Tactical retreat

For anyone who lived through the GFC or watched The Big Short, Michael Burry and his firm Scion Asset Management need little introduction. As one of the few who identified the looming subprime disaster and bet against it, Burry became one of the major winners of the crisis.

Fast-forward to 2025: Burry is now liquidating his funds and returning capital, stating that “My estimation of value in securities is not now, and has not been for some time, in sync with the markets.” We will not speculate on his deeper motivations, but one can reasonably assume that he has little appetite—or need—for external money and public scrutiny at a time when markets have been far too euphoric for his taste. A tactical retreat, perhaps, from an exceptionally sophisticated investor we will certainly hear from again.