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Value investing is predicated on the efficient market hypothesis being wrong.

Seth Klarman

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Seth Klarman
Age: 67
Born: 1957
Born: May 21
New York City
New York
Seth Andrew Klarman
Investing
Market
Value
Wrong
Values
Predicated
Hypothesis
Efficient

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I know of no long-time practitioner who regrets adhering to a value philosophy few investors who embrace the fundamental principles ever abandon this investment approach for another
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Be indifferent if you lose your short term clients, remember they are your own worst enemy
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When people give away stocks based on forced selling or fear that is usually a great opportunity.
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Limit risk with: Deep analysis Bargain purchase Sensitivity analysis.
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Investors should always keep in mind that the most important metric is not the returns achieved but the returns weighed against the risks incurred. Ultimately, nothing should be more important to investors than the ability to sleep soundly at night.
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The overwhelming majority of people are comfortable with consensus, but successful investors tend to have a contrarian bent.
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Be focused on process and not outcome
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At equal returns, public investments are generally superior to private investments not only because they are more liquid but also because amidst distress, public markets are more likely than private ones to offer attractive opportunities to average down.
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Interestingly, we have beaten the market quite handsomely over this time frame, although beating the market has never been our objective. Rather, we have consistently tried not to lose money and, in doing so, have not only protected on the downside but also outperformed on the upside.
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Benjamin Graham wrote, Those