The Bridgewater founder told investors in an interview to bet on “both horses in the race” as global tensions heighten.

Ray Dalio, the outspoken founder of Bridgewater Associates, told investors on Tuesday to invest in China as the country liberalizes its economy.

Encouraging investors to bet on “both horses in the raise,” Dalio raised eyebrows in a video posted on YouTube.

Ray Dalio Links China to Rise of Empires

Dalio compared China’s economic and political rise to the trajectory of other empires throughout history.

“Would you have not wanted to invest with the Dutch in the Dutch empire?,” Dalio asked.

“Would you have not wanted to invest in the industrial revolution and the British empire? [And did] you not want to invest in the United States and the United States empire? I think it’s comparable,” Dalio said.

Dalio dismissed any concerns about investing in China as it opens its economy to the world. “It is better to be early than it is to be late,” he said.

Bet on Both Horses

But Dalio doesn’t see a clear winner between the two nations in terms of picking one or the other.

“I believe China is a competitor of the United States or Chinese businesses are competitors of American businesses or other business around the world,” Dalio said in the interview. “Therefore, you want to be, if you’re diversified, having bets on both horses in the race.”

The interview complements recent themes discussed by Dalio in previous talks and columns. For example, Dalio recently touted gold as an important investment as the global markets face a “paradigm shift.” He continued by picking up on the global market shift theme as well when discussing changes in the world order.

While Dalio said he does not anticipate a “classic war” between the U.S. and China, he did say he expected a shift “in terms of changes in supply chains” and in “changes in who is making what technologies.”

Ray Dalio on U.S. Risks

Remember, Ray Dalio also made headlines earlier this year warning about rising economic inequality in the United States. That factor, he says, is a challenge heading into the 2020 election, in addition to political polarization.

As a result, he says, the United States is no more safe than China or Europe from an investment standpoint. In addition, Dalio cited Europe’s ongoing challenges with monetary policy, political fragmentation, and lack of engagement in technology as three threats to that region.