Renowned fund manager Michael Burry (Trades, Portfolio), famous for his portrayal in the film "The Big Short," has continued to increase his holdings in major Chinese tech stocks in the third quarter. Burry's hedge fund, Scion Asset Management LLC, has notably boosted its positions in Alibaba (BABA, Financial), Baidu (BIDU), and JD.com (JD) while also securing corresponding put options as a hedge.
During this period, Burry increased his holdings in JD.com by 250,000 American Depositary Receipts (ADRs) to a total of 500,000. Simultaneously, he acquired put options for the same number of JD.com ADRs, reflecting a cautious stance despite the growing stake.
For Alibaba (BABA, Financial), the fund raised its stake by 45,000 ADRs, bringing the total to 200,000. Alongside this, Burry's fund holds put options for 168,900 ADRs, indicating a strategic move to balance potential risks.
The position in Baidu (BIDU) was also increased by 50,000 ADRs to 125,000, with put options in place for 83,300 ADRs. This strategic adjustment shows Burry's continued interest and calculated caution towards the Chinese tech sector.
