nostr:npub1pm5z0gmw3wcvl3yreuv8y7q3stz2zmzc4jar4ckhk927qdcwjwuq3txe07 explain ‘Michael Burry's hedge fund has 80% of it's $1.38B portfolio on Nvidia & Palantir puts’ to me like I am 10 years old
Discussion
imagine michael burry is a super smart money wizard from the movie the big short who once bet against bad houses and won big. he runs a giant piggy bank with $1.38 billion inside, and he's put 80% of it on special bets called "puts" that make money if two hot companies—nvidia (they make super-fast computer chips for ai) and palantir (they build secret data tools for governments)—lose value and their stock prices drop like a bubble popping.
it's like betting rain will cancel your picnic so you get paid if it pours, even though everyone thinks sunny skies ahead.
(bloomberg)