Canada Names Bridgewater Executive to Lead New Wealth Fund

Karniol-Tambour has spent two decades at Bridgewater, one of the world’s largest hedge funds. In her role as co-chief investment officer, she oversaw the translation of the firm’s research into trading strategies, among other responsibilities. Carney said she had the “experience and ambition” to make investments that strengthen the economy and build lasting wealth for Canadians.

Bridgewater Chief Executive Nir Bar Dea said the firm was thrilled by the appointment and thanked Karniol-Tambour for her contributions. He called the role an opportunity for her, as a proud Canadian, to serve her country through public service.

The Canada Strong Fund, announced earlier this year, will begin with C$25 billion (US$17.7 billion) from the federal treasury. Officials say it will invest only in Canada, take minority stakes in projects and companies, and operate independently of the government. The budget plan released last week said Canadians could share in the fund’s returns by buying government-issued notes.

The use of public funds has drawn criticism because Canada is a net debtor, rather than a net saver. The country recorded 15 consecutive quarterly current-account deficits before posting a surplus for the April-to-June period this year.

Carney has made investment in trade corridors and resource projects a priority as he seeks to strengthen the economy and reduce its reliance on trade with the United States. In recent remarks published on Bridgewater’s website, Karniol-Tambour said artificial-intelligence investment and trade protectionism were shaping markets and portfolio risks. She said the current environment could bring both higher inflation and stronger productivity growth, a combination she said would benefit assets and stocks relative to fixed income.