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Waves of tariffs from President Donald Trump unleashed chaos across global markets in 2025, reigniting trade tensions and rattling investors. Throughout the year, dozens of executive orders on tariffs and modifications to existing tariffs came into effect (1), with American households experiencing the largest tax increase since 1993, at $1,000 per household in 2025 and another $600 estimated in 2026, according to the Tax Foundation (2).
But while a tax increase may be unpleasant, billionaire hedge fund manager Ray Dalio has been saying for a while that the real storm has yet to arrive.
In a lengthy social media post from April 2025, Dalio argued that the tariff drama is merely a symptom of deeper structural problems.
“We are seeing a classic breakdown of the major monetary, political and geopolitical orders,” he wrote (3).
Now in March 2026, with new conflicts in Iran and more uncertainty in the markets, Dalio has doubled down on his comments, saying the conflict in the Strait of Hormuz — the waterway separating Iran from the United Arab Emirates that is a critical trade route for the global economy — will decide if the U.S. retains its supremacy in the world order or not.
“It all comes down to who controls the Strait of Hormuz,” Dalio wrote on X (4).
Dalio also drew on historical comparisons, including the outcome of the 1956 Suez Crisis, “a moment widely regarded by historians as the end of the British Empire’s global imperialism,” per Fortune (5). He outlined how, even if the U.S. ‘wins’ this war, losing trade connections with this critical oil supply chain — roughly a fifth of the world’s oil supply flows through the strait daily, Fortune reports — will shift the balance of global power irrevocably.
“Watch out for allies and creditors losing confidence, the loss of its reserve currency status, the selling of its debt assets, and the weakening of its currency, especially relative to gold,” he wrote (4).
But is Dalio right to be so pessimistic? Let’s take a look at why he thinks this way and how you can protect yourself in case it happens.
In his post from April 2025, Dalio outlined five forces he described as reshaping the global landscape.
Dalio said the global economic order is breaking down due to unsustainable debt and deep imbalances between debtor nations like the U.S. and creditor nations like China. As these imbalances unwind, Dalio warned the current monetary order will be forced to change in “big disruptive ways,” with major consequences for capital markets and the broader economy.
Dalio sees the political order of democracies breaking down under the weight of what he calls “huge gaps” in people’s education, income and opportunity levels, as well as values. He said history shows this kind of environment often gives rise to “strong autocratic leaders” — especially when paired with economic and market turmoil.
Dalio was blunt on this point: “The international geopolitical world order is breaking down because the era of one dominant power (the U.S.) that dictates the order that other countries follow is over.” He argued it’s being replaced by a “unilateral, power-rules” approach. While the U.S. remains the most powerful nation, Dalio said it is now operating under a more self-interested “America First” framework.
Dalio added that “acts of nature” like floods and pandemics are becoming more disruptive. He noted that Trump’s tariff actions will affect climate change, “somewhat undermining the world’s ability to address the issue effectively.”
Finally, he noted that rapid advances in technology — such as artificial intelligence — are impacting “all aspects of life, including the money/debt/economic order, the political order, the international order and the costs of acts of nature.”
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Dalio didn’t offer specific investment advice in his post, but in a February 2025 interview with CNBC, he noted the importance of diversification — and pointed to the role of one time-tested asset in particular.
“People don’t have, typically, an adequate amount of gold in their portfolio,” he said (6). “When bad times come, gold is a very effective diversifier.”
Gold is considered a go-to safe haven in uncertain times. It can’t be printed out of thin air like fiat money — and because it’s not tied to any single currency or economy, investors flock to it during periods of economic turmoil or geopolitical uncertainty, driving up its value.
And so, it should come as no surprise that over the past 12 months, gold prices have surged by around 60%, as of March 2026 (7).
One method that many people use to invest in gold is a self-directed gold IRA.
A gold IRA allows you to invest in gold and other precious metals in physical form while also providing the significant tax advantages of an IRA.
Priority Gold is an industry leader in precious metals, offering physical delivery of gold and silver. Plus, they have an A+ rating from the Better Business Bureau and a 5-star rating from Trust Link.
If you’d like to convert an existing IRA into a gold IRA, Priority Gold also offers 100% free rollover, as well as free shipping and free storage for up to five years. Qualifying purchases can even receive up to $10,000 in free silver.
To learn more about how Priority Gold can help you reduce inflation’s impact on your nest egg, download their free 2026 gold investor bundle.
Dalio’s warning about market shake-ups is one all investors should heed, especially if they’re closer to retirement. A single downturn in stocks in your sixties can see you losing out on years of essential income in your final decades.
