Steve Eisman, the investor whose forecast of the financial crisis was depicted in “The Big Short,” is still finding problematic stocks and investing manias in the financial markets. The Neuberger Berman portfolio manager confirmed his fund is short Canadian financials, Deutsche Bank and Wells Fargo.
He spoke in a Bloomberg Television interview that aired on Sunday from the CFA Institute’s annual conference in Hong Kong. “Deutsche Bank has real profitability issues. They haven’t spent money on technology in a very very long time.
They’re probably under-capitalized,” he said. “I think they’ll probably raise capital again next year.
Deutsche Bank is a problem bank. I think it has to shrink dramatically.”
Eisman is known for being one of the few investors to profitably bet against subprime mortgage securities during the financial crisis. He was a key character in Michael Lewis’ best-selling book “The Big Short” and was depicted by actor Steve Carell in the movie based on the book. Read more from cnbc.com…
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