Michael Burry, whose bet against mortgage securities before the 2008 crisis was immortalized in the film “The Big Short” sees another contrarian opportunity in what he characterizes as a “bubble” in passive investment. This according to an article in Bloomberg.

The article says, “As money pours into exchange-traded funds and other index-tracking products that skew toward big companies, Burry says smaller value stocks are being unduly neglected around the world.”

In a note to Bloomberg News, Burry argued that “the bubble in passive investing through ETFs and index funds as well as the trend to very large size among asset managers has orphaned smaller value-type securities globally.” He adds, “There is all this opportunity, but so few active managers looking to take advantage.”

The article explains that while Burry (played by Christian Bale in the film) is known for his bearish bets, he is focused on what he calls “long-oriented investing in undervalued and overlooked situations” and in some cases is turning to activist investing to make companies more attractive to investors.