‘Big short’ fame Burry dumps the Biggies’ bearish stocks

Michael Burry of ‘The Big short’ fame, dumped numerous bearish bets at Alphabet Inc’s Google, Tesla Inc and Ark Innovation Fund last quarter. This has been noted on the SEC filings for the last quarter, that released on Monday.

Shares he Exited

Burry, who is known for featuring his bets on mortgage securities in the run-up to the 2008 financial crisis on Michael Lewis’ 2010 book called “The Big Short,” and who now runs $638 million worth Scion Asset Management, dumped put options more than 1 million shares of Tesla, a snapshot of his portfolio as of September 30 showed.

Burry told CNBC in October that he was not betting against Tesla any longer. Also, his position, which was disclosed earlier this year, was just a trade.

Other positions he exited included put options on 91,900 shares of Alphabet Inc. Additionally, he exited 1.9 million shares of the iShares 20 year plus Treasury ETF. Burry also exited a put position on ARK Innovation’s 235,500, star stockpicker Cathie Wood’s ETF, America’s top-performing equity fund last year. However, the $20 billion Fund slumped this year by 4.8% for the year to date. In contrast, it soared by 24.7% in the S&P 500.

The data on how Michael Burry’s bearish bets and Tesla, Google and others fared, however, is not available. This is due to the fact that it is not necessary to disclose options strikes, purchase price and expiration dates in regulatory filings.

Elon Musk v/s Burry

Before the news of Burry exiting Tesla shares broke, he and Tesla CEO Musk had a bitter ‘cold war’. A day ago, Burry tweeted that Elon Musk ‘Just wants to sell Tesla’. The tweet stated, “Let’s face it. @elonmusk borrowed against 88.3 million shares, sold all his mansions, moved to Texas, and is asking @BernieSanders whether he should sell more stock. He doesn’t need cash. He just wants to sell $TSLA.” Replying to that, Musk called him a ‘broken clock’. Burry deleted his Twitter account after this.

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