Archive · 25 Sep 2026
Hedge Fund Manager Says Gold Decline Is Temporary
Raphael Lamm manages a fund that invests in companies connected to gold.
He believes the recent drop in gold prices will not last.
Gold has fallen since the US-Iran war began in late February.
Higher energy prices and expectations of higher US interest rates have put pressure on gold.
Lamm says government debt and central banks buying gold could support prices over time.
His fund buys shares in some gold companies while using other positions to reduce risk.
The fund has earned a 235% net return since it began last year, according to a spokesperson.
Lamm is also buying more gold-related stocks after gold fell below $4,000.
He expects mergers and acquisitions among mining companies to create additional opportunities.
Raphael Lamm says gold’s recent decline is temporary and that long-term demand drivers remain intact.
The L1 Gold Fund has returned 235% net since launching in February last year, according to a spokesperson.
Gold has fallen about 16% since the US-Iran war began in late February and traded at $4,286.01 an ounce Thursday evening in Sydney.
The fund uses long positions in gold-related stocks and short gold futures and is currently 60% to 65% net long.
Lamm cites fiscal pressures, central-bank allocations, and possible mining-sector deals as potential long-term supports for gold and gold equities.
- Who
- Raphael Lamm and Mark Landau, co-managers of the L1 Gold Fund.
- What
- The fund is maintaining a bullish long-term view on gold despite its recent decline and is adding to selected gold-equity positions.
- When
- The comments were reported Thursday; the fund launched in February last year, and gold has declined since late February.
- Where
- The fund is based in Melbourne, and bullion was quoted in Sydney.
- Why
- Lamm says fiscal pressures, central-bank gold allocations, and other long-term demand drivers remain supportive, while near-term prices depend on the US-Iran war, real interest rates, and inflation data.
Bullish Fund View
Near-Term Market Headwinds
Gold’s outlook
Bullish Fund View
Raphael Lamm says the recent decline is temporary and that fiscal pressures, central-bank allocations, and other demand drivers will support gold over the medium to long term.
Near-Term Market Headwinds
Gold has been under pressure from surging energy prices and expectations of Federal Reserve rate hikes, which weigh on the non-yielding metal.
Investment strategy
Bullish Fund View
The L1 Gold Fund is using the decline to add to long positions in gold-related equities and expects further opportunities from mining-sector consolidation.
Near-Term Market Headwinds
The fund still hedges its exposure through short gold futures and selected gold stocks because prices and individual companies face downside and operational risks.
- Fund
- L1 Gold Fund
- Fund managers
- Raphael Lamm and Mark Landau
- Reported net return
- 235% since launch through August, according to a spokesperson
- Assets managed by L1 Group
- About A$14 billion
- Gold price
- $4,286.01 per ounce on Thursday evening in Sydney
- Gold decline
- About 16% since the US-Iran war began in late February
- Current positioning
- Low- to mid-60% net long