Michael Burry Shares His Formative Investing Journey: ‘Great Companies Can Be Missed For A Long Period Of Time’

• Burry wrote under the pen name “Value Doc” for Microsoft MSN Money and managed a transparent portfolio called the VSN Fund.
• He emphasized patience and deep analysis, often highlighting companies overlooked by the broader market.
• Burry’s efforts attracted attention from key financial outlets, including Worth, Barron’s, and the San Francisco Chronicle. 

Michael Burry, now widely recognized for his early bets against the 2008 housing bubble, reflects on his formative investing years in a recently detailed blog covering 1999 and early 2000. 

‘The Big Short’ investor has started a Substack newsletter, where he plans to share his growing concerns and outlook on artificial intelligence.

Early Investing Journey

In a public newsletter, Burry stated that he was a neurology resident at Stanford University Hospital, juggling medical training with an intense passion for investing.

He wrote under the pen name “Value Doc” for Microsoft MSN Money and managed a transparent portfolio called the VSN Fund, sharing trades and analyses with a growing online audience.

Burry emphasized patience and deep analysis, often highlighting companies overlooked by the broader market. His early articles, including “Buffett Revisited,” highlighted the risks of long-term capital losses even in major companies like Coca-Cola, American Express, and Disney, when adjusted for inflation. 

“I was searching for my style of investing. All that reading about Buffett and Graham informed me that these were two very different approaches to investing.” –Michael Burry, Founder, Scion Asset Management 

Burry saw Apple as undervalued despite cultural prominence and the release of its colorful iMacs, positioning the stock as a long-term opportunity. 

“Great companies can be missed for a long period of time. Apple was one of them. At the time, I liked where it sat in the culture of creative computing, with a very proprietary angle and a knack for minor hits and long draughts.”

Burry noted that he invested the inheritance from his father’s passing in 1996 rather than paying off student loans, a decision that fueled his early portfolio growth.

Recognition And Media Coverage

Burry’s efforts attracted attention from key financial outlets. Worth Magazine highlighted his evaluation of online investment forums in February 1999. Barron’s featured his VSN Fund in October 1999, noting a 38.7% year-to-date gain that outperformed both the Dow and the Nasdaq. 

The San Francisco Chronicle followed in February 2000, emphasizing Burry’s strategy and early bets against Amazon. Burry noted that revisiting this period reminds him of the road not taken and the foundation of his investment philosophy. 

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