Dalio: Global on the brink of capital war, gold remains the top hedging tool BlockBeats News: On February 3rd, legendary investor Ray Dalio warned on Tuesday that the world is on the brink of a capital war against the backdrop of ongoing geopolitical tensions and intensified capital market volatility. The so-called capital war refers to the weaponization of funds, where countries engage in games through trade embargoes, blockades on capital market access, and using debt holdings as leverage. Dalio warns that European investors holding assets denominated in US dollars are feeling "worried" that they may face sanctions; And the US side will also have corresponding concerns, fearing that it will not be able to obtain capital inflows from Europe, or that Europe will no longer increase its holdings of US assets. Despite the historic sell-off of precious metals in recent times, Dalio stated that gold remains the best choice for storing funds in the current tense situation. What central banks, governments, or sovereign wealth funds around the world should consider is: what should be the allocation ratio of gold in my investment portfolio, and maintain this fixed ratio - because gold is a highly effective risk diversification tool for other underperforming asset classes in my investment portfolio Dalio added, "Because gold can diversify risks, its performance is particularly impressive during economic downturns and crises; while its performance may be relatively flat during periods of economic prosperity, it is always an effective risk diversification tool. I would like to say that the most important thing is to build a fully diversified investment portfolio