News in brief: Gold on the slide as major investors sell, Hedge fund bosses’ earnings take a dip, Rise in loans to first-time buyers

15 April 2013

Gold extended its dramatic slump today as prices slipped below $1400 an ounce for the first time in more than two years.

The precious metal is now in bear market territory after falling more than 20% from its peak in September 2011. Analysts blamed selling by major institutional investors and the potential unwinding of gold reserves by struggling nations like Cyprus.

Hedge fund bosses’ earnings take a dip

The world’s top 25 hedge fund managers earned $14 billion (£9.13 billion) last year down $8 billion from the record $22 billion they made in pay and paper profits in 2010.

Highest earner was David Tepper, boss of the $15 billion Appaloosa fund which returned 30% to clients last year. His pay and share incentives totalled $2.2 billion.

Rise in loans to first-time buyers

First-time buyers piled back into the housing market in the best start to a year since 2008, according to the Council of Mortgage Lenders.

Its figures showed 32,300 loans advanced to those getting on the property ladder in January and February, 21% up on a year earlier. Director general Paul Smee said: “First-time buyers are taking advantage of more favourable market conditions.”