Greenlight Capital founder David Einhorn, 40, is finally taking his grandfather’s advice.

The $5.1 billion hedge fund is buying gold for the first time on fears of inflation from increased government spending.

Since Einhorn was 10 years old, his grandfather has warned him that investing in bullion and gold-mining stocks was the only “sensible” thing to do given the threat of inflation and the risks of so-called fiat currencies, New York-based Greenlight said in a Jan. 20 letter to clients.