In its latest 13F filing, Ray Dalio’s Bridgewater Associates disclosed an equity portfolio for the first quarter of 2015. The portfolio consists of 328 positions, valued at $12.83 billion. The fund made the majority of investments in the financial sector, which represents around 87% of the total portfolio. We’ve already discussed Dalio’s top picks and in this article, we will take a look at Dalio’s top mining stock picks, which include Goldcorp Inc. (USA) (NYSE:GG), Barrick Gold Corporation (USA) (NYSE:ABX), Newmont Mining Corp (NYSE:NEM), and Rio Tinto plc (ADR) (NYSE:RIO).
Insider Monkey tracks hedge funds and prominent investors to learn about their investment patterns. Our research has shown that a select group of their top stock picks (small-cap picks) delivered superior risk-adjusted returns. According to our research, the 50 most popular large-cap stocks among hedge funds had a monthly alpha of about six basis points per month, while the 15 most popular small-cap stocks delivered a monthly alpha of 80 basis points between 1999 and 2012. This means investors would have generated a double-digit alpha per year simply by imitating the 15 most popular small-cap stocks among hedge funds. Moreover, we have been tracking the performance of these small-cap stocks since the end of August 2012, during which time it’s obtained returns of more than 139% vs. a less than 60% gain for the S&P 500 ETF (SPY) (see the details here).
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Let’s take a look now at Dalio’s top mining as of the end of March. On the first spot is Goldcorp Inc. (USA) (NYSE:GG), in which Dalio held 908,861 shares, worth $16.47 million, as of the end of the first quarter, down by 140,900 shares over the quarter. Goldcorp Inc. (USA) (NYSE:GG) is a $15.31 billion market cap gold producer, which is engaged in the exploration and operation of gold properties in Canada, the United States, Mexico and Central and South America. For the first quarter of 2015, Goldcorp Inc. (USA) (NYSE:GG) posted a net loss of $87 million, or $0.11 per share, versus net earnings of $98 million, or $0.12 per share in the same period last year. Goldcorp’s stock dropped by 15.1% during last three months. Other large shareholders of Goldcorp Inc. (USA) (NYSE:GG) include Jean-Marie Eveillard’s First Eagle Investment Management, which held 38.89 million shares of the company as of March 31.
Next up is Barrick Gold Corporation (USA) (NYSE: ABX), a $14.4 billion company engaged in mining operations, and exploration and development projects. Dalio cut his stake in the company to 1.47 million shares from 1.67 million shares held previously. The holding is valued at $16.09 million. For the first quarter of 2015, Barrick Gold Corporation (USA) (NYSE:ABX) reported a significant drop in net earnings to $57 million, or $0.05 per share, from $88 million, or $0.08 per share, in the same quarter last year. In addition, Barrick Gold Corporation (USA) (NYSE:ABX) announced that it made a new gold discovery known as Alturas, located in the Andean region of Chile. The company’s stock gained 13.12% year-to-date. David Greenspan’s Slate Path Capital owns 16.65 million shares of the company, according to its latest 13F filing.
Dalio upped his holding in Newmont Mining Corp (NYSE:NEM) to 620,187 shares, worth $13.46 million, from 529,474 shares held earlier. Newmont Mining Corp (NYSE:NEM) is a $13.50-billion market cap producer of gold and copper. The company posted first-quarter net income of $229 million, or $0.46 per basic share, versus $121 million, or $0.24 per share, in the same period last year. Revenue increased to $2.0 billion from $1.8 billion in the first quarter of the last year.The company’s stock has gained 40.24% year-to-date. Among the largest shareholders of the company is William B. Gray’s Orbis Investment Management, which held 6.19 million Newmont Mining Corp (NYSE:NEM) shares at the end of the first quarter.
The fourth spot is held by Rio Tinto plc (ADR)(NYSE:RIO), in which Dalio disclosed ownership of 317,400 shares, valued at $13.14 million, up from 299,500 shares held previously. With a market cap of $99.53 billion, Rio Tinto plc (ADR)(NYSE:RIO) is a global mining group that focuses on finding, mining and processing the Earth’s mineral resources. Currently, the company intends to raise up to $6 billion in financing for the expansion of its Oyu Tolgoi underground mine in Mongolia. As a result of this project, the company will be able to boost copper and gold extraction, and reduce dependency on iron ore. In its latest 13F, Steve Cohen’s Point72 Asset Management reported holding 1.38 million shares of Rio Tinto plc (ADR)(NYSE:RIO).
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