What follows are three distinct parts that can be read either independently or as a
connected whole. Part 1 is about the purpose and importance of having principles in
general, having nothing to do with mine. Part 2 explains my most fundamental life
principles that apply to everything I do. Part 3 explains my management principles as
they are being lived out at Bridgewater. Since my management principles are simply my
most fundamental life principles applied to management, reading Part 2 will help you to
better understand Part 3, but it’s not required—you can go directly to Part 3 to see what
my management principles are and how Bridgewater has been run. One day I’d like to
write a Part 4 on my investment principles. If you are looking to get the most bang for
your buck (i.e., understanding for the effort), I suggest that you read Parts 1 and 2, and the
beginning of Part 3 (through the Summary and Table of Principles) which will give you
nearly the whole picture. It’s only about 55 pages of a normal size book.