![]() ![]() Whilst bonds are made up of thousands of mortgages, Burry fetches the entire data and goes through it all by himself, he converts the data into insights, and discovers that the mortgage-backed securities are filled with a highly risky subprime mortgage it’s a house of cards waiting to collapse. ![]() ![]() In the movie, Michael Burry, a hedge fund manager, gives a newly hired guy his first assignment: to identify each and every individual mortgages in the top-20 selling mortgage bonds. Look at the numbers, not a popular opinion The movie offers quite a few insights for entrepreneurs. Instead, it turns the lens to what led to the crisis and how a few men saw it coming. The Big Short, based on the book ‘The Big Short: Inside the Doomsday Machine’ by Michael Lewis, isn’t about the crisis itself. And that’s exactly what happened on a massive scale across the globe during the global financial crisis of 2008. In all likelihood, this is something you have experienced more than once: being utterly convinced in something that just wasn’t the case. ![]() It's what we know for sure that just ain't so” - The Big Short starts with this quote of Mark Twain. “What gets us into trouble is not what we don't know. This is what the 2015 movie The Big Sort shows us. Even when all is well with your business, even when your industry is booming and your profits are soaring, it pays to be on the vigil and look out for signs. Authors - Ajayya Kumar, Mohamad Abou-Zaki & Ghassan Khoury ![]()
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