Billionaire investor Ray Dalio warns: AI is showing signs of a financial bubble

2026-09-21 12:29:17Kosova&Bota SHKRUAR NGA REDAKSIA VOX

Billionaire investor Ray Dalio warns: AI is showing signs of a financial bubble

Billionaire investor Ray Dalio, founder of Bridgewater Associates, says the artificial intelligence boom is showing some of the classic signs of a financial bubble, even though the technology itself could bring about revolutionary change.

He made the comments in a 90-minute interview with Steven Bartlett on the podcast "The Diary of a CEO."

Dalio, known for his analysis before the 2008 financial crisis, argues that disruptive technologies can be both transformative and speculative. He says that the excitement can lead to a sharp rise in prices and investment before markets face a correction.

In the case of AI, Dalio doesn't argue that the technology will fail. On the contrary, he considers it revolutionary and predicts that it will impact almost every area, including the way people work, think, and solve problems. His warning is mainly related to the funding and expectations that have been created around the industry.

A significant portion of the interview is devoted to the impact of AI on the job market. Dalio discusses the possibility of automation replacing some functions currently performed by humans and raises the question of whether the economy will create enough new jobs to compensate for those that may be lost.

Dalio places the development of AI within his broader “Great Cycle” theory. According to this theory, periods of major change are associated with a combination of high debt, internal political and social tensions, changing balances of world power, and technological development. This is Dalio’s analytical framework, not a surefire prediction that a crisis will occur at a particular moment.

Dalio's main message is that two things can be true simultaneously: AI can be a technological revolution, while investments around it can form a financial bubble.

 He does not give a date for a market crash, and the interview emphasizes that the discussion should not be interpreted as investment advice.


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