Many people have been watching billionaire George Soros lately. He is primarily known for seeing financial trends before they become known publicly, and lately, he has attracted attention for putting all his eggs in one basket, so to speak. His fund, Soros Fund Management has recently placed all of its outstanding shares into Chevron, Oklahoma-based Chesapeake Energy, and Texas-based NFG Energy. This took everyone by complete surprise because in the last quarter of 2015 he had dumped all three stocks in favor of Baker Hughes, an oilfield services company and Kinder Morgan an energy infrastructure company. Chesapeake stock also seems to be a struggling concern because of the potential suspension of its dividend payments and rumors of a bankruptcy filing.
To make things worse, because of the wild swings in prices in the energy sector, many investors don’t have a clue where to turn. One minute Saudi Arabia is seen as a steadying force and then the next minute they are making a deal with Russia to freeze their collective production to help boost prices. The Iranians are also acting as a wild card in oil stock pricing. Because they are now in control of one-fifth of the world’s total reserves they are vowing revenge against the U.S. for sanctions in the form of dumping their oil into an already glutted energy market. The Iranian action is to try to drive the price of crude even lower. The results of all these facts are many investors and especially those in the know are wondering if Mr. Soros knows something that they don’t. The information from the original article can be found on The Street and here at http://goo.gl/IzZ1DT
Exactly who is George Soros? George Soros is an investor and philanthropist that holds dual citizenships in both Hungary and the United States. He was born in Budapest Hungary in 1939 and while growing up there survived its occupation by Adolf Hitler and Nazi Germany. In 1947 after the Nazis were gone and the communists took over, Soros left his native Hungary and fled to England. In England, he attended school at the London School of Economics where he learned about business and investing. After his graduation, he migrated to the United States and it was there that he started accumulating much of his fortune through the investment fund he founded and managed. This fund was later known as Soros Fund Management, the primary investment vehicle of George Soros’ massive wealth. It was also this fund’s major coup against the English pound that catapulted George Soros into the arena as a financial giant. The coup happened in 1992 as a result of European unification when Britain artificially increased the interest rate of the pound sterling in hopes of attracting more people to the currency. Speculators, including Soros, began shorting the pound at the same time that Britain was losing billions trying to buoy it with interest increases. By the time Britain stopped its artificial rate increases and everything returned to normal, Soros had gotten out of the market and had pocketed in excess of a billion pounds sterling on his trades.