“I”™m not much for press conferences, so bear with me,” said Greg Jensen, co-CEO of Bridgewater Associates.
We are all going to be wrestling with this one for a decade, during which time Ray Dalio and his Bridgewater Associates can cash in incentives from the state of Connecticut in exchange for expanding its financial might in Stamford.
Bridgewater ”“ the world”™s largest hedge fund and presumably among the most profitable ”“ can take up to $115 million in incentives in a $750 million expansion in Stamford, where it will add anywhere from 700 to 1,000 jobs in addition to the 1,125 people it already employs in the Westport area.
We get it ”“ these are not ordinary jobs.
When a Starwood Hotels or an NBC Sports sets up shop in Stamford, we stamp it as a success ”“ but how many Starwood hospitality executives or NBC producers do you think are going to bootstrap their own startups with an eye on becoming major employers themselves?
If Silicon Valley is an engine for high-tech entrepreneurship and Boston for life sciences, the same could be said for New York City and by extension Fairfield County for high finance. When the going gets good ”“ if the going ever gets going good again ”“ these people create, innovate and delegate and that”™s how the wealth is spread.
We”™ll probably never really know how many hedge fund jobs went poof in the 2008 crash and resulting recession, but we suspect it was a lot and we suspect it had a major impact on the economy.
In a best-case scenario, the Bridgewater deal represents a shock of adrenaline for the region”™s economy.
While the outcome depends almost entirely on Bridgewater, the credit or the blame will fall on the Malloy administration.
In his press conference announcing the Bridgewater deal, the governor referenced the secrecy of the negotiations with the company.
“It had a codename that moved around New Jersey, New York and Connecticut,” said Gov. Dannel P. Malloy. “I”™m glad that you weren”™t aware of it, but a lot of people in the region were.”
With Bridgeport”™s schools in crisis and a host of other woes, it took gumption going out on a limb with this one.
Dalio ”“ the guy we really wanted to hear from ”“ did not take the opportunity to take the podium. We did not hear from him, but we”™ll take the opportunity to make sure he hears from us.
Without a doubt, Ray, you and the people you employ earned this gift from the taxpayers of Connecticut.
Don”™t screw it up. Pay it back and pay it forward. Spread the wealth and the goodwill. Reject the gated-community mentality and embrace your new neighborhood and its people from all walks of life.
Be seen and be heard.
For his part, Jensen promised to do just that.
“We got people that will be creative and passionate, impacting the community,” he said. “We play hard and have fun and are all over the place.”
And to the governor, we say it”™s a good thing to give out incentives to keep companies in Connecticut or to lure them here, but we hope that you keep an eye on the good use to which those incentives are put to protect the taxpayers”™ investment.
