John Paulson, a hedge fund manager, lost 65% worth of its gold fund this year. This was after the fund's portfolio decreased 23% last month said two people who were familiar with the matter last Monday.

Gold has been the billionaire investors winning bets in the last few years. However, this was not the case this year as the fund's gold investments and miners suffered double digit losses. The losses occurred in the last three months causing the fund pain in the neck.

According to mananging director for hedge fund Armored Wolf LLC John Brynjolfsson, the impact on Paulson's gold market was dramatic.

SPDR Gold ETF was Paulson & Co's biggest holding by market value. By the end of the first quarter, the unit held 21.8 million shares as shown in a regulatory filing. The company also had large stakes in mining firms through March still according to the same filing.