Ray Dalio’s Bridgewater boosts its bets on China

Bridgewater also boosted its stake in JD.com
JD,
+0.64%
by 33%, in Pinduoduo
PDD,
-1.40%
by 38%, in Baidu
BIDU,
+0.09%
by 23%, and in Chinese electric vehicle maker Nio
NIO,
-1.29%
by 8% in the fourth quarter.

Bridgewater also indirectly owns a number of Chinese companies through its third-largest holding, Vanguard’s emerging-markets fund
VWO,
-0.75%,
though the firm reduced its holding in that and two similar emerging-markets ETFs in the fourth quarter.

Investors have been tempted in by Chinese companies after a rough 2021 when the country ramped up regulatory scrutiny throughout the economy.

Alibaba shares have climbed 3% this year, Baidu has gained 8% while Nio has tumbled 25%.

Pinduoduo has increased by 1% and JD.com has gained 6%.

Ray Dalio, the founder and co-chief investment officer of Bridgewater, has found himself in hot water over his views on China. He walked back comments in which he appeared to brush off human-rights abuses in the world’s second largest economy when he said it acts like a “strict parent.”