SEC Filing Reveals Deregistration of Michael Burry’s Scion Fund
Michael Burry’s Scion Asset Management has officially deregistered with the U.S. Securities and Exchange Commission (SEC). This significant decision occurred on November 10, as revealed in a recent SEC filing.
Background on Michael Burry and Scion Asset Management
Burry gained widespread recognition for his predictions during the 2008 financial crisis, particularly his bet against the U.S. housing market. After wrapping up a previous venture, Scion Capital, in 2008, he founded Scion Asset Management in 2013.
Details of the Deregistration
The recent filing indicates that the firm had around $155 million in assets under management (AUM) as of March. Typically, investment advisers managing over $100 million must register with the SEC. The deregistration raises speculation that Burry may be closing his hedge fund or limiting it to outside investors.
Recent Market Perspectives
Burry has voiced concerns regarding market exuberance, particularly related to the artificial intelligence sector. In his social media commentary, he pointed to notable fluctuations in stock values, including Nvidia Corp., which recently crossed a market valuation of $5 trillion. He has also advised investors to be wary of potential market bubbles.
Investment Strategies and Positions
- Scion Asset Management has taken bearish positions on stocks such as Nvidia and Palantir Technologies Inc.
- Burry’s options strategy regarding Palantir involved an investment of approximately $9.2 million, allowing him the option to sell shares at $50 by 2027.
- In the first quarter, Scion liquidated most of its listed equity portfolio, shifting focus to put options on key companies, including Nvidia and select U.S.-listed Chinese technology firms.
Though Scion Asset Management has not officially commented on the deregistration, the filing has drawn significant attention across financial news platforms, including El-Balad. Investors and analysts remain eager to understand Burry’s upcoming strategies and decisions in a potentially volatile market environment.
