Noted gold hater has a change of heart

Discussion of the Gold portion of the Permanent Portfolio

Moderator: Global Moderator

Post Reply
User avatar
Tyler
Executive Member
Executive Member
Posts: 2066
Joined: Sat Nov 12, 2011 3:23 pm
Contact:

Noted gold hater has a change of heart

Post by Tyler » Fri Aug 14, 2020 9:05 pm

In case you haven't heard, the most famous investor in the world and perhaps the most commonly quoted person in terms of why gold is not a worthwhile investment just bought 21 million shares of Barrick Gold. (BTW, the forum really needs a flying pig emoji).

https://www.kitco.com/news/2020-08-14/W ... -gold.html

While a gold miner is not the same as the bullion it is digging up, it'll be interesting to see if this marks a sea change in how mainstream investors think about gold in a portfolio. At the very least, I imagine it will slay some sacred cows and force people to think twice about ignoring it out of hand because of some old Buffett quip.
User avatar
Ad Orientem
Executive Member
Executive Member
Posts: 3483
Joined: Sun Aug 14, 2011 2:47 pm
Location: Florida USA
Contact:

Re: Noted gold hater has a change of heart

Post by Ad Orientem » Fri Aug 14, 2020 10:36 pm

Heh. A lot of gold bugs are having a little online fun at Buffet's expense. But that aside, it is a remarkable development.
User avatar
Kriegsspiel
Executive Member
Executive Member
Posts: 4052
Joined: Sun Sep 16, 2012 5:28 pm

Re: Noted gold hater has a change of heart

Post by Kriegsspiel » Sat Aug 15, 2020 6:08 am

Buffett is also famous for buying and using the products of companies that he owns big stakes in. Maybe he'll start playing heads or tails with a Maple Leaf in public.
You there, Ephialtes. May you live forever.
User avatar
dualstow
Executive Member
Executive Member
Posts: 14235
Joined: Wed Oct 27, 2010 10:18 am
Location: synagogue of Satan
Contact:

Re: Noted gold hater has a change of heart

Post by dualstow » Sat Aug 15, 2020 7:20 am

This is the funniest news. :D
Buffett did buy silver once at a 10- or 20-year low, and I’m pretty sure it wasn’t because silver has “utlity.”
RIP Daniel Kahneman | Happy Good Friday
User avatar
sophie
Executive Member
Executive Member
Posts: 1959
Joined: Mon Apr 23, 2012 7:15 pm

Re: Noted gold hater has a change of heart

Post by sophie » Sat Aug 15, 2020 7:57 am

I'm really surprised at this.

I can understand if, say, a bunch of Boglehead posters suddenly decided to start chasing gold....but I thought Buffett knew better??? Maybe he's really starting to slow down. His other moves (shedding airlines & bank stocks) are kind of obvious and it's surprising he didn't do that earlier.
User avatar
Hal
Executive Member
Executive Member
Posts: 1349
Joined: Tue May 03, 2011 1:50 am

Re: Noted gold hater has a change of heart

Post by Hal » Sat Aug 15, 2020 11:50 am

Well.... he is buying shares in a company and I suspect he is just acting as a value investor.

When he starts stacking physical, then I will sit up and take notice ;D
Aussie GoldSmithPP - 25% PMGOLD, 75% VDCO
Kbg
Executive Member
Executive Member
Posts: 2815
Joined: Fri May 23, 2014 4:18 pm

Re: Noted gold hater has a change of heart

Post by Kbg » Sat Aug 15, 2020 11:58 am

Kinda like we are talking about in another thread, with interest rates so low it’s a bit of a game changer. The only legit criticism now is it’s more volatile.
Kevin K.
Executive Member
Executive Member
Posts: 516
Joined: Mon Apr 26, 2010 2:37 pm

Re: Noted gold hater has a change of heart

Post by Kevin K. » Sat Aug 15, 2020 5:40 pm

And Mr. Buffett has company in the form of one Ray Dalio:

https://www.reuters.com/article/gold-et ... SL8N2FF7BL

Geez maybe I need to start a rumor that Taylor Larimore has abandoned The Three Fund Portfolio in favor of the PP just to make sure the Bogleheads crowd has the complete conniption fit experience. ;)
Post Reply