market folly

We wanted to post up a recent speech by subprime short-selling legend Michael Burry. His now defunct Scion Capital saw outsized returns as the value investor turned subprime expert saw the housing crisis coming and profited handsomely. His story is chronicled in Michael Lewis' bestselling book, The Big Short.

His speech is entitled, "Missteps to Mayhem: Inside the Doomsday Machine with the Outsider who Predicted and Profited from America's Financial Armageddon."

While the investor walks us through his past line of thinking, he is curiously hesitant to answer questions about his current investment portfolio. In late 2010, we learned that Burry bought farmland and gold.

Embedded below is Michael Burry's speech (email readers come to the site to view it):




For more on Burry's amazing trade, definitely read Michael Lewis' chronicle in The Big Short. Additionally, we'd recommend reading Burry's primer on credit default swaps & the subprime mortgage short which he originally penned back in 2006.