Deregistration of Scion

I wouldn’t read too much into Scion Asset Management’s deregistration. It’s a small firm with highly concentrated positions. Michael Burry has wound down and restructured Scion multiple times over the years.

Burry has always operated on deep-value principles, and when the market is driven by momentum or liquidity cycles, his strategy doesn't play out. Don't get me wrong, he is a very smart man, but he has made a ton of incorrect calls on market valuations and the direction they will go outside of the financial crisis.

Outside of 2008, if you had listened to him on pretty much any occasion, you'd have given up a ton of gains.

This goes to show even very, very intelligent people cannot time the market.