'Big Short' Real-Life Model Bets Against 'Donnamu' ETF Following Tesla Decline

▲The real-life protagonist Michael Burry of the movie 'The Big Short'

[Asia Economy Reporter Kwon Jae-hee] Michael Burry, the real-life model of the movie 'The Big Short,' reportedly bet against the stock price of Cathie Wood's exchange-traded fund (ETF), known as the "Donnamu Unni" (Money Tree Sister), following his bet against Tesla, Bloomberg reported on the 16th (local time).

According to the report, Scion Asset Management, led by Michael Burry, disclosed on the same day that as of the end of June, it holds put options for 235,500 shares of Ark Innovation ETF managed by Cathie Wood's Ark Investment.

The value of these put options is approximately $31 million (about 36.4 billion KRW).

A put option is the right to sell a specific asset at a predetermined strike price on the expiration date; if the asset's price falls below the strike price at expiration, the holder of the put option profits.

Ultimately, this means Michael Burry expects the price of this ETF to decline in the future.

Burry is the real-life model of the movie 'The Big Short,' which dealt with the 2008 subprime mortgage crisis, and he made a significant profit by predicting the collapse of the U.S. housing market at that time.

Cathie Wood is the founder of Ark Investment, an ETF management company that has aggressively invested in tech stocks such as Tesla. In Korea, she is nicknamed "Donnamu Unni" (Money Tree Sister) because her name sounds like "Cash" in Korean.

Meanwhile, the size of Tesla put options disclosed by Burry as of the end of June has increased to 1,075,500 shares, up from 801,000 shares at the end of March.

He has warned about the possibility of overvaluation in some stocks and cautioned individual investors in June that they could suffer significant losses if they invest in cryptocurrencies and "meme stocks."

This content was produced with the assistance of AI translation services.