Much like Michael Burry and Steve Eisman, who shot to fame and fortune by calling the housing bubble in 2008, Bill Martin stood out as the “big short” during this year’s banking crisis. The founder of family office Raging Capital Ventures bet against Silicon Valley Bank before its collapse in March. As one of the few people who saw the banking bust coming, Martin said his lucrative bet had a lot to do with his entrepreneurial background and his connections on the west coast. “Just like you would short a bank in Texas when oil prices collapse, I was looking for banks with exposure to venture. And that’s what led me to Silicon Valley Bank,” Martin said in CNBC PRO’s “Art of the Trade.” The short seller also shared how he managed risk for the volatile trade, as well as other opportunities he capitalized on during the crisis. Watch the video above to learn how Martin did it.
