$15 billion upside on housing

There is a guy on Wall street, John ‘JP’ Paulson, that made big bets against the housing market by  taking  the other side of those dodgy mortgage backed securities – the ones that crashed to worthless recently. (Basically he bought default insurance really cheaply)

His relatively small funds were up $15 billion n 2007, and his net worth up from about $100m to $3-4 billion.  Not a bad year.

Meanwhile this year seems to be starting off with a thud rather than a bang. Shorting is your friend in these times.


Published by Lance Wiggs