: Ray Dalio’s Bridgewater boosts its bets on China

United States

The world’s biggest hedge fund boosted its bet on Chinese companies in the fourth quarter.

The latest 13-F filing from Bridgewater Associates shows the firm boosted its stake in Alibaba BABA, -0.27% by 29% in the fourth quarter, to take its holding in the Chinese internet services giant to the eighth highest spot in its portfolio.

Bridgewater also boosted its stake in JD.com JD, +0.64% by 33%, in Pinduoduo PDD, -1.40% by 38%, in Baidu BIDU, +0.09% by 23%, and in Chinese electric vehicle maker Nio NIO, -1.29% by 8% in the fourth quarter.

Bridgewater also indirectly owns a number of Chinese companies through its third-largest holding, Vanguard’s emerging-markets fund VWO, -0.75%, though the firm reduced its holding in that and two similar emerging-markets ETFs in the fourth quarter.

Investors have been tempted in by Chinese companies after a rough 2021 when the country ramped up regulatory scrutiny throughout the economy.

Alibaba shares have climbed 3% this year, Baidu has gained 8% while Nio has tumbled 25%.

Pinduoduo has increased by 1% and JD.com has gained 6%.

Ray Dalio, the founder and co-chief investment officer of Bridgewater, has found himself in hot water over his views on China. He walked back comments in which he appeared to brush off human-rights abuses in the world’s second largest economy when he said it acts like a “strict parent.”