Bridgewater Associates, LP
Climate Impact & Sustainability Data (2022)
Reporting Period: 2022
Environmental Metrics
Climate Goals & Targets
Environmental Challenges
- Historically large and rapid rise in interest rates leading to economic tightening.
- High inflation pressures.
- Russia's invasion of Ukraine worsening inflation.
- High wage inflation (around 5% in the US).
- Dollar squeeze due to Fed tightening impacting other countries' balance of payments.
- Potential for balance of payments crises in dollar-debtor countries.
Mitigation Strategies
- Aggressive monetary tightening by the Fed and other central banks.
- Potential for further tightening if necessary to loosen labor markets and bring down wage inflation.
- Iterative policy toggling between tightening to fight inflation and easing to support growth.