In 2016, billionaire philanthropist, George Soros made several eye popping moves that left investor wondering about his next market move. According to an excerpt published in Forbes on August 2016, Soros outlook on stocks was bearish as he chose to offload some of his stock holdings of gold. During the same time, the market rally was on an uptick thanks to easy money flowing from central banks across the world. The development on discoverthenetworks.org was an indication that the markets were tacitly listening to the central banks and not the conventional wisdom. Reports obtained in the second quarter of 2016 indicated that Soros Fund Management also made several exchange traded fund positions.
The positions include purchasing puts in small cap Russell 2000 Index and the heavily capitalized S&P 500. In spite of the strong show and bearish view, Soros continues to control his risks as he looks to make money. One of the most touted benefits of investing in puts is proof that good timeframes greatly supersedes outright shorting of the indices. According to the author, if things do not turn up as expected for Soros, his puts will expire, thereafter costing him the premium paid on the investment. George Soros decision to purchase gold was part of his long drawn effort to hedge against a market collapse because gold is always seen as a safe haven for investors. George Soros made his wealth largely from smart market reading.
His net worth is currently estimated at $25 billion. In early 2016 when China was experiencing a momentous financial crisis, Soros told the press that the trouble reminded him of the 2007 – 2008 financial crises that hit the US and the global economy on Investopedia. Besides investing, Soros has done a lot to shore up his resolve to uplift the society through his philanthropic efforts. According to Wikipedia, Soros supports various causes through his Open Society Foundations. OFS is a large network constituting partners, foundations and projects. The organization currently operates in over 100 countries. Records show that between 1979 and 2011, Soros had cumulatively donated over $11 billion to support philanthropic causes.
George Soros’ first initiative in 1979 was to support financially depraved students in South Africa to pursue university education. The other early causes included supporting Eastern Bloc Countries make a peaceful transition from communism to capitalism and offering education endowments to students studying in the Central European University. The self made billionaire was born in Hungary in 1930. George Soros survived the Nazi Occupation in his native country of Hungary in the 40’s and moved moving to Europe to pursue education and other interests. In 1951, Soros graduated from the London School of Economics with a Bachelors of Science in Philosophy, before obtaining MSC in Philosophy in 1954.