Buying Gold Is Fashionable And Profitable According To Billionaire Investor George Soros

Hedge funds have not been getting a lot of good press lately. It seems people are fed up with the amount of money hedge fund investors make. Hedge fund managers are becoming targets for political platforms. There is a movement to change the way hedge fund operates in the future, but all that rhetoric is not stopping hedge fund managers like George Soros from making huge bets on gold. According to the Wall Street Journal, the 85-year-old Soros is buying gold like it was free. It’s not free, however. Gold is currently trading at more than $1,300 an ounce. The race to buy gold is on, and George Soros and other big hedge fund managers are leading the charge. Barrick Gold Corporation has been feeling the impact of the Soros wealth lately.

Hedge funds are still making billions of dollars because the managers of these big funds do their homework. George Soros is a good example of a fund manager that knows when to buy and when to sell. George Soros is well-versed in economics. He graduated from the London School of Economic back in the 1950s, and he has been using what he learned there for the last 60 years. Soros has been in the news on a regular basis since he made billions in 1992 by betting against the pound sterling. Soros was named “the man that broke the Bank of England’ when his hedge fund made $7 billion shorting the pound against the dollar. Soros made $1.4 billion in commissions on that deal alone.

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The most recent Soros bet is on gold, but he is also betting that the Chinese will be forced to devalue their currency over the next 18 months. Soros told an interviewer from recently that the banks in China have trillions of dollars in bad debt on the books, and the government will have to inject billions of dollars in capital reserves into their banking system in order to keep the banks solvent. That injection of capital reserves will lower the value of the yuan on the foreign currency exchange.

Buying gold is fashionable, and it is going to be very profitable for men like George Soros who have enough money to buy millions of dollars in gold stocks and gold mining companies. The latest projection is gold will hit $2,000 an ounce by the end of 2016. Some investors say the price of gold could double in three years.

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