Interesting take on Michael Burry's exit:
Discussion
How will this affect the kazoo scene?
I’m pretty long kazoos right now and I don’t want everyone to know I’ve been swimming with no trunks on (one or two people seeing is ok).
The day that Bitcoin became the hurdle rate, managing other people’s money got 10x harder
The risk-reward of sitting with the most saleable good, which does a cagr superior to most VC funds, make the job impossible
Plus, late stage fiat. History clearly shows its mayhem.
“when money dies”, great book, is an example, but there are countless more
Stewarding other people’s capital through the uncertainties, the counter party risk, the volatility… tough gig
The times they are a-changin'
As I woke up and thought about this some more
One of the most proven investors of the last 20 years taking this decision is fascinating
Why?
I always love the lens: “ask a man what he owns, not what he thinks”
It cuts through all the noise
So what is love to know, having released all capital back to his clients, what is Burry allocated into?
On a personal level
With his own funds
What’s the probability of a large Bitcoin allocation?
50% Bitcoin eg?
I’ll never know
But what I can deduce, is that markets in general have lost their senses, they’re impossible to navigate, so heavily manipulated, even the best allocators in the business are pulling out of active stock picking
Who knows where the next 5 years will go
4th Turning in full swing
My Son just mentioned this story and your note popped up
You’re a sick pedophile. People will learn the truth about you eventually.
