What Is Michael Burry’s Net Worth In Now Amid $1.6 Billion Bet On Stock Market Crash
Michael Burry is a popular American investor, hedge fund manager, and physician. He founded the hedge fund Scion Capital. Michael is also best known for being among the first investors to predict and profit from the subprime mortgage crisis that occurred between 2007 and 2010. In August 2023, it was widely reported that Burry had made a $1.6 billion bet on a US Stock Market crash. Securities filings reportedly showed that Burry held negative options on both the S&P 500 and the Nasdaq 100 at the end of Q2 2023. In this post, we will take a look at Michael Burry’s net worth in 2023, especially after his $1.6 billion bet on a US Stock Market. Keep reading for more details.
Michael Burry Biography
Burry’s early life was marked by determination and resilience. Growing up with Rusyn ancestry, he attended Santa Teresa High School as a teenager, showcasing his intellectual curiosity. Later, he pursued dual studies in economics and pre-med at the University of California, Los Angeles, only to diverge into medicine by earning an MD degree from the prestigious Vanderbilt University School of Medicine. He commenced his residency in pathology at Stanford University Medical Center, a path that would eventually intersect with his true passion – financial investing.
While moonlighting during night shifts as a physician, Burry’s hidden passion for investing began to flourish. A self-taught financial guru, he leveraged online platforms to share his insights, particularly on the stock discussion site Silicon Investor. His dedication and knack for value investing caught the eye of industry giants, including Vanguard and White Mountains Insurance Group.
Burry’s investment philosophy centred on the concept of a “margin of safety,” echoing the teachings of Benjamin Graham and David Dodd’s seminal work, “Security Analysis.” This traditional approach was the foundation of his success, enabling him to make shrewd investments that repeatedly outperformed the market. His adeptness led him to establish his hedge fund, Scion Capital, which he founded with his inheritance and family loans.
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The early 2000s saw Burry’s financial prowess truly shine. While the S&P 500 faltered, Scion Capital flourished, generating remarkable returns year after year. His strategic shorting of overvalued tech stocks demonstrated his keen insight into market dynamics, marking him as an investment savant.
Burry’s clairvoyant ability reached its zenith in the mid-2000s when he turned his attention to the subprime market. His meticulous analysis exposed the fragility of the real estate bubble, accurately predicting its imminent collapse. His conviction led him to persuade investment firms like Goldman Sachs to sell him credit default swaps against subprime deals, a move that would pay off immensely when the crisis hit.
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While Burry’s vision was vindicated, he encountered adversity as investors questioned his foresight. Nevertheless, his predictions proved right, leading to substantial profits for himself and his investors. Scion Capital’s returns spoke volumes – a staggering 489.34% compared to the S&P 500’s meagre 3% over the same period.
Burry’s legacy of uncanny foresight extended beyond finance. He criticized the lack of heed paid to the growing risks in the subprime markets in the years leading up to the financial crisis. In 2010, he took to The New York Times to underscore the failures of federal regulators to acknowledge these risks.
In the years that followed, Burry continued his financial journey with Scion Asset Management, investing in unconventional assets like water, gold, and farmland. He demonstrated his agility in adapting to market trends, including an incisive analysis of the passive investing bubble and short positions on companies like Tesla.
In 2023, Burry once again made headlines, as he positioned himself against the broader market with a $1.6 billion bet on a US stock market crash. His contrarian stance mirrored his lifelong pattern of challenging conventional wisdom.
Beyond the world of finance, Burry’s personal life added depth to his narrative. A devoted family man, he navigated challenges with his son’s diagnosis of Asperger syndrome, a condition he believed he shared after reading about it. His candid admission of finding it difficult to make eye contact resonated with many, shedding light on his unique perspective.
Burry’s eclectic tastes extended to music, with a penchant for heavy metal. Bands like Obituary, Lamb of God, and Pantera provided the soundtrack to his journey, mirroring his fierce individuality and defiance of norms.
Amid the COVID-19 pandemic, Burry once again demonstrated his willingness to swim against the current. His critical stance on lockdowns underscored his readiness to challenge prevailing opinions, even in times of crisis.
What Is Michael Burry’s Net Worth?
Michael Burry’s current net worth is estimated at around $500 Million.
