Unlikely Superstar: How a Forgotten Fund Got Hot in a Hurry

Imagine going from investing zero to superhero overnight.

By Jason Zweig

That is roughly what has happened to Michael Cuggino, manager of Permanent Portfolio. After struggling to stay above $50 million in assets for most of its life, the fund shot past $1 billion in 2007, more than doubled to $3.4 billion in 2008 and swelled to $5 billion last year. So far in 2010, $1.9 billion of new money has come piling in.