Burry, Who Predicted The 2008 Crisis, Shared His Short Positions

Burry, who predicted the 2008 crisis shared his short positions. Michael Burry has increased the number of Tesla stocks he has shorted.

Predicting the mortgage bubble before the 2008 financial crisis, Michael Burry, put a buy option against 235,000 stocks of the ARKK exchange-traded fund managed by Cathie Wood. The valuation of the short position was recorded at almost $31 million, according to a notice to the regulator on Monday. Wood's investment company Ark Investment Management's thematic investment fund, which focuses on technology companies, provided returns well above the index in 2020. But after rising prices and accelerating inflation, Wood's fund was unable to sustain the momentum. While expressing that there has been an unsustainable valuation in the markets for months, Burry stated that retail investors investing in cryptocurrencies and shares called phenomena may face the biggest of all collapses. Burry had previously taken a position indirectly against Wood's mutual fund. Burry's Scion Asset Management, which took a short position in 800 thousand 100 shares of Tesla on March 31, had previously taken a position against Tesla at different times. Tesla shares are one of the largest holdings in Ark's exchange-traded fund, while Burry said on Monday that he has increased the number of shares he has shorted against Tesla from 800,100 to 1,075,000. While the ARKK exchange-traded fund decreased by close to 2.6 percent in New York on Monday, Tesla also lost around 4.7 percent.