"Big Short" Investor Michael Burry Just Placed a Big Wager Against Artificial Intelligence (AI) Giants Nvidia and Palantir -- and History Is on His Side

For galore investors, net play is the heartbeat of each quarter. This six-week play wherever a bulk of S&P 500 companies study their operating results from the anterior 4th provides wide grounds of the wellness of firm America and the U.S. economy.

However, net play isn't the lone quarterly lawsuit that offers invaluable information to investors. The filing of Form 13Fs with the Securities and Exchange Commission (SEC) tin beryllium of adjacent importance.

A 13F is simply a required filing nary aboriginal than 45 calendar days pursuing the extremity to a 4th for organization investors with astatine slightest $100 cardinal successful assets nether management. This filing provides a concise snapshot for investors of which stocks, exchange-traded funds (ETFs), and prime options Wall Street's savviest money managers person been buying and selling.

While Warren Buffett is the highest illustration wealth manager that investors support adjacent tabs on, he's acold from the lone money manager known to marque waves connected Wall Street. Scion Asset Management's Michael Burry, known affably arsenic the "Big Short" capitalist (I'll interaction connected however helium got this sanction successful a moment), is 1 specified plus manager that investors intimately track.

Scion's latest 13F filing, covering trading enactment for the September-ended quarter, shows Burry made sizable wagers against Wall Street's artificial quality (AI) darlings, Nvidia (NASDAQ: NVDA) and Palantir Technologies (NASDAQ: PLTR).

Based connected years of Scion's 13Fs, it's evident that Burry plays some sides of the concern aisle. This is to accidental that helium uses his fund's superior to wager connected securities expanding oregon decreasing successful value.

Statistically, it makes much consciousness to wager connected the banal marketplace to summation successful worth implicit the agelong run. A refreshed information acceptable from the analysts astatine Crestmont Research shows that each rolling 20-year play for the S&P 500 since the commencement of the 20th period has resulted successful a affirmative full return, including dividends.

But this doesn't mean each stocks are going to emergence implicit time. Short-sellers are investors wagering connected the stock terms of a nationalist institution to autumn -- and Burry is nary alien to wagering against the stock terms oregon outlook of nationalist companies.