Ray Dalio Warns Economic Order Is Collapsing; U.S. Heads Toward "Civil War"

In the wake of the World Economic Forum in Davos, Switzerland, billionaire Ray Dalio, founder of Bridgewater Associates, is sounding a global alarm.

Dalio said his concern extends beyond the risk of war to capital flows. (Photo: Bridgewater) 

The short version: The old economic world order is gone — and unlikely to return anytime soon, Moneywise reported.

“Let’s not be naive and say, ‘Oh, we’re breaking the rule-based system,’” Dalio said in an interview with Fortune at the WEF.

“It’s gone. It’s going.” Dalio was referring to the global balance of power that long depended on relatively predictable U.S. foreign policy.

Since the start of 2025 under President Donald Trump, business has been anything but usual. April brought one of the largest drops in the S&P 500’s history, driven by U.S. “reciprocal” tariffs.

The rest of 2025 featured escalating rhetoric aimed at longtime allies such as Canada and Greenland, the latter emerging as a flashpoint heading into Davos.

In the months leading up to the forum, Trump publicly discussed annexing Greenland from Denmark, whether through economic or military means.

The move could be aimed at accessing rare-earth minerals beneath the ice, according to CNBC.

But Dalio said his concern extends beyond the risk of war to capital flows. “There’s a red line that has to do with the military as it pertains to Greenland,” he told Bloomberg.

“And if there is a military move, it has capital-war implications.”