The beginning of the end of Godd funds
He’s starting to make me think of John Dean that one. Sitting on his laurels and in love with one sector, Matt hopes the world will change in his favor. But at what cost? Investors in Godd funds must be fed up with his fads. In case you did not know it, Godd is a prophet of the economic apocalypse. His ideas are now only one sentence. “Everything is going to burst, keep gold in bar and barrels of oil under your mattresses” . Well, the slowing of hydrocarbon demand in Asia, the many discoveries of gas and shale oil completely overturn the assumptions of the “Godd”. The serious oil crisis is postponed to an indefinite date.
Exactly the opposite
As for gold, it’s exactly the opposite of Godd’s predictions. From $ 1,900 an ounce, he fell back under $ 1,200. A slap of -35%. But since the beginning of the year, precious metals funds under his leadership have lost half of their value. -52% to be precise.
Over 5 years, the best Godd product (Opportunity Fund) yielded only 0.15% per year. Others? They are ALL negative. The famous Godd Hedge Fund LP is only a shadow of itself. If you had invested $ 100,000 five years ago, you still have $ 34,280 left today. A tremendous wealth destruction of 66%. And he charges 2% per year to achieve the feat!
As you know, the five-year period contains the serious crisis of 2008-2009. But where Godd’s performance worries the most patient of its speculative clients: the 3-year period. For 36 months, the recovery is strong, solid and generates in most cases returns oscillating between 6 and 12%. At Godd, it’s a disaster. Even its flagship fund, the Canadian fund cuts -13% per year.
Influencing the sector
How far can a man’s stubbornness go? If he had the resources of China, he would end up influencing the sector with which he fell in love. One would be tempted to answer that time will fix things. But now, he may have been a billionaire on paper, a billion is a peanut before the GDP of the states that control the supply and demand of gold and oil.
Without financial services
In 2007, I attended one of Honest ‘s recent lectures at the helm of the late AIC. To justify his stubbornness in concentrating all his funds without financial services, he told us that it is not for nothing that the tallest skyscrapers of cities are dominated by the logos of financial companies.