Michael Burry, the famed American investor and hedge fund manager, rose to prominencewith his remarkable foresightand successful predictions during the tumultuous 2008 financial crisis. Here is a timeline of his life and career:
Biography
1971:
Born on June 19 in San Jose, California, United States, Michael Burry’s journey begins.
1990:
Graduates from the University of California, Los Angeles (UCLA) with a Bachelor’s degree.
“
In fact, my time as an undergraduate at UCLA was a seemingly random walk through Economics, English, and Biochemistry, without even one course in accounting. – Michael Burry
1997:
Completes his medical degree from Vanderbilt University School of Medicine and obtains a physician’s license.
1997-2000:
Continues his medical education as a resident at Stanford University Hospital before leaving after his third residency yearto start Scion Capital.
2000:
Takes the entrepreneurial leap by establishing Scion Capital, his own hedge fund, where he initially funds the venture with contributions from both himself and his family (His mother contributed $20,000 and his three brothers $10,000 each).
2000:
Michael Burry’s first investors become Joel Greenblatt – founder ofGotham Capital($1,000,000) and Jack Byrne fromWhite Mountains($600,000).
2004:
By the end of 2004, Michael Burry was managing $600 million.
2005:
Recognizes early signs of trouble in the subprime mortgage market and strategically invests in credit default swaps (CDS) on subprime mortgage bonds, effectively betting against the housing market.
2007:
Burry’s accurate predictions came true when the subprime mortgage market collapsed, causing a global financial crisis. He not only saved his investors from losses, but he also made a significant profit for himself and his backers. He earned $100 million personally and $725 million for his investors.
2008:
Decides to closeScion Capital,returning the remaining funds to his investors, marking the end of an era.
2010:
The book“The Big Short”made Michael Burry famous. It told the story of how he bet against the subprime mortgage market and made a fortune when it collapsed. The book was a critical and commercial success, and it turned Burry into a household name.
2010:
Initiates a fresh chapter in his career by establishingScion Asset Management,primarily managing his personal investments through this entity.
2013:
Publishes an open letter expressing concerns about the potential bubble in passive index funds, cautioning that they may distort the market and increase systemic risk.
2015:
The Big Short filmdirected by Adam McKay and written by McKay and Charles Randolph, based on Michael Lewis’s 2010 book The Big Short: Inside the Doomsday Machine is released telling the story of Michael Burry and other investors who bet against the subprime mortgage market in the lead-up to the 2007 financial crisis.
2019:
Burry Gains attention for hissignificant long position in GameStop,a struggling video game retailer. This position takes center stage when the WallStreetBets subreddit community rallies behind the stock in 2021, leading to a massive short squeeze.
2021:
He Continues to captivate the financial world with his cautionary views on speculative excess and market risks. He actively shares his insights and analysis through his X (Formerly Twitter) account, amassing a substantial following.
2022-2023:
Burry Issues warnings about inflation and the potential for an impending recession, maintaining his reputation as a prominent financial seer.
Personal Life
Michael Burrywas married twice. His first wife was a Korean descent and his second wife to whom he is still married is a Vietnamese- American. Michael Burry and his family live in Saratoga, California. His son was diagnosed with Asperger syndrome, and after learning more about the disorder Burry believes he also has it.
Net Worth
MichaelBurry’s estimated net worth is around $300 million.
Burrybecame millionaire at the age of 29, when he sold part of hisScion Capitalhedge fund to investors.
MichaelBurry isNOTin Forbes World Billionaires list or in Bloomberg Billionaires Index.
Investing Style
Burry’sinvestment approachdraws heavily from the principlesoutlined inBenjamin Graham and David Dodd’s influential book “Security Analysis”, published in 1934.
Interesting Facts
Hewas born with retinoblastoma, a rare form of cancer that caused him to lose his left eye at the age of two.
Hebelieves he has Asperger’s syndrome, and has said that it allows him to see the world in a unique way.
Burryis a fan of heavy metal music including bands such as DevilDriver, Entombed, Motionless in White, As I Lay Dying, Dismember, Obituary, Lamb of God and Amon Amarth
In hisMatch.com profile, he described himself frankly as “a medical resident with only one eye, an awkward social manner, and $145,000 in student loans.”
ThenameScion Capitalwas inspired by Terry Brooks’ novel “The Scions of Shannara”, one of Burry’s favorite books.
Michael Burry had successful finance website/blog (valuestocks.net) that won a Forbes “Best of the web” award for stock picking.
MichaelBurry used to writearticles on stocks for MSN Moneyin the early 2000s.
Social Media
X(Formerly twitter) account:https://twitter.com/michaeljburry/
