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<p>[QUOTE=&quot;Juan Blanco, post: 1573627, member: 41665&quot;]1) A few years ago, I carefully studied the asset allocation premises of Gold in investor portfolios - I looked to see what (if any) allocation to Au/PMs other professionals were advocating to clients. Our firm had already invited one of the GLD managers at State Street to speak to staff; that guy recomended just &quot;3%&quot; as appropriate to HNW individuals&#039; portfolios. I came out of that meeting looking like a total Gold Bug, LOL</p><p><br /></p><p>In 2007, the &#039;Gold allocation&#039; was less than 0.2% of retail investors&#039; portfolio assets in the USA - so how high is it now? Casey Research came to similar conclusions abit later (2010) maybe much the same rationale if not methodology.</p><p><br /></p><p>I also insisted (and maintain) that we will NOT see a retail &#039;Gold Bubble&#039; until Gold rises to at least ~10% of investor assets; Gold isn&#039;t popular nor even common in MOST portfolios, yet? What hard data contradicts this, please.</p><p><br /></p><p>2) Beyond the Permanent Portfolio (25% Gold), one of the more interesting and Gold-positive funds was <i>The Pimco Commodity Real Return Strategy </i>(PCRIX). The fund’s benchmark is the <i>Dow Jones-UBSCommodity Index Total Return</i>, 13% PMs. </p><p><br /></p><p>DowJones breathlessly announced it&#039;s scoop back in August - did anyone at DJ bother to fact check? </p><p>&gt;&gt;THE SCOOP: In an exclusive interview with Dow Jones Newswires on Aug. 22, Pimco&#039;s commodity portfolio manager Nic Johnson revealed that the world&#039;s biggest bond-fund manager had recently increased its gold-futures holdings. Pimco&#039;s bet...indicates growing concerns about inflation and the value of the dollar.&lt;&lt;</p><p><br /></p><p>ZeroHedge was reporting the Gold stake of this fund was 11.5% back in August 2012, quoting Nic Johnson (co-manager?): </p><p><a href="http://www.zerohedge.com/news/pimco-increases-gold-allocation-105-115-commodity-fund" target="_blank" class="externalLink ProxyLink" data-proxy-href="http://www.zerohedge.com/news/pimco-increases-gold-allocation-105-115-commodity-fund" rel="nofollow">http://www.zerohedge.com/news/pimco-increases-gold-allocation-105-115-commodity-fund</a></p><p><br /></p><p>There&#039;s<i> plenty of pro-Gold commentary </i>here (dated October 2012):</p><p><a href="http://www.pimco.com/EN/Insights/Pages/GOLD-The-Simple-Facts.aspx" target="_blank" class="externalLink ProxyLink" data-proxy-href="http://www.pimco.com/EN/Insights/Pages/GOLD-The-Simple-Facts.aspx" rel="nofollow">http://www.pimco.com/EN/Insights/Pages/GOLD-The-Simple-Facts.aspx</a></p><p><br /></p><p>But <b>as I look at the <i>current </i>fund page allocations AND 6/30/12 Holdings Report, Gold/PMs are <i>neglible </i>- much less than 0.1% of assets. </b>Are Messrs. Worah &amp; Johnson trading &quot;in&quot; and &quot;out&quot; and now back &quot;in&quot; Gold positions (that &quot;-24%) maybe? What am I misreading? I don&#039;t mean to sound conspiratorial or cynical, but &quot;Where&#039;s the Gold?&quot; Or is this just a rope-a-dope Gold-plated marketing ploy, designed ensnare wannabe Gold-allocators &amp; investors (institutional or retail) who aren&#039;t paying attention to what&#039;s under the hood? </p><p><br /></p><p>p.s. this thread can also be broadly used to discuss so-called &quot;Gold-based Mutual Fund investments&quot; - flashy PR notwithstanding, PIMCO doesn&#039;t have one btw.[/QUOTE]</p><p><br /></p>

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