Who is Jim Chanos? Jim Chanos is the most successful stock short seller ever on this planet. The people who are familiar with the term short seller will also know how tough the short selling business is. Jim created his fund way back in the year 1985. Since then, as claimed by Institutional Investor, the stock portfolio has lost 0.7% on a yearly basis. It means if an investor had invested $1 million in Jim’s stock profile, the investor would have lost $725 till the end of 2017. So, how come Jim is a successful short seller? How is he a billionaire by losing so much in this business? So, the answer to all these questions is relative performance. What makes a short seller successful is that the stock return should be less than the market. Jim is the Founder and President of Kynikos Capital Partners. He is also an American Investment Manager and a certified investment advisor. He is considered as a specialist of legal frauds. His investment advisory firm, Kynikos Capital Partners is 90% short and 190% long. This article introduces Top 10 Stock Picks by this short selling living legend as shared by Insider Monkey.
One of the popular companies in Chanos portfolio is Tesla, Inc. Currently, Tesla is the favorite stock for investors because all the global leaders have agreed to transition from the conventional gasoline vehicles to Electric-powered cars. In this way, we can reduce air pollution. Elon Musk owns Tesla and as per latest news, he is the richest person on this planet. Besides manufacturing cars, Tesla also manufactures clean power generation and storage items. According to sources, Tesla’s total market capital is equivalent to that of the other nine biggest global car companies combined. Another company in Chanos portfolio is iRobot Corporation. Chanos’ Kynikos Capital Partners invested a sum of $4.7 million in iRobot Corporation by September 2020. This corporation engineers engineer consumer robots to help people perform chores in a convenient manner. iRobot became popular for its robotic vacuum cleaner, Roomba, way back in 2004. Around a million units of Roomba were sold during the same year. Sources claim that the market cap of iRobot Corporation is $2,360,446,205. There are various other companies in Chanos’ portfolio. To read about all those companies, check out this article Short Selling Legend Jim Chano’s Top 10 Stock Picks and Tesla, IBM Comments.