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Paulson, Dalio Maintain Gold Positions During 1Q As Price Rises

Kitco News

(Kitco News) - Well-known hedge fund managers John Paulson and Ray Dalio basically maintained their holdings in gold exchange-traded funds during the first quarter, filings show.

Meanwhile, Soros Fund Management LLC has remained out of gold since exiting from its shares of Barrick Gold Corp. in the fourth quarter of 2016.

Institutional investment managers must file a Form 13F-HR, showing their major holdings, with the Securities and Exchange Commission within 45 days of the end of the quarter.

The hedge fund Paulson & Co. marginally trimmed its holdings in SPDR Shares Gold, the world’s largest gold ETF, as of the end of the January-March period to 4.32 million shares from 4.36 million shares at the end of the fourth quarter, the filings show. However, because the price of gold rose, the value of those shares as of the first quarter climbed to $543.4 million from $539.1 million at the end of December.

The data comes more than a month after Paulson announced that he closed his gold fund to clients and returned their capital.

Dalio’s Bridgewater Associates held 3.9 million shares in the gold trust, the same as at the end of the fourth quarter. However, the value of those shares rose to $491.7 million from $483.3 million. Bridgewater’s holdings in iShares Gold Trust remained at 11.32 million shares, although the value climbed to $144.1 million from $141.6 million.

Gold ETFs trade like a stock but track the price of the commodity, with metal put into storage to back the shares. Comex June gold futures rose to $1,327.30 as of the end of the first quarter, compared to $1,318.70 at the end of the fourth quarter.

The filings show Paulson’s fund was also exposed to gold through stakes in producers Agnico Eagle Mines Ltd., AngloGold Ashanti Ltd., Iamgold Corp., NovaGold Resources Inc., Randgold Resources Ltd. and Seabridge Gold Inc.

Bridgewater was also exposed to the mining sector through stakes in Agnico Eagle Mines Ltd., AngloGold Ashanti Ltd., B2Gold Corp., Barrick Gold Corp., Eldorado Gold Corp., Franco Nevada Corp., Freeport McMoRan Inc., Gold Fields Ltd., Goldcorp Inc., Kinross Gold Corp., Kirkland Lake Gold Ltd., New Gold Inc., Newmont Mining Corp., Randgold Resources Ltd., Rio Tinto PLC, Royal Gold Inc., Sibanye Stillwater, Tahoe Resources Inc., Teck Resources Ltd., Turquoise Hill Resources Ltd., Vale S.A., Wheaton Precious Metals Corp. and Yamana Gold Inc.

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