Some years ago Seth Klarman gave a fantastic speech at the MIT Sloan Investment Management Club. During his speech Klarman suggested that the mainstream approach to investing has is backwards saying: “Right at the core, the mainstream has it backwards. Warren Buffett often quips that the first rule of investing is … Read More
Seth Klarman: Investing Requires A Degree Of Arrogance Tempered With The Humility Of Knowing We Could Be Wrong
Several years ago Jason Zweig did a great interview with Seth Klarman titled – Opportunities for Patient Investors, which was published by the CFA Institute. While the entire interview provides a number of value investing insights, one answer in particular provides a unique insight into Klarman’s psychology towards investing saying: “In … Read More
Seth Klarman: What Is An Appropriate Margin of Safety Before Making An Investment
Margin of Safety, by Seth Klarman is one of the best books ever written on investing and a must read for all investors. One of the most important investing concepts discussed in the book is the ‘margin of safety’, popularized by Ben Graham. Seth Klarman describes the ‘margin of safety’ … Read More
Seth Klarman: “A Margin Of Safety Is Necessary As Investors Are Human And Do Make Mistakes”
Seth Klarman wrote an investing classic called – Margin of Safety: Risk-Averse Value Investing Strategies for the Thoughtful Investor. There’s one passage in particular in which Klarman encapsulates his entire value investing strategy saying, “A margin of safety is necessary because valuation is an imprecise art, the future is unpredictable, … Read More
Seth Klarman – Value Opportunities Still Exist In Firms Being Attacked By The Likes Of Amazon
Good news for value investors as the WSJ reports that Seth Klarman at Baupost is still finding value opportunities in firms being attacked by the likes of Amazon, saying: “Increasing technological disruption is already pushing some securities well below our assessment of underlying value,” writes Mr. Klarman, “as legitimate concerns … Read More
Seth Klarman – It Is Crucial To Have, And Maintain, A Sound Process
Here’s a great article at the The Outstanding Investor Digest that includes comments and answers from Seth Klarman at a symposium entitled “Celebrating 75 Years of Security Analysis”. During the symposium Klarman provided a number of valuable investing insights and honored the legacy of Graham and Dodd saying, “Graham and Dodd teach … Read More
Klarman And Pabrai – Just How Important Are Catalysts To Investing Success
One topic that gets a lot of discussion in the world of investing is the importance of catalysts. A catalyst in investing terms is an event that triggers a change to a stock price. Catalysts can include things like a latest earnings release, a positive or negative result in a … Read More
Seth Klarman – Value Investing Is A Large-Scale Arbitrage Between Security Prices And Underlying Business Value
The one book that all investors should read is Margin of Safety, by Seth Klarman. A new copy of Klarman’s book is going to set you back around $1000 on Amazon and used copies can be bought for around $750. But it’s money well spent if you wish to be … Read More
Seth Klarman – 20 Investment Lessons From 2008
As we’re currently in the midst of a sustained bull market it seems like a good time to reflect on the 2008 financial crisis and some of the lessons we should remember when everything appears to be rosy in the stock market. Back in 2010, Value Investors Insight printed a great article, … Read More
Great Investors Focus On Absolute-Performance Rather Than Relative-Performance – Seth Klarman
Earlier this month The Washington Post published an article titled – Warren Buffett’s $100 Billion Problem. The article was reporting on the $100 Billion that Berkshire has accumulated in cash over the years, stating: Warren Buffett celebrated his 87th birthday a few days ago, but the bigger number in his life … Read More
Dividend Yield – Investors May Be The Victims Of Pathetic Manipulation – Seth Klarman
Recently I had a conversation with a close friend of mine regarding one of his stocks. He told me that one particular stock was performing so badly that if he sold his current position he would stand to lose $20,000. I asked him why he initially bought the stock and … Read More
Here’s What Great Fund Managers Do When There Are Few Opportunities – Seth Klarman
According to a recent article at Bloomberg, Seth Klarman the head of Baupost is returning capital to his investors because he can’t find sufficient opportunities in the market today. This is not the first time Baupost has returned capital to its investors. The hedge fund did the same thing in … Read More
Great Investors Create Their Own Version Of Omaha – Buffett, Munger, Klarman, Pabrai
One of the biggest problems facing investors is the amount of ‘noise’ that we get from the financial media and commentators. Financial news sections, the internet, and podcasts are continually bombarding us with the latest ‘hot stock’ or miracle investing strategy. Meanwhile investors get caught up in the noise checking … Read More
25 Timeless Investing Lessons From Seth Klarman
One of our favorite investors here at The Acquirer’s Multiple is of course Seth Klarman. Klarman is one of the smartest investors on the planet and he’s always been very open in sharing his insights with other investors. While Klarman has provided dozens of investing lessons over the years via … Read More
Seth Klarman – The Real Secret To Investing Is That There Is No Secret To Investing
One of our favorite investors here at The Acquirer’s Multiple is Seth Klarman and one of the best articles ever written by Klarman is the comprehensive preface that he wrote in the 6th Edition of the value investing bible, Security Analysis. In his closing thoughts Klarman explains that as long … Read More
Seth Klarman – There Is Only One Valid Rule For Selling – Margin of Safety
One of our favorite investors here at The Acquirer’s Multiple is Seth Klarman. Klarman is a value investing legend who runs The Baupost Group, one of the largest hedge funds in the U.S. He also wrote one of the best books ever written on investing called Margin of Safety. In the book Klarman … Read More
Seth Klarman – Value Investing Is Like The E=mc2 of Money and Investing
One of the best resources for investors are the Santangel Investor Forum and The Santangel Roundtable. These invitation-only events offer unique investment ideas from some of the world’s top investors. Events were created by The Santangel Review which also provides some great commentary on leading investors. My favorite commentary is … Read More
Seth Klarman – 13 Tips On How To Find Bargains
One of the best resources for investors are the Santangel Investor Forum and The Santangel Roundtable. These invitation-only events offer unique investment ideas from some of the world’s top investors. Events were created by The Santangel Review which also provides some great commentary on leading investors. My favorite commentary is … Read More
Seth Klarman – Herd Mentality Creates Buying Opportunities For Contrarians – Margin of Safety
One of the investors we follow closely at The Acquirer’s Multiple is Seth Klarman. In his best selling book, Margin of Safety, Klarman provides some great insights into how herd mentality towards popular stocks creates buying opportunities for contrarian value investors. Here’s an excerpt from that book: Value investing by … Read More
Seth Klarman – When To Sell & Why Stop Losses Are Crazy – Margin of Safety
Most investors are aware that Warren Buffett bought six shares in Cities Service as an 11 year old. He picked up the shares for $38 each and sold them at $40 per share making a small profit. But to Buffett’s regret the shares eventually rose to more than $200 per … Read More