Piketty’s work on inequality has attracted a lot of attention, leading to both criticism and praise. On one hand, the book was received with enthusiasm, and there quite a few causes for this reception. Probably, the main cause for the success of this work comes from the growing inequality in United States. On top of this, there has a significant increase in the perception of inequality by the general public, policy makers and academics (see the debate on the top 1%, which might as well be a discussion on the top 0.01%).
The effect of gold on hedge funds
Is It Time to Invest in Gold?
Several well-known hedge fund managers still hold gold in high esteem, despite its fluctuating prices—in fact, gold has been added to many portfolios during the third quarter of 2013. Gold is also a part of South Africa’s thriving hedge fund industry, which reached a new high ($3.97 billion/ R40 billion) according to last year’s surveys. This is could be due to the vocal support of billionaire hedge fund manager John Paulson, who reaffirmed his belief in the precious metal as an effective inflation hedge. It was in 2012 when he told investors that by the time inflation occurs gold will be seeing a movement, so there’s no better time than the present to build a gold position.