Michael Burry is one of the most renowned investors in the world and has earned his net worth through a lifetime of successful investing. The California-based hedge fund manager has become an iconic figure in financial circles, thanks to his success at managing the now defunct Scion Capital. He rose to fame as a result of his prescient investments in mortgage-backed securities prior to the 2008 financial crisis, allowing him to make substantial profits while avoiding large losses suffered by many others. In this guide, we’ll discuss Michael Burry’s incredible journey from medical school student to hedge fund magnate, as well as providing insight into his investment strategy and current net worth.
Introduction to Michael Burry
Dr. Michael Burry was born on June 19th 1971 in San Jose, California. After graduating with honors from De Anza College, he went on to attend Vanderbilt University for medical school where he obtained both his MD and MBA degrees in 1994 and 2001 respectively. After practicing medicine for four years, Dr. Burry left it behind in 2000 to focus solely on investing. By 2004 he had already established his own hedge fund, Scion Capital, which would go on to manage $700 million in assets until its closure in 2016.
Brief History of Michael Burry
Burry first made a name for himself during the global financial crisis of 2007–2008 when he correctly predicted that there was trouble brewing in the housing market due to reckless lending practices. As a result of his astute observations, he initiated short positions on mortgage-backed securities just months before they plummeted in value. This resulted in huge profits for Burry and Scion Capital, giving them recognition throughout the finance world. In 2011, he was also featured in The Big Short – a movie based on Michael Lewis’ book about the events leading up to the economic downturn – which starred Christian Bale as the lead character.
Michael Burry’s Investment Strategy
In addition to being able to spot opportunities in the stock market, Michael Burry also employs various other strategies such as contrarian investing, event-driven investing and long/short equity investing. His “contrarian approach” involves buying stocks or bonds that are undervalued relative to their true potential and selling those that are overvalued. Similarly, event-driven investing looks to capitalize on any specific corporate actions such as mergers, acquisitions or restructuring while long/short equity strategies involve taking both long (buying) and short (selling) positions simultaneously on different stocks in order to minimize risk and increase returns.
Michael Burry’s Success Story
Thanks to his keen eye for spotting investment opportunities and adept use of multiple investment strategies, Michael Burry has gone on to achieve tremendous success throughout his career. Since founding Scion Capital in 2004, he has managed to generate annualized returns of nearly 17% over the past 13 years, far outpacing both the S&P 500 and Dow Jones Industrial Average. Furthermore, the fund closed out its final year in 2016 with more than $400 million in gains for its clients – all despite having only $1 billion under management at the time.
How Much Is Michael Burry Really Worth?
As a result of his immense success within the finance industry, Michael Burry currently holds a net worth of approximately $200 million according to some estimates. This wealth has come from both his earnings through Scion Capital as well as from personal investments. Notably, he made millions after betting against Tesla back in May 2020 – something that may have saved him from larger losses if Tesla’s stock price were to drop significantly.
Major Investments by Michael Burry
Throughout his career, Michael Burry has invested heavily across a range of sectors including technology, healthcare, finance and consumer goods. Some of his notable investments include Apple Inc., Amazon Inc., Starbucks Corporation, Microsoft Corporation and Berkshire Hathaway Inc.. He is also known for making bets against companies like Sears Holding Corporation and RadioShack Corp., proving that not even big names can escape the scrutiny of shrewd investors such as Burry.
What Type Of Property Does He Own?
The majority of Michael Burry’s wealth is held in liquid form but he does also own several properties around the United States. These include residential homes located in Texas and Florida as well as commercial real estate such as office buildings in California and New York City. Additionally, he also owns a small farm near Nashville, Tennessee where he spends much of his free time growing organic vegetables and tending to his flock of chickens.
Who Are Some Other Notable Investors Like Michael Burry?
When it comes to savvy investors, few have achieved greater levels of success than Michael Burry. However, there are other investors who have similarly impressive track records and similar investment styles. Some of these include David Einhorn (founder of Greenlight Capital), Warren Buffett (CEO of Berkshire Hathaway) and Ray Dalio (founder of Bridgewater Associates). Each of these individuals has made waves within the finance industry by identifying profitable investments and executing successful trades.
Key Takeaways from Michael Burry’s Story
Michael Burry is undoubtedly one of the greatest investors alive today, having amassed considerable wealth through wise decision making and calculated risks. Although he started out relatively unknown, he quickly gained notoriety after correctly predicting the subprime mortgage collapse. Through sheer hard work and dedication, he went on to establish a highly successful hedge fund which generated strong returns even in times of adversity. Perhaps most importantly however, is that Dr. Burry shows us how anyone can be successful given enough perseverance and knowledge.
Conclusion
To conclude our guide on Michael Burry’s net worth, we can safely say that he is one of the wealthiest people alive today – largely thanks to his immense skill as an investor. Despite his impressive accomplishments however, it’s important to note that much of what he achieved could potentially have been done by any individual willing to take the same amount of effort and put in the required research. It goes without saying that proper education and experience will always give you an edge in any field – regardless of whether it be investing or something else entirely.