Earlier quoted context omitted.
I'm legitimately curious what his overall performance is. Are those just cherry picked trades?
His wins were quite big so I’d imagine he’s doing really well overall
Michael Burry a.k.a. "Big Short",discloses $1.1B bet against Nvidia&Palantir
21–30 of 352 posts
Re: Michael Burry a.k.a. "Big Short",discloses $1.1B bet against Nvidia&Palantir
#22how to do such betting ?
Note: you pay overnight swap fees or similar for holding a position. "The market can stay irrational longer than you can stay solvent."
Re: Michael Burry a.k.a. "Big Short",discloses $1.1B bet against Nvidia&Palantir
#23Palantir's valuation is far more egregious than Nvidia's. Palantir is Becky (IBM) with the good hair.
The Nvidia trade is a rounding error compared to Palantir (which looks a bit oversized given it is 1/400th of the entire market cap)
Re: Michael Burry a.k.a. "Big Short",discloses $1.1B bet against Nvidia&Palantir
#24Palantir's valuation is far more egregious than Nvidia's. Palantir is Becky (IBM) with the good hair.
You're betting against a middle-east Marshall Plan and AIPAC lobbyists vs. a company that just set up its AI industrial Hub in Europe and has some serious compute-engine hosting cost sticker-shock incoming. As far as I can see, shorting Thiel is shorting Israel at the moment. Don't do it while Trump is in Cabinet and pressuring Tel Aviv to pardon Bibi.
Re: Michael Burry a.k.a. "Big Short",discloses $1.1B bet against Nvidia&Palantir
#25Earlier quoted context omitted.
What makes it an (almost) certainty?
Reminder that economist have predicted 9 of the past 7 recessions. General handwavy statements like "there's a bubble" aren't worth paying attention to. Ones with specific timelines attached to it (like the one above, or the article we're commenting on), are worth listening to a bit more, but unless they have the funds to back it up (like Michael Burry has put down here), it's still hot air.
Re: Michael Burry a.k.a. "Big Short",discloses $1.1B bet against Nvidia&Palantir
#26Re: Michael Burry a.k.a. "Big Short",discloses $1.1B bet against Nvidia&Palantir
#27how to do such betting ?
Not usually a good idea if you're not a skilled investor, but here's a place to start: https://www.investopedia.com/ask/answers/06/sellingoptions.a...
is my understanding right?
I make a PUT option on a stock for a price. This price is usually lower than the current market price of the stock.
1.When I do that, the premium amount is to be paid by me when i make the PUT option or I get paid while making the PUT option.
2. Do I have to pay upfront money before hand, while making the PUT option?
3. Is there a deadline for my PUT option. For example, if it doesn't happen, what form of loss do I experience?
Re: Michael Burry a.k.a. "Big Short",discloses $1.1B bet against Nvidia&Palantir
#28Re: Michael Burry a.k.a. "Big Short",discloses $1.1B bet against Nvidia&Palantir
#29how to do such betting ?
Not usually a good idea if you're not a skilled investor, but here's a place to start: https://www.investopedia.com/ask/answers/06/sellingoptions.a...
You either sell the stock short or buy puts.
Re: Michael Burry a.k.a. "Big Short",discloses $1.1B bet against Nvidia&Palantir
#30I'm not sure the bet is as big as it seems from the headline. When you buy options, you pay a fixed premium to get the right to buy/sell a very large value of shares, called the notional. But the notional is not what you are losing if it goes wrong, you lose the premium. The premium can be quite a small number compared to the notional.
You can check here: https://www.sec.gov/Archives/edgar/data/1649339/000164933925... Is this like what you say?