Michael Burry is a well-known value investor and the founder of Scion Asset Management. Scion Asset Management had more than $100 in AUM in 2016 and started filing 13Fs. Unfortunately, its AUM must have declined below the $100 million reporting threshold as the fund stopped disclosing its 13F holdings in 2017.
Despite being one of the few prominent investors in the world to recognize the bubble brewing in the subprime mortgage markets and the crisis it would lead to when it burst, Michael Burry received only limited recognition for his talent until renowned writer Michael Lewis of ‘Moneyball’ fame wrote about Mr. Burry’s journey in the 2010 bestseller ‘The Big Short: Inside the Doomsday Machine’. That recognition has turned into even greater fame more recently after the release of the movie by the same name, in which Mr. Burry is played by star actor Christian Bale. As the ending of the movie showed, even after making outsized gains during the financial crisis, Mr. Burry soon closed his hedge fund, Scion Capital LLC, due to the continuous redemption pressure he faced from his investors while betting against the housing market. However, what the movie didn’t show was that Mr. Burry has been back in the game since 2013. He started another hedge fund, Scion Asset Management, LLC, later that year and although he has been predominately investing in water, his fund recently revealed a fairly large U.S equity portfolio, submitting its first 13F filing with SEC, for the reporting period ending December 31.