Investors Bets $2 Billion on Stock Market Collapse

We talked a lot about where the big investor put their money that works for them. The reality is, this group represents just the 1% of the population. But it’s good to know where these groups are going to, by looking at their strategy, the 99% can learn how to at least take care our money. Remember the investments is just for this group, not for the 99%.

george-soros.gi.top

George Soros

Lest’s check what Mr. Soros, a multibillionaire, put his money that works safety.  After this analysis, what you do for securing your money?__

Soros nearly doubled his ownership in a U.S. gold-mining companies ETF [Exchange-traded fund] and initiated new stakes in other gold producers, suggesting the big names in hedge funds continued to have confidence in the yellow metal, Reuters reports.

Soros Fund Management increased its stake in Market Vectors Gold Miners ETF to 2.05 million shares valued at $54 million at the end of the second quarter, compared with 1.16 million shares in the first quarter.

“Gold-mining stocks are considered relatively cheap. It also suggests that Soros may be thinking gold prices are near the bottom of the range,” Bill O’Neill, partner at commodities investment firm LOGIC Advisors in New Jersey, told Reuters.

Soros also initiated new gold investments including 1.33 million shares in call options of the Gold Miners ETF valued at $35 million, and 1 million equity shares in Allied Nevada Gold Corp.

Meanwhile, Soros slashed his stake in Barrick Gold Corp. by more than 90 percent to less than half a million shares valued at just $8.8 million in the second quarter after boosting ownership of the gold miner in the first quarter.

Gold has become increasingly attractive to hedge-fund managers who are long-term investors as real interest rates remain negative,” said Axel Merk, a Moneynews Insider and chief investment officer of the $400 million Merk Funds, a family of currency mutual funds and the Merk Gold Trust, a gold ETF.

Investors have stayed away from the metal amid mounting speculation that the Federal Reserve will increase its benchmark lending rate. The central bank reduced its monthly bond-buying program to $25 billion on July 30, making a sixth consecutive $10 billion cut, while it held borrowing costs near zero percent.

Goldman Sachs last month repeated its prediction that gold will drop to $1,050 in 12 months. The bank cited accelerating U.S. economic growth. Friday, gold fell 0.9 percent to $1,304.30 an ounce, paring an earlier decline of 1.7 percent.

Learn more on [Gold price manipulation]

Speculators decreased bets on a gold rally by 15 percent to 104,111 futures and options in the week ended Aug. 5, the biggest drop in two months, U.S. government data show.

Money managers who oversee more than $100 million in equities must file a Form 13-F within 45 days of each quarter’s end to list their U.S.-traded stocks, options and convertible bonds. The filings don’t show non-U.S. securities or how much cash the firms hold.

Investors pay close attention to the quarterly filings because they provide the best insight into whether the so-called smart money has changed its sentiment toward gold as a hedge against inflation and economic uncertainty.

Learn more on [Private Issue Global Gold Currency Revealed]

However, rival money managers cautioned against putting too much weight into what is apparently a pessimistic view of U.S. stocks, given that Soros Fund Management may simply be looking for a hedge to counterbalance its many long stock positions.

“Hedge fund stocks have really gotten destroyed in the last three weeks,” one long-short stock manager told CNBC. “We’re in a difficult time here.”

In September 1992, Soros made at least $2 billion on his shorting of the English pound forced the Bank of England to devalue the currency and leave the European Exchange Rate Mechanism (ERM).

__So, now we know Mr. Soros will be going to secure his money with Gold, what are you going to do?
Let me suggest a simple strategy: exchange your money for gold too, but more simple, start with 1 gram at the time, no investments, no ETF, no Brokers fees, and no risk.

Take your gold in your hands, like the countries, the billionaires, the rich and the smart people that don’t trust in their fiat currency. 

Contact HERE for more information.

(Bloomberg News and Reuters contributed to this article.)

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s