One Of The Most Famous Gold Bug Fund Managers Has Gotten Obliterated
But unfortunately for Sprott and his clients, the shiny yellow metal has had a rough 2013. The Wall Street Journal's Rob Copeland reports that Sprott's main fund has dropped more than 50% this year, the third straight year of double-digit declines. From the Journal:
Redemptions and weak performance have pushed down hedge-fund assets managed by Mr. Sprott to about $350 million from nearly $3 billion in 2008.
The declines are largely due to the conviction of Mr. Sprott-for the most part unshaken-that gold and other precious metals will rise in the long term.
Gold has dropped 25% over the past year and is on track for its first annual decline after 12 years of gains. It settled Wednesday at $1,257 a troy ounce. Silver, another favorite of Mr. Sprott's, is down 33% and settled Wednesday at $20.36 an ounce.