NEW YORK (Reuters) - Caxton Corp exited its stake in a gold exchange-traded fund when bullion prices fell to their lowest level in nearly six years late last year, a government filing showed on Tuesday, bailing out ahead of the biggest rally in more than four years in early 2016.
In contrast, CI Investments Inc, an investment manager of Toronto-based CI Financial Corp (CIX.TO), raised its stake in another gold-backed exchange-traded fund (ETF), SPDR Gold Trust (GLD.P), in the fourth quarter of 2015, U.S. Securities and Exchange Commission 13F-HR filings showed earlier this month.
In December, the price of spot gold XAU= fell to the lowest in nearly six years at $1,045.85 per ounce, causing a steady outflow from gold ETFs as investors looked away from the traditional safe haven and the U.S. Federal Reserve raised interest rates for the first time in nearly 10 years.
The gold market surprised investors in early 2016, however, and rallied 12 percent in just five weeks to $1,260.60 an ounce, a one-year high and the biggest such price surge since September 2011, as concern about global economic growth helped revive gold's safe-haven appeal.
In the three-month period ended Dec. 31, Caxton eliminated its stake in Market Vectors Gold Miners ETF (GDX.P), having held 31,733 shares worth $436,000 in the third quarter, the 13F-HR filing showed.
Meanwhile, CI Investments raised its shares in SPDR Gold Trust to 944,579 shares worth $95.8 million, up from 601,479 shares in the third quarter. It held its stake in Randgold Resources Ltd (RRS.L) steady at 22,200 shares worth $1.38 million, the filing showed.
Reporting by Marcy Nicholson; Editing by Steve Orlofsky and Jonathan Oatis