Short Seller Carson Block Targets Manulife Financial

The Canadian insurer could be on the hook for billions from decades-old insurance contracts, depending on the outcome of a trial.

(Brent Lewin/Bloomberg)

(Brent Lewin/Bloomberg)

Short seller Carson Block, the founder of Muddy Waters Research, unveiled a new short position Thursday against Canadian insurer Manulife Financial Corporation.

The short thesis is based on a trial whose outcome could potentially “lead to billions of dollars of losses at Manulife, which could greatly impair its future earnings and affect its capital adequacy ratios,” Block wrote in a report released Thursday outlining his case for betting against the company.


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