Hedge fund manager Pierre Andurand expects the price of copper to almost quadruple to $40,000 a tonne in the next few years as soaring demand causes global stockpiles of the red metal to run low.
Andurand’s conviction on the copper market has helped his $1.3bn Commodities Discretionary Enhanced fund rebound from a 55 per cent loss last year that came as his bullish oil wagers backfired badly. The fund is up 83 per cent this year, with the gains coming from a broad range of commodities, according to people familiar with the performance.
Copper, a critical metal at the heart of the energy transition, has risen almost 20 per cent this year, touching a record $11,000 a tonne this week. But Andurand, one of the world’s best-known commodity traders, thinks the rally has much farther to run, as supply struggles to keep up with demand.