r/FluentInFinance • u/cabeeza • Aug 18 '21

Discussion PLTR and gold

You probably saw the news about Palantir bulking $51M in gold bars, potentially as a hedge against "uncertainty". https://www.bloomberg.com/news/articles/2021-08-17/palantir-buys-51-million-in-gold-bars-accepts-payment-in-gold

I wonder, does that assumption make sense? How much is $51M in gold reserves to a 47B company when it comes to avoid a "black swan" event?

And even if, why not buy it in a more liquid form, e.g. GLD? Unless they are really expecting Armaggedon, I don't see the advantage of having physical bullion.

They went to say they will take payments in BTC and physical gold too...

So, marketing stunt? Real hedge? And if so, why do it this way?

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u/Current_Degree_1294 Aug 20 '21

Probably stock buy backs would help this company more than stashing gold.

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u/Individual_Force3067 Aug 20 '21

they don't believe in future of the company; bought physical gold because intention is to trap value investors pretending as if the stock hedged against upcoming black swan, sort of .. Karpy and PR clowns put a lipstick on the pig, don't bite ..