Magellan’s Hamish Douglass says Uber is a ‘Ponzi scheme’

Summary

Magellan boss Hamish Douglass expects Uber to collapse in the next decade and labels the ride-sharing firm a “Ponzi scheme”.

Uber’s practice of persistently raising capital from private investors is akin to a Ponzi scheme, according to veteran investor and Magellan Financial Group chief executive Hamish Douglass.

In a candid interview at the Stockbrokers and Financial Advisers Conference in Sydney on Wednesday, Mr Douglass lamented the dramatic losses awaiting Uber investors as automated driving technology permeates the market.