Why Kyle Bass owns so much gold

[Sparky]

You COMEX-cynics will love this one...

"And then we went and looked at the COMEX. The COMEX at the time they had about $80 billion in open interest between futures and futures options. In the warehouse they had $2.7 billion of deliverables. So $80 billion in open interest -- $2.7 billion in deliverables. We’re gonna own it a long time. You're on the board, as a fiduciary, what do you do? That’s an easy one. You go get it. So you go take a billion of $2.7 billion and you let them worry about the rest."

"When I talked to the head of deliveries at COMEX NYMEX, I was like, 'What if 4% of the people want deliveries?' He said, 'Oh Kyle, that never happens. We rarely ever get a 1% delivery.' And I asked, 'Well what if it does happen?' And he said,'Price will solve everything' And I said, 'Thanks, give me the gold.'"

http://www.businessinsider.com/americatalyst-kyle-bass-2011-12#on-why-he-owns-so-much-gold-14

[osoab]

Here is the actual interview.


http://www.youtube.com/watch?v=5V3kpKzd-Yw&feature=player_embedded
http://www.youtube.com/watch?v=5V3kpKzd-Yw&feature=player_embedded

See these threads.

http://gold-silver.us/forum/showthread.php?56673-Jim-Willie-JPM-Crashed-MF-Global-to-avert-COMEX-failure!&p=492615&viewfull=1#post492615

http://gold-silver.us/forum/showthread.php?55998-Buying-Gold-Is-Just-Buying-A-Put-Against-The-Idiocy-Of-The-Political-Cycle.&highlight=kyle+bass

http://gold-silver.us/forum/showthread.php?56452-Kyle-Bass-Explains-The-New-World-Order-Panel-Presentation&highlight=kyle+bass

[horseshoe3]

There was a guy on the old GIM that took delivery of a silver contract from COMEX. Anyone remember who that was? I think he had to buy 5000 oz if I remember correctly. I think it was during the late summer/early fall of 08 when the spot was down to 8, but physical was still over 20. If the spot price ever separates from physical like that again, I might do it myself.

[chad]

i remember that guy, but his username escapes me. it was a good thread.