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Ray Dalio, the founder of Bridgewater Associates, grew the company from a two-bedroom apartment in New York into the largest hedge fund by assets under management. Despite a decline in assets under management following Dalio’s retirement in 2022, Bridgewater Associates still maintains its position as the largest hedge fund in the world, with $124 billion in assets as of May 2024.
Bridgewater Associates’ success is attributed to Ray Dalio’s investment strategy, which involves tracking the macroeconomy rather than the performance of individual stocks. This strategy has enabled the company to maintain excellent performance in all markets, including major recessions such as that of 2008.
With the U.S. economy under pressure from high inflation, smart investors are turning to Bridgewater Associates for investment insights. We analyzed the stock portfolio and identified two dividend kings worth considering in June 2024.
Procter & Gamble (NYSE:PG), the second-largest consumer packaged goods company in the US, with a market cap of $390.20 billion, is a top pick for Bridgewater Associates. The company owns $4.1 million in P&G shares as of May 26, 2024. This dividend king has paid increasing quarterly dividends for the past 68 years and currently offers an annual dividend yield of 2.44%, higher than the industry average yield of 2%.
Walmart Inc. (NYSE:WMT) is another dividend king favored by Bridgewater Associates, which owns approximately 6.9 million shares worth $414.3 million. Walmart is a giant retail company valued at $526.95 billion, with a strong balance sheet that allows the company to maintain dividend payments through all economic cycles, including periods of inflation. The stock is up more than 20% this year and offers a quarterly dividend of $0.21 per share with a payout ratio of 39.58%.
Consider this alternative with a target return of 7% to 9%
While these dividend kings are attractive investment options, investors should also consider alternative investments that can deliver high returns and diversification. One such opportunity is the Arrived private credit fund.
The Private Credit Fund offers investors a unique opportunity to invest in short-term loans to finance professional real estate projects. These projects may include renovations, renovations or new construction of homes, managed by experienced real estate professionals. All loans are residentially backed, with loan terms ranging from 6 to 36 months, giving investors an extra layer of security.
One of the key benefits of the Private Credit Fund is its focus on generating higher cash returns for investors. The fund targets annualized dividends of 7-9%, taking into account all costs and fees. This income-oriented, higher-return approach makes the Private Credit Fund an attractive option for investors looking to supplement their equity investments with a reliable income stream.
The fund also prioritizes capital preservation by investing in loans backed by residential properties as collateral. In the event that a borrower defaults, the properties can be foreclosed and sold, providing greater recovery options than with investments without real estate collateral.
Click here to learn more about the Arrivald Private Credit Fund and how it can help you diversify your portfolio with short-term high-yield real estate investments.
While dividend kings like Procter & Gamble and Walmart are attractive investment options favored by Ray Dalio’s Bridgewater Associates, investors should also consider alternative investments like the Arrivald Private Credit Fund. By diversifying your portfolio with a mix of dividend stocks and high-yield real estate bond investments, you can create a more resilient and balanced approach to generating income in all market conditions.
Photo courtesy: World Economic Forum on Flickr
This article 2 Ray Dalio Dividend Stocks to Add to Your Portfolio in June originally appeared on Benzinga.com
