Ray Dalio warned America’s in a ‘debt death spiral’, with US dollar at risk. Here’s the shockproof asset he recommends

Read more: Warren Buffett used 8 solid, repeatable money rules to turn $9,800 into a $150B fortune. Start using them today to get rich (and stay rich)’

Dalio’s safe-haven pick for ‘bad times’

To recession-proof your investments, Dalio emphasized the power of diversification and the role of one time-tested asset.

“People don't have, typically, an adequate amount of gold in their portfolio,” he noted. “When bad times come, gold is a very effective diversifier.”

Gold is considered a go-to safe haven. It can’t be printed 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.

So, how much of the precious metal should an investor own? Dalio advises that investors hold 10 to 15% of their portfolios in gold.

Investing in gold with your IRA

In uncertain economic times, investors tend to flock to the precious yellow metal to shockproof their portfolios against market shifts.

Since gold can't be printed at will like fiat currency, it stores value better during a downturn. Plus, with a gold IRA, you can invest in gold and other precious metals in physical form while also providing the significant tax advantages of an IRA.

If you’re not sure where to start, you can check out some of Moneywise’s top picks for gold IRAs to compare your options for free. Just keep in mind that gold is often best used as one part of a well-diversified portfolio.

Other inflation-hedging investments

With debt on the rise and a somewhat shaky stock market in 2025, it’s natural that investors are looking for other ways to preserve their wealth for 2026. One investment to consider for diversifying your portfolio is real estate. Even if you aren’t ready to jump into home ownership (financially or otherwise), there are platforms like Arrived that let you buy stakes in rental properties, earn dividends and skip the responsibilities of property management.

Backed by world-class investors like Jeff Bezos, Arrived’s easy-to-use platform offers SEC-qualified investments such as rental homes and vacation rentals for as little as $100. Their flexible investment options allow both accredited and non-accredited investors to benefit from this inflation-hedging asset class with ease.

Start by browsing vetted properties, then simply select a property and choose the number of shares to buy.

Investing in necessity-based real estate is another way to hedge your bet with real estate.

Commercial real estate has long been touted as a wise investment for adding stability to your portfolio, outperforming the S&P 500 over a 25-year period.

First National Realty Partners (FNRP) provides accredited investors access to institutional-quality commercial real estate investments. Requiring a minimum investment of $50,000, FNRP lets you benefit from investing in commercial properties without the hassle of being a landlord.

As a private equity firm, FNRP acts as the deal leader and offers white-glove service to investors, providing expertise and doing the time-intensive legwork for you. The team has developed relationships with the nation’s largest essential-needs brands, including Kroger, Walmart and Whole Foods — providing insights into the best properties both on and off-market.

Engage with experts, explore available deals and easily make an allocation, all on FNRP’s secure platform.

But if real estate, gold and other alternative assets don’t fit your portfolio, you could instead consider the dark horse of alternative assets: art.

Like many of the assets in this vertical, art tends to be inflation-resistant and, in some cases, generates competitive returns when weighed against the S&P 500.

Traditionally, this market has been locked behind a network of brokers, dealers, appraisers and experts. But now with Masterworks, you can access the growth potential of art.

Masterworks helps both non-accredited and accredited investors purchase fractional shares of artwork by iconic artists like Banksy, Picasso and Jean-Michel Basquiat. These pieces are referred to as “blue-chip” art, meaning that they’re expected to appreciate in value the same way as blue-chip stocks.

What’s more, Masterworks investors have realized representative annualized net returns like +17.6%, +17.8% and +21.5% among assets held for longer than one year.

Note that Past performance is not indicative of future returns. Investing involves risk. See Reg A disclosures at Masterworks.com/cd.