George Soros Dumps US Equities – Did He Buy Even More Gold?

For months now insiders have sold their stocks and the elite puppet financier heavyweight George Soros also slashed his exposure to US equities.

Before George Soros told us that: “The ultimate asset bubble is gold.”

But look what the did after telling us about the ‘gold bubble’:

George Soros not only doubled his gold investment, but also bought call options

George Soros More Than Doubled Gold ETF Stake in 4th Quarter

And now he has probably bought even more gold.

Got gold (… and silver!!!)?

George Soros has slashed the amount of money he is willing to gamble on the fortunes of the US stock market in the second quarter as market volatility increased.

Hedge fund manager George Soros, chairman of Soros Fund Management LLC
George Soros’ fund has approximately $25bn under management Photo: Reuters

The legendary investor’s Soros Fund Management – which has approximately $25bn (£16bn) under management – reduced its equity investments by 42pc to $5.1bn by the end of June, down from $8.8bn at the end of March.

The asset allocation decisions were made during a period in which the Standard & Poor’s 500 index – the broadest US equity index – fell 12pc.

The fact that Mr Soros – best known as the man reputed to have made $1bn by “breaking the Bank of England” during the 1992 fiscal crisis – has decided to make such a concerted shift out of equities will send a clear message to other investors.

Gone are Soros’s investments in Petrobras, Brazil’s oil giant, with investments in bellwether stocks such as Wal-Mart, JP Morgan Chase and Pfizer drastically reduced, cut by 99pc, 97pc and 95pc respectively.

Of those equities that do remain, the fund’s holding in a gold exchange traded fund constitutes his largest investment, some 13pc of the equity portfolio, worth $638m.

Although neither Mr Soros of his fund typically do not explain their quarterly investment decisions, it is likely some of the money has been shifted into government bonds (Sure! ROFL!), as well as investing in commodities and other safe havens.

The quarterly report – filed with the US Securities and Exchange Commission – details investments only in US-traded shares and related derivatives, and the fund does not have to detail overseas shares or cash or commodities held.

A spokesman for Mr Soros did not comment.

By James Quinn
Published: 7:08PM BST 17 Aug 2010

Source: The Telegraph

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