OREANDA-NEWS. Legendary investor, founder and CEO of Bridgewater, the world's largest hedge fund, Ray Dalio, cited the unexpected dangers of cash. His words are quoted by Reuters.

According to the investor, due to the growing inflation in the world, cash cannot now be considered a safe way to invest capital. Dalio stressed that the way out for an investor in this situation could be diversification of assets and investment in currencies and assets of different countries.

According to the financier, investors should pay attention to the fact that such an asset is practically not profitable and is not volatile, but depreciates due to inflation. “There is a need to change the mindset in which everyone is looking at profit in real terms,” says Dalio.

Dalio had previously warned the world of a future financial disaster. He considered that one of the most probable reasons for the imminent global crisis will be the war between the United States and China due to the accumulated contradictions between the two countries. But even if it does not happen, "catastrophes are still inevitable, as the practice of the last 500 years shows."

Dalio also gave advice on how to make losses smaller in the case of a global financial catastrophy. According to him, it is necessary to correctly assess your assets, diversify them by investing in different ways, in both liquid and profitable instruments. Among the assets that investors should look at, the head of Bridgewater named cryptocurrencies.