History of Scion Asset Management in Timeline

Scion Asset Management is an American hedge fund founded by Michael Burry, based in California. The company gained notoriety for successfully predicting and profiting from the 2008 subprime mortgage crisis. Scion Asset Management is also notable for its role in setting the stage for the GameStop short squeeze, further solidifying its reputation in the financial world.

November 1, 2000: Scion Capital Inception

On November 1, 2000, Scion Capital was founded. Between this date and June 2008, it recorded net returns of 489.34%.

November 2000: Scion Capital Launched

In November 2000, Michael Burry launched Scion Capital, a hedge fund, with funding from inheritance, family loans, and an investment from Joel Greenblatt's Gotham Capital. He named the fund after Terry Brooks' novel 'The Scions of Shannara'.

May 19, 2005: First Subprime Mortgage Bond Deal

On May 19, 2005, Michael Burry executed Scion Capital's first subprime mortgage bond deal, purchasing $60 million of credit default swaps (CDS) from Deutsche Bank.

June 2008: Scion Capital's Performance Reported

By June 2008, Scion Capital recorded returns of 489.34% (net of fees and expenses) between its November 1, 2000, inception and this date, while the S&P 500 returned just over 2% in the same period.

2008: Scion Capital Shut Down

In 2008, Michael Burry shut down Scion Capital due to public backlash, IRS audits, and a desire to pursue other investment ventures.

2013: Scion Asset Management Reopened

In 2013, Michael Burry reopened his hedge fund under the name Scion Asset Management, focusing on personal investments in areas like water, farmland, and gold.

August 2019: Scion Discloses Major Stakes

In August 2019, Scion disclosed major stakes in GameStop and Tailored Brands, along with two South Korean small cap companies, planning an activist approach and urging share buybacks. This acquisition of GameStop shares contributed to the later GameStop short squeeze.

May 2020: Scion's Investment Performance

From May 2020 to May 2023, traders following the investments disclosed by Scion would have made annualized returns of 56%.

2020: Scion Sells GameStop Stake

In late 2020, Scion sold its entire stake in GameStop, missing the subsequent short squeeze but still realizing a profit of around $100 million as GameStop traded over five times its original cost at the time of sale.

May 2021: Scion Acquires Put Options on Tesla

In May 2021, Scion disclosed that it had acquired put options on Tesla shares, indicating a bearish position on the company.

May 2023: Scion's Investment Performance

From May 2020 to May 2023, traders following the investments disclosed by Scion would have made annualized returns of 56%.

August 2023: Scion Anticipates Stock Market Crash

In August 2023, Scion reportedly anticipated a stock market crash, acquiring $1.6 billion worth of put options to bet against ETFs tracking the S&P 500 and the Nasdaq-100.

November 2024: Scion Increases Holdings in Chinese Companies

In November 2024, it was reported that Scion significantly increased its holdings in Alibaba Group, JD.com, and Baidu, hedging them with put options. Michael Burry, along with David Tepper, was a China bull despite investor caution.

2024: Scion Reduces Chinese Holdings

Scion reduced some of its chinese holdings before the end of 2024, but they remained Scion's top holdings.

February 2025: China's Stock Market Rallies

In February 2025, China's stock market rallied by $1.3 trillion following the emergence of DeepSeek. While Scion had reduced some of its Chinese holdings before the end of 2024, they were still its top holdings.

May 2025: Scion Liquidates Equity Portfolio

In May 2025, Scion disclosed it liquidated almost its entire listed equity portfolio in the first quarter, while acquiring put options Nvidia and China-related stocks before US President Donald Trump launched a trade war.

November 2025: Scion Bets Against Tech Companies

In November 2025, Scion disclosed it had bought more than $1 billion in put options to bet against Nvidia and Palantir Technologies. Scion also disclosed call options on Pfizer and Halliburton.