Mark Cuban Made a Fortune Shorting Yahoo Stock

The transcript discusses the speaker's foresight in selling Yahoo stock before its decline, highlighting their experience with market cycles and hedging strategies. Initially, the speaker faced a significant financial loss due to a hedge that failed, but they later recovered by selling covered calls and buying puts on Yahoo stock, ultimately achieving financial success.

What was the speaker's approach to handling the Yahoo stock during a rising market?

• Hedged the stock to manage risk

• Sold the stock without any hedging

• Invested in other tech companies

• Held onto the stock indefinitely

What was the outcome of the speaker's initial hedge involving an internet index?

• It was partially successful

• It led to a complete loss

• It broke even

• It resulted in a significant profit

What was the speaker's reaction to losing the initial $20 million hedge?

• Indifferent and unaffected

• Angry and blamed others

• Regretful and cautious

• Glad and saw it as a learning experience

How did the speaker's strategy change after the initial hedge loss?

• Stopped investing in tech stocks

• Continued with the same strategy

• Sold covered calls and bought puts on Yahoo stock

• Invested in real estate

What financial instrument did the speaker use to protect against a decline in Yahoo stock value?

• Futures contracts

• Covered calls and puts

• Bonds

• Mutual funds