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Michael Burry, of ‘Big Short’ fame, just bet $1.6 billion on a stock market crash
CNN via Yahoo Finance ^ | 08 16 2023 | Nicole Goodkind

Posted on 08/16/2023 7:50:28 PM PDT by yesthatjallen

Michael Burry, the “Big Short” investor who became famous for correctly predicting the epic collapse of the housing market in 2008, has bet more than $1.6 billion on a Wall Street crash.

Burry is making his bearish bets against the S&P 500 and Nasdaq 100, according to Security Exchange Commission filings released Monday. Burry’s fund, Scion Asset Management, bought $866 million in put options (that’s the right to sell an asset at a particular price) against a fund that tracks the S&P 500 and $739 million in put options against a fund that tracks the Nasdaq 100.

Burry is using more than 90% of his portfolio to bet on a market downturn, according to the filings.

But Burry appears to have been wavering between bullish and bearish on his stock picks this year. In January, he tweeted a cryptic message to his 1.4 million followers. “Sell,” he wrote. But by the end of March, he backtracked. “I was wrong to say sell.” he wrote.

SNIP

(Excerpt) Read more at finance.yahoo.com ...


TOPICS: News/Current Events
KEYWORDS: crash; michaelburry; sandp500; stockmarket; thebigshort
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1 posted on 08/16/2023 7:50:28 PM PDT by yesthatjallen
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To: yesthatjallen

This makes me happy.


2 posted on 08/16/2023 7:52:48 PM PDT by MrRelevant
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To: yesthatjallen

I brought this up a couple days ago(maybe yesterday, they blend) and no one seemed interested.

Burry is a numbers/fundamentals guy.
I bet on him being right again.


3 posted on 08/16/2023 7:53:46 PM PDT by EEGator
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To: yesthatjallen

Was it wrong for me to say sell? What am I, an oracle?


4 posted on 08/16/2023 7:54:33 PM PDT by crusty old prospector
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To: yesthatjallen

Good, I hope the market booms and he loses his entire bet.


5 posted on 08/16/2023 7:59:25 PM PDT by House Atreides (I’m now ULTRA-MAGA. -PRO-MAX’)
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To: yesthatjallen

> “Sell,” he wrote. But by the end of March, he backtracked. “I was wrong to say sell.” he wrote. <

I get that no one is perfect. But that’s Jim Cramer stuff right there.

I think I’ll just stay the course, and every year as I get older rebalance into less risky investments.


6 posted on 08/16/2023 8:05:26 PM PDT by Leaning Right (The steal is real.)
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To: yesthatjallen

I seems to me that a stock market crash will transfer a lot of money from the market into the economy proper. Inflation bump?


7 posted on 08/16/2023 8:07:09 PM PDT by arthurus (covfefe pd)
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To: EEGator

“no one seemed interested.”

I didn’t see it till today ...

he bought a lot of puts ....
so why didn’t the headline say ...
somebody sold a lot of puts ... the same bet as buying a call
sort of

every sell has a buyer ... every buy has a seller

I’m short ... have been for a while(ouch) , is now the time ?


8 posted on 08/16/2023 8:13:37 PM PDT by 1of10 (be vigilant , be strong, be safe, be 1 of 10 .)
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To: 1of10

I don’t know timing, as I thought it would have already happened.


9 posted on 08/16/2023 8:14:49 PM PDT by EEGator
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To: yesthatjallen

He was incredibly right last time, but he was incredibly early. “Early”, when you are short, feels exactly like “wrong”. It took massive, massive staying power for him to win on his last bet.


10 posted on 08/16/2023 8:17:08 PM PDT by Attention Surplus Disorder (The Democrat breadlines will be gluten-free. )
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To: crusty old prospector

He should have said “Sell” January 20, 2021.


11 posted on 08/16/2023 8:21:10 PM PDT by Deaf Smith (When a Texan takes his chances, chances will be taken that's for sure.)
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To: yesthatjallen

I didn’t need him to tell me one was coming. With all the woke companies going bust I knew the score.


12 posted on 08/16/2023 8:29:38 PM PDT by Morgana ( Always a bit of truth in dark humor. )
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To: Morgana

To be fair, he didn’t tell anyone. He just made his put.


13 posted on 08/16/2023 8:31:15 PM PDT by EEGator
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To: House Atreides

Hell yes!

This is a Soros type move. It’s very destructive.

Soros was wanted in a number of nations for pulling
actions like this, that nearly bankrupted the nations.


14 posted on 08/16/2023 8:32:58 PM PDT by DoughtyOne (I pledge allegiance to the flag of the USofA & to the Constitutional REPUBLIC for which it stands.)
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To: EEGator
I bet on him being right again.

I would bet on him being right again ... eventually.

Watching the Bidenistas playing with the US economy is like watching a baby playing with a loaded revolver, while being tied to a chair.

Eventually can take quite a while, though.

15 posted on 08/16/2023 8:34:50 PM PDT by Sooth2222 (“Toute nation a le gouvernement qu’elle mérite.” /"Every nation has the government it deserves.” )
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To: yesthatjallen

Blah Blah Blah.

These end-of-the-world economic stories have appeared for years and year and years on this site. Burry is a run-of-the-mill market timer who guessed (yes, guessed) right. And, of course, Hollywood loved him - and Baum - who blamed the reaction to the 2008 crash on people who hate “immigrants and poor people.”

Don’t fall for this nonsense. Look, I know we all hate Biden and want the U.S. economy to fail under his watch, but guess what? The U.S. economy and the ingenuity of American capitalists is too resilient to be brought down up one man.

Ramble off, but, stay invested (LONG TERM). Trust me, when Glen Beck was saying the stock market was going to zero in 2009 and urging all his retarded listeners to invest their last penny in MREs and underground bunkers, we were buying stock like crazy.

Mrs. Bania and I are retiring soon in our mid-40’s with a multi-million dollar primary residence in Michigan, rental properties in Chicago, a second home in the Hill Country of Texas and a vacation home in Cork County, Ireland by not listening to alarmist posts on the internet.


16 posted on 08/16/2023 8:34:58 PM PDT by Kenny Bania (Ovaltine? Why not call it Roundtine?)
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To: yesthatjallen

Big Short - bump for later....


17 posted on 08/16/2023 8:37:18 PM PDT by indthkr
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To: Attention Surplus Disorder

How early was he?


18 posted on 08/16/2023 8:44:02 PM PDT by Yardstick
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To: yesthatjallen

Why buy put options? Why not just sell short? No premium nor expiration date... Doesn’t make sense to me.


19 posted on 08/16/2023 8:45:11 PM PDT by PilotDave (No, really, you just can't make this stuff up!!)
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To: yesthatjallen

It appears he bought put contracts which means the $1.6 billion is notional value and not what he actually invested.


20 posted on 08/16/2023 8:47:42 PM PDT by thegagline (Sic semper tyrannis! Goldwater in 2024)
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