Jeff Gundlach, the so-called "bond king" and billionaire boss of DoubleLine Capital, took aim at the recent spate of government bailouts on Monday night.
"I doubt I am the only person frustrated by National-Debt-financed bailouts of companies that leveraged up large to buy back stock to levitate share prices to enrich shareholders and company executives,"Gundlach was likely referring to the "big four" US airlines — Delta, American, United, and Southwest — that are set to receive billions in government aid.
The strategy left them short of cash to weather the coronavirus pandemic, which has sparked a dramatic decline in passenger numbers as governments restrict travel and people stay at home to reduce transmission.
He is frustrated because his short position is losing money 😉
There should be no bailout for these companies!