why a smart hedge fund manager would start shorting gold
But if you bet against gold here you are a contrarian. If you are right, you’ll be hailed as a hero. Your next fund will be oversubscribed. You’ll get to chat with Becky, Carl and Joe on Squawk Box.
What if you are wrong? You’ll lose money, of course. But getting gold wrong on a historically unprecedented rise that depends, in part, on impossible to predict government policy will not ruin your reputation.
Even if gold runs way up because of fears of inflation, you’ll be able to blame a “policy mistake” by the Fed. It wasn’t your mistake that lost all that money; it was the Fed’s.
