Stability meets Performance at the world’s largest hedge fund.
Bridgewater Associates has appointed 40-year veteran and Co-CIO Bob Prince as Chair of the Board, replacing Mike McGavick.
📈 THE CONTEXT: A Record-Breaking 2025 Prince takes the helm of the board following the most profitable year in the firm’s 50-year history.
- Flagship Return: The Pure Alpha fund surged 34% in 2025.
- Drivers: The fund capitalized on the “Trump Trade” volatility in bonds/currencies and the AI-driven equity rally.
- Innovation: The firm successfully launched a $5B AI fund (AIA Macro) and entered the ETF market with State Street.
👨✈️ THE LEADER: Bob Prince isn’t just an executive; he is a primary architect of Bridgewater’s investment philosophy.
- Tenure: Joined in 1986 (pre-dating the firm’s major growth).
- Legacy: Instrumental in developing Risk Parity and the firm’s core systematic processes.
- Quote: “The same areas that inspired me 40 years ago… continue to excite me today.”
🔄 THE STRATEGIC EVOLUTION: Under CEO Nir Bar Dea, Bridgewater is aggressively modernizing while retaining its DNA:
- Ownership: Expanding equity stakes to >60% of employees this year (up from ~300 staff previously).
- Cap Size: Restricting inflows to keep the capital base nimble.
- Post-Dalio Era: With Ray Dalio fully exited, the Prince appointment signals that the “Old Guard” (Prince, Jensen) and the “New Guard” (Bar Dea, Karniol-Tambour) have successfully stabilized the transition.
💡 ANALYST TAKEAWAY: This is the ultimate vote of confidence in the “Machine” operating without its founder. By elevating Prince—the longest-serving steward of the investment logic—to Board Chair, Bridgewater ensures that its governance remains rooted in its unique culture, even as it pivots aggressively into AI and employee ownership.
👇 Fund Managers: Is the “Co-CIO to Chairman” pipeline the best model for preserving alpha culture in founder-led firms?