‘Big Short’ Michael Burry sells all stocks except one – Check portfolio

Michael Burry’s Scion Asset Management disclosure reveals that the hedge fund had sold off stocks of portfolio companies including Alphabet Inc. and Facebook parent Meta Platforms.

‘Big Short’ Michael Burry sells all stocks except one – Check portfolio
Michael Burry shot to fame after rightly calling out the subprime mortgage crisis of 2007 that eventually ended up raking up billions after betting against mortgage securities. (Image: Pixabay)

Famous investor Michael Burry is once again in the news for his take on the stock market. This time, it is the US Sec Filings that reveal his firm’s position in the stock market. As per recent filings dated August 15, Michael Burry’s Scion Asset Management disclosure reveals that the hedge fund had sold off stocks of portfolio companies including Alphabet Inc. and Facebook parent Meta Platforms. The data refer to the portfolio reporting date of June 30, 2022, and shows holding shares of The GEO Group (GEO).

By the end of the June quarter, Michael Burry is only long on private-prison operator Geo Group Inc. and held nearly 501,360 shares of Florida-based Geo Group stock that closed at $7.60, 10% higher on Monday recording a volume of 12.51 million, nearly 877% of trading volume against the average volume.

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As per the US Sec rules, all investment managers handling more than $100 million of US equities are required to make disclosures showing the stock holding position on the US stock exchanges. The positions held on non-US traded securities or short positions need not be disclosed.

Source: fintel.io

It remains to be seen how the economy and the stock react to the changing dynamics following the Fed rate hikes of 225 basis points in 2022, aimed at taming the runaway inflation. With no more availability of easy money, Americans are being seen to run after credit which may spiral into a debt trap for them.

A recent study by the Federal Reserve Bank of New York’s Center for Microeconomic Data shows aggregate household debt balances increased by $312 billion in the second quarter of 2022, a 2.0% rise from 2022Q1. Balances now stand at $16.15 trillion and have increased by $2 trillion since the end of 2019, just before the pandemic recession. Credit card balances saw a $46 billion increase since the first quarter.

Also Read: Pre-Market Movers Today: Stocks with biggest gains, highest volumes

Michael Burry shot to fame after rightly calling out the subprime mortgage crisis of 2007 that eventually ended up raking up billions after betting against mortgage securities. The entire event leading up to the global financial crisis was later captured in a movie based on Michael Lewis’s book on the 2008 financial crisis, ‘The Big Short’.

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