not exceed more than 5% of a person’s portfolio.

“If somebody wants to speculate, we want to ensure the totality of what we manage can still achieve your financial goals,” Hadad told MarketWatch.

See: Gold above $4,000: Is it too late to add it to your 401(k)?

And some financial institutions are making their own recommendations, too.

Morgan Stanley’s Global Investment Committee issued a paper in October outlining a recommendation of a maximum crypto allocation of 4%, according to CoinDesk. The committee described crypto as “a speculative and increasingly popular asset class that many investors, but not all, will seek to explore” – comparing bitcoin, specifically, to a scarce asset “akin to digital gold.”

Similarly, BlackRock’s Inc. (BLK) Investment Institute recommended a 1% to 2% allocation to bitcoin in 2024, while three writers from Fidelity’s investment blog suggested that portfolio allocations of 2% to 5% in bitcoin may be appropriate – and even as much as 7.5% for young investors.

Morgan Stanley’s latest crypto changes will also allow for retirement accounts to be exposed to crypto holdings for the first time. The financial planners that spoke to MarketWatch for this story were discussing potential crypto exposure in traditional brokerage accounts, not retirement accounts.

Morgan Stanley will rely on its automated monitoring processes in an effort to make sure clients do not become overly exposed to the volatile digital asset class.

See: Dow shedding over 800 points as U.S. stocks plummet on Trump’s threat of new China tariffs

Read on: Ray Dalio wants investors to have 15% of their portfolios in gold. Here’s what others think of his advice.

-Weston Blasi

This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal.

  (END) Dow Jones Newswires

  10-11-25 1230ET
Copyright (c) 2025 Dow Jones & Company, Inc.