Bridgewater Associates, $130 billion under management, takes its turn at the government teat:
Bridgewater Associates, the world’s biggest hedge fund, intends to build a $750 million headquarters financed partly with state aid in Stamford, Connecticut, according to Governor Daniel Malloy.
The company, which paid founder Raymond Dalio $3.9 billion in 2011, occupies five buildings in nearby Westport. The new headquarters is planned for Stamford’s Harbor Point waterfront district, Malloy, 57, said yesterday in a statement. Bridgewater also committed to adding hundreds of jobs.
Connecticut agreed to give Bridgewater a $25 million “forgivable” 10-year loan at 1 percent interest to help finance two buildings totaling 750,000 square feet (69,700 square meters). It will also provide as much as $5 million for job training, $5 million for alternative-energy systems and $80 million in tax credits, according to the statement. [Emph. added]
Wait 'til Cliff Asness hears about this. . . . Am not sure who should be more embarrassed: Gov. Malloy, for forcing Connecticut taxpayers to subsidize the most successful hedge-fund manager in history, or Dalio, for agreeing to take the state’s money in the first place. Remember, investment management is perhaps the most scalable business on the planet: a little fixed investment can go a long, long way—especially if you’re running $130 billion. The mind reels. . .