Not only has he cut his holdings, he only holds one stock: > Scion reported holding no stocks save 500,000 shares of GEO Group by the end of June, which invests in private prisons and mental health systems. Private Prisons. Being imprisoned for wrongthink is just around the corner. However, seeing the 2008 housing crash coming wasn't a stroke of genius, it just meant he was paying attention. It became obvious by 2005 that something was really wrong, and it was noticeable well before that. The bank I dealt with at the time, National City Bank, had people standing in the drive-thru lanes handing people mortage / refinance papers and they'd approve them with little fanfare. 1800REFINACE places sprung up everywhere. Houses in my area were selling to people at a level well above what they could afford on almost no income. I do see his move as a signal that he's seen something interesting. NCB has since been assumed by PNC of Pittsburgh, in part due to crippling losses from the housing crash. This is a bank that survived the great depressions of 1893 and 1929, several recessions, two world wars ... only to fail in 10 years because they couldn't keep their financial dick in their pants and be a conservative investor.