Gold Will Hit $2,400 Bubble: Jim Rogers

Gold has many years left on its bull run, but the precious metal will eventually reach a bubble, famed investor Jim Rogers told CNBC Wednesday.

Jim Rogers
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Jim Rogers

"It will easily go to $2,000 but it will reach $2,400 over the course of the bull run, which has years to run," said Rogers, the CEO and chairman of Rogers Holdings.

"It will end in a bubble when this is over. The way bull markets work is they go up and up and then by the end they turn into a bubble and that will happen to gold.

He said, however, that such a bubble is still years from happening.

"That could be five years, 18 years or six years," he said.

"I hope I am smart enough to sell but when that happens it will probably double." He said that currently he would buy silver instead of gold because it's cheaper on a historic basis.

"I own both, I'm not selling either but if I had to buy one today I would buy silver," he said.

Rogers said he was short stocks because he is not very optimistic about the fundamentals.

"You're better off in real assets than in stocks, at least I hope," he added.

Not everyone agrees with Rogers.

Ken Kamen, president of Mercadien Asset Management told CNBC that gold should not be used as an insurance product.

"I'm not a metal head. All this talk about gold suggests if you have it you have some sort of insurance policy.

Any asset class that fluctuates hundreds of points in a week is not a safe haven. Gold is not a silver bullet," Kamen said.