Comment on 'Big Short' Michael Burry bets $1bn on AI bubble bursting | LBC

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mormund@feddit.org ⁨1⁩ ⁨week⁩ ago

If you have positions in companies that are overvalued due to the AI bubble, you can sell them or better yet place a stop loss. That way you can still benefit from the bubble further inflating, with less risk that you hold the bag at the end.

Other than that, invest in unrelated companies/ETFs with less weight on these companies. You’ll still crash with the rest of the market but should recover faster than those in the AI bubble.

Don’t try to do anything fancy. You’ll have to gamble to time the pop and even if you’re right, you may still get outperformed by someone with just an S&P500 ETF over that time.

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