When growth is slower than expected, stocks go down. When inflation is higher than expected, bonds go down. When inflation's lower than expected, bonds go up.
Ray DalioThe main reason I write the daily observations is because I want to know where I'm wrong. So lots of times if somebody points something out it helps me, and I want to have a diversified bet of uncorrelated bets.
Ray DalioI think the greatest tragedy of mankind is that people have ideas and opinions in their heads but don't have a process for properly examining these ideas to find out what's true. That creates a world of distortions.
Ray DalioEvolution is the only thing that exists through time. That is true for computers, or people, or a business. We tend to see things in a static way, and so you see what is. Even in looking at ourselves, what we really are is essentially vessels for our DNA that keeps evolving through time. So seeing that and embracing that reality, and thinking of everything as kind of this perpetual motion machine in which you embrace reality - you don't wish it was different. You realize that it's your puzzle to interact with. You interact with it well, you evolve yourself.
Ray Dalio