Wednesday, March 10, 2010
Betting on the Blind Side
The story of John Paulson is well known. Paulson's hedge fund took a massive short position on US subprime before the wave of defaults began.
But Paulson might just have been beaten to the post by a formerly little-known MD with Asperger's syndrome turned fund manager from Cupertino, CA. Not in the absolute size of the return, but by time. About a year before Paulson placed his bets, Michael Burry had beaten him to it.
There's a great article here in Vanity Fair on how he did it and how he reckons he couldn't have done it without his Asperger's to help him.
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