Abscent minded genius

Vanity fair article on Mike Burry, I can say I had no idea who this guy was but the artcile was a great read... written by Michael Lewis


Michael Burry always saw the world differently—due, he believed, to the childhood loss of one eye. So when the 32-year-old investor spotted the huge bubble in the subprime-mortgage bond market, in 2004, then created a way to bet against it, he wasn’t surprised that no one understood what he was doing. In an excerpt from his new book, The Big Short, the author charts Burry’s oddball maneuvers, his almost comical dealings with Goldman Sachs and other banks as the market collapsed, and the true reason for his visionary obsession.
By Michael Lewis

http://www.vanityfair.com/business/features/2010/…

 
Best Response

http://www.businessweek.com/news/2010-02-24/deutsche-bank-trader-greg-l…

"After Lippmann’s team made almost $2 billion for Deutsche Bank in 2007, he complained to his bosses that his $50 million bonus for the year was too small a reward"

from OP's article:

Now the subprime-mortgage-bond market appeared to be unraveling. Out of the blue, on November 4, Burry had an e-mail from the head subprime guy at Deutsche Bank, a fellow named Greg Lippmann. As it happened, Deutsche Bank had broken off relations with Mike Burry back in June, after Burry had been, in Deutsche Bank’s view, overly aggressive in his demands for collateral. Now this guy calls and says he’d like to buy back the original six credit-default swaps Scion had bought in May. As the $60 million represented a tiny slice of Burry’s portfolio, and as he didn’t want any more to do with Deutsche Bank than Deutsche Bank wanted to do with him, he sold them back, at a profit. Greg Lippmann wrote back hastily and ungrammatically, “Would you like to give us some other bonds that we can tell you what we will pay you.”

xD

 

Is this from a book? Which book? I must buy it.

-------------------------------------------------------- "I do not think there is any other quality so essential to success of any kind as the quality of perseverance. It overcom
 

Pre-ordered.

-------------------------------------------------------- "I do not think there is any other quality so essential to success of any kind as the quality of perseverance. It overcom
 

^ Ditto. Excellent read for a Saturday night.

Just goes to show that digging deep and becoming an expert in a niche is how you become good..at anything.

This guy has no MBA or even CFA and beat funds managed by PhD quants using "computer models". Overly simplistic critique of Wall Street's elite but I found his story to be very encouraging for someone who hasn't been able to break into high-finance.

 

Just finished it this weekend as well. Quick read - very enjoyable. Lewis definitely knows how to tell a story, and there's plenty of story to be told with the subprime/CDS debacle.

 

Ut debitis aut dolor quia asperiores qui ut. Voluptatem maxime et sapiente aut cumque velit. Dolores aperiam expedita necessitatibus aut quia est voluptate. Aut libero aliquid tempora at doloremque. Officiis veniam corporis deleniti occaecati quidem ut ipsa. Dolor laboriosam rerum delectus aut ut consequatur. Explicabo rerum unde veritatis dolor quae tempore recusandae voluptatem.

-------------------------------------------------------- "I do not think there is any other quality so essential to success of any kind as the quality of perseverance. It overcom
 

Velit et autem id esse aperiam. Consequatur reiciendis pariatur iure est qui. Quia voluptate nostrum perspiciatis voluptas a facilis magnam. Adipisci iure eos voluptatibus consequatur eius reiciendis. Qui eveniet dolores odit expedita quisquam eius aut.

Temporibus libero corrupti ut dolorum quo. Molestiae quisquam veniam et quibusdam voluptatem. Dignissimos sed ut asperiores iste necessitatibus totam. Quis accusantium doloremque magni voluptatum est ullam. Minima ipsum perspiciatis vel enim quas dolorum. Natus et voluptas temporibus voluptas. Autem labore minima expedita.

Career Advancement Opportunities

May 2024 Hedge Fund

  • Point72 98.9%
  • D.E. Shaw 97.9%
  • Citadel Investment Group 96.8%
  • Magnetar Capital 95.8%
  • AQR Capital Management 94.7%

Overall Employee Satisfaction

May 2024 Hedge Fund

  • Magnetar Capital 98.9%
  • D.E. Shaw 97.8%
  • Blackstone Group 96.8%
  • Two Sigma Investments 95.7%
  • Citadel Investment Group 94.6%

Professional Growth Opportunities

May 2024 Hedge Fund

  • AQR Capital Management 99.0%
  • Point72 97.9%
  • D.E. Shaw 96.9%
  • Magnetar Capital 95.8%
  • Citadel Investment Group 94.8%

Total Avg Compensation

May 2024 Hedge Fund

  • Portfolio Manager (9) $1,648
  • Vice President (23) $474
  • Director/MD (12) $423
  • NA (6) $322
  • 3rd+ Year Associate (24) $287
  • Manager (4) $282
  • Engineer/Quant (71) $274
  • 2nd Year Associate (30) $251
  • 1st Year Associate (73) $190
  • Analysts (225) $179
  • Intern/Summer Associate (23) $131
  • Junior Trader (5) $102
  • Intern/Summer Analyst (252) $89
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

1
redever's picture
redever
99.2
2
Secyh62's picture
Secyh62
99.0
3
BankonBanking's picture
BankonBanking
99.0
4
Betsy Massar's picture
Betsy Massar
99.0
5
kanon's picture
kanon
98.9
6
GameTheory's picture
GameTheory
98.9
7
dosk17's picture
dosk17
98.9
8
CompBanker's picture
CompBanker
98.9
9
DrApeman's picture
DrApeman
98.8
10
bolo up's picture
bolo up
98.8
success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”