‘Big Short’ Investor Michael Burry Pulls the Plug on His Hedge Fund, Hinting at ‘Better Things’ Ahead

“Big Short” investor Michael Burry—famous for predicting the 2008 housing crash—has officially deregistered the hedge fund he launched in 2013.

Scion Asset Management's registration status is listed as "terminated" as of Nov. 10, according to the Securities and Exchange Commission.

In a letter to investors dated Oct. 27, 2025, Burry wrote that his “estimation of value in securities is not now, and has not been for some time, in sync with the markets.”

Scion managed $155 million in assets as of March 2025.

On Wednesday, Burry posted on social media platform X, "On to much better things Nov 25th."

Realtor.com® reached out to Scion for comment, but representatives did not respond.

Mixed reactions

When news broke that Burry was closing his hedge fund, it set off a wave of reactions.

"Burry's decision feels less like 'calling it quits' and more like stepping away from a game he believes is fundamentally rigged," Bruno Schneller, managing director at Erlen Capital Management, told Reuters.

"Don't count him out, just expect him to operate off the grid for a while. He may simply pivot to a family-office setup and run his own capital."

Instagram user Short.squeez wrote, "In an environment where short sellers and skeptics are increasingly pushed to the sidelines, Burry’s decision reads less like a dramatic exit and more like a statement: if you do not like the game, you stop playing with other people’s chips."

By deregistering Scion and shifting to a family-office model, "Burry effectively removes himself from quarterly disclosures and investor pressures," crypto reporter Lockridge Okoth wrote online.

Vocal critic of artificial intelligence

Burry has recently taken aim at major tech players such as Nvidia and Palantir Technologies, which are both strongly associated with the AI sector.

In fact, his fund bet over $1 billion that the share prices of both companies will fall by buying puts—bets that share prices will fall.

Scion bought roughly $187.6 million in puts on Nvidia and $912 million in puts on Palantir, according to SEC filings.

Last month, Burry posted on X for the first time in more than two years—sharing an image of Christian Bale, who portrayed Burry on the big screen, staring at a computer monitor.

"Sometimes, we see bubbles," Burry wrote. "Sometimes, there is something to do about it. Sometimes, the only winning move is not to play."

Many took that as an AI-tech bubble warning, fueling fears that AI stocks are overvalued.

2008 housing crash

Burry rose to fame through Michael Lewis’ book and the subsequent film “The Big Short,” which depicted his bet against subprime mortgage securities ahead of the housing market crash.

The 2008 housing crash stemmed from the collapse of a housing bubble fueled by risky subprime loans, lax lending practices, and financial deregulation.

As home prices dropped and adjustable-rate mortgages spiked, widespread defaults and foreclosures followed, ultimately crashing the financial system and sparking the Great Recession.

By betting against the U.S. housing market ahead of the 2008 crash, Burry earned $100 million for himself and $725 million for his investors.

His bet against the AI boom has once again captured the market’s attention and prompted speculation about what comes next.