Prompt Cast
George Soros vs. The Bank of England - Black Wednesday Bet
Generated on February 24, 2026
TLDR George Soros’ hedge fund made a legendary $15 billion wager against Britain maintaining its currency within the ERM during an economic downturn in 1992, leading to Black Wednesday and significant profits for his bet. Despite anticipating devaluation due to reunification spending pressures on Germany's economy, British commitment resulted in a forced exit from the system after Soros’ fund capitalized on this miscalculation by central bankers.
Timestamped Summary
00:00
George Soros' hedge fund made a legendary trade in 1992 during an economic downt for Britain, with key players including Rob Johnson and Stan Druckenmiller.
03:51
George Soros's hedge fund made an unprecedented $15 billion bet against the pound in 1992, anticipating that UK central bank would devalue due to economic pressure.
07:51
Investors flooded into Germany for high returns during reunification spending while the U.K.'s fixed exchange rate caused economic issues, prompting government reaffirmation of staying within ERM despite pressures to devalue.
11:31
George Soros's fund placed a significant wager against the UK's attempt to maintain its currency within the ERM, anticipating profitable outcomes if Britain were forced to devalue.
15:15
The episode recounts George Soros' massive bet against the British pound before its devaluation in September 1992.
18:48
The episode recounts how the Fund bet heavily against the British pound during its crisis in September 1992.
22:30
The episode "George Soros vs. the Bank of England" from Planet Money recounts how George Soros' fund bet against the British pound, leading to Britain exiting the ERM on September 16th, known as Black Wednesday.
26:27
George Soros and his fund made significant profits betting against the British pound, leading to its devaluation on September 16th.
30:32
Economic realities forced the devaluation of the British pound, leading to growth in exports and overall economy despite George Soros's fund profiting significantly from betting against it.
