May 29

Welcome to Crony America: Hedge Fund with $146 Billion in Assets Gets $22 Million Government Subsidy:

The world’s biggest hedge fund has secured $22 million of financial assistance from the government of Connecticut, reports FT. The hedge fund, Ray Dalio’s Bridgewater Associates,has $146bn of assets under management.

A meeting of Connecticut’s bond commission on Friday approved $5 million in grants for Bridgewater and a $17 million  loan that will be forgiven if fund creates 750 jobs in the state.

Connecticut is charging Bridgewater an interest rate of 1 per cent.

Dalio, personally, made $1.4 billion last year, according to Institutional Investor’s Alpha magazine, and has a net worth of more than $15 billion, according to Forbes.

Dalio’s firm originally asked the state for $130 million to build new offices in Stamford, but those plans were scrapped after a local backlash. Instead, it will expand and update its existing headquarters.

Note well; All this talk about “adding jobs” ignores the fact that markets clear and there never is a jobs creation problem (other than that caused by government regulations  such as minimum wage laws).

Further, there is never any discussion about the losses created for those the money was taking from to be handed over to the crony capitalists.

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