Ron Paul losing a fortune from his love of gold
A few weeks ago, we figured out what was happening to the Ron Paul portfolio — the former Texas congressman’s 64% investment in gold and other rocks — and it wasn’t pretty.
His portfolio is comprised of major miners and a handful of juniors, and displays a marked lack of diversification.
Investment manager William Bernstein told the Wall Street Journal that “This portfolio is a half-step away from a cellar-full of canned goods and nine-millimeter rounds.”
We looked at Ron Paul’s most-recently disclosed portfolio. Granted, he may have picked up the stocks at any point in the past several years, so he’s probably still above water on the investments. It’s also conceivable that since he’s left public life he’s pared back a lot on his holdings. So we’re just going based on what’s public.
Still, these have taken a shellacking, and it’s likely that he’s lost a significant percent of his net worth, assuming he’s held on to them over the past six months.
All told, the average loss was -40.3% over the past six months
Given that The Wall Street Journal reported that Paul’s portfolio was worth between $2.44 million and $5.46 million — and that 64 percent of his assets were in these precious metal stocks — a very loose estimate is that Ron Paul has lost between $624,640 and $1,397,760 over the past six months, based on the average loss of his mining holdings…
Phew! Buy high and sell low, Ron.