Carl Icahn lost $9 billion on ill-timed short trade and shares 3 lessons

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Carl Icahn lost $9 billion on ill-timed short trade and shares 3 lessons
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Carl Icahn lost $9 billion on an ill-timed short trade. Here's what he says are 3 big lessons from the soured bet.

Billionaire Carl Icahn conceded that he was wrong to bet on a broad market downturn, a forecast that cost his firm close to $9 billion over six years.

To be sure, Icahn's portfolio also made about $6 billion from his activist investments even while his short bets were losing $9 billion, according to the FT, resulting in a net loss of nearly $3 billion. 1. "I've always told people there is nobody who can really pick the market on a short-term or an intermediate-term basis," Icahn said."Maybe I made the mistake of not adhering to my own advice in recent years."

3. At the height of the pandemic, the Federal Reserve's stimulus efforts not only staved off a greater economic downturn, but undermined Icahn's short bets hopes as well. Between 2020 and 2021, Icahn Enterprises reported $4.3 billion in short losses.

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