In 1999, the S&P 500 peaked, and it took 14 long years to fully recover.
Today? Goldman Sachs is forecasting just 3% annual returns from 2024 to 2034. It sounds bleak but not surprising: The S&P is trading at its highest price-to-earnings ratio since the dot-com boom. Vanguard isn’t far off, projecting around 5%.
In fact, nearly everything feels priced near all-time highs — equities, gold, crypto, you name it.
That’s why billionaires have long carved out a slice of their portfolios in an asset class with low correlation to the market and strong rebound potential: post-war and contemporary art.
It may sound surprising, but more than 70,000 investors have followed suit since 2019 — through Masterworks. Now you can own fractional shares of works by Banksy, Basquiat, Picasso and more.
Masterworks has sold 25 artworks so far, yielding net annualized returns like 14.6%, 17.6% and 17.8%.*
Recently, Masterworks acquired a work by Barbara Peyton and offered investment at $1.16M. Just 17 days later, they accepted a buyer’s offer of $1.5M.
That netted 22.9% back to investors.
Moneywise readers can get priority access to diversify with art: Skip the waitlist here.
*Past performance is not indicative of future returns. Investing involves risk. See important Regulation A disclosures at Masterworks.com/cd
Many experts — including Federal Reserve Chair Jerome Powell and JPMorgan CEO Jamie Dimon — warned that Trump’s tariffs could trigger a significant rise in inflation.
In light of the war with Iran, there are even more warnings that continued inflation — or stagflation — could put a squeeze on the wallets of everyday Americans.
For instance, The Guardian reports that the energy supply crisis caused by the war could drive up inflation and interest rates (8). Plus, if Dalio’s warnings are correct and the oil trade with the Middle East is reduced or cut off permanently by the war, the cost of oil could also skyrocket.
That’s why it’s important to seek out other assets to hedge against these inflationary pressures. While gold remains a classic hedge, real estate offers a time-tested alternative — with the added benefit of generating passive income.
When inflation rises, property values often increase as well, reflecting the higher cost of materials, labor and land. At the same time, rising living expenses tend to push rents higher, helping landlords offset the erosion of purchasing power.
Traditionally, investing in real estate meant buying property outright and becoming a landlord. However, new investing platforms are making it easier than ever to tap into the real estate market.
If you’re interested in real estate investing — but not interested in being a landlord — you’re not alone. You don’t have to look far on finance forums like BiggerPockets to find landlords complaining about the various problems they deal with on a daily basis (9). Being a landlord is far from passive.
But that doesn’t mean you can’t reap the benefits of real estate investing.
If you want to avoid the hefty down payment and the burden of being a landlord, crowdfunding platforms like Arrived can provide a passive real estate investing option.
Backed by world-class investors like Jeff Bezos, Arrived allows you to invest in shares of rental homes with as little as $100, all without the hassle of mowing lawns, fixing leaky faucets or handling difficult tenants.
The process is simple — just browse their curated selection of homes vetted for appreciation and income potential. Once you choose a property, you can start investing today with as little as $100.
Another option is mogul, a real estate investment platform that offers fractional ownership in blue-chip rental properties. Simply put, mogul gives high-net-worth investors monthly rental income, real-time appreciation and tax benefits — minus the late-night tenant calls.
Founded by former Goldman Sachs real estate investors, the team hand-picks the top 1% of single-family rental homes nationwide for you, letting you invest in institutional-quality offerings for a fraction of the usual cost.
Each property undergoes a vetting process, requiring a minimum 12% return even in downside scenarios. Offerings often sell out in under three hours, with investments typically ranging between $15,000 and $40,000 per property.
Sign up for an account and browse available properties to get started. Once you verify your information with their team, you’re ready to invest like a mogul.
Even with the help of real estate investing platforms, navigating today’s financial landscape can feel overwhelming. With markets swinging wildly and expert opinions often clashing, it’s difficult to know where to put your money. If you’re finding it difficult to make sense of the noise, now could be the right time to get in touch with a financial advisor.
With Advisor.com, you can find the best finance professional to help fulfill your wealth goals. This free service helps you find the right financial advisor for you by matching you with a small list of the best options for you to choose from.
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We rely only on vetted sources and credible third-party reporting. For details, see our editorial ethics and guidelines.
Office of the United States Trade Representative (1); Tax Foundation (2); @RayDalio (3), (4); Fortune (5); CNBC (6); GoldPrice (7); Guardian (8); BiggerPockets (9)
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.