Ray Dalio says the financial system will need 'big restructurings' soon as debt burdens become unsustainable

• Ray Dalio wrote in a note this week that the financial system is close to needing "big restructurings."
• The Bridgewater Associates founder cited higher debt burdens and rising interest rates.
• In his view, the economy is on the brink of a contraction that will make the next year or two difficult.

Ray Dalio wrote in a Wednesday newsletter that debt levels have become unsustainably high, setting up the financial system for major changes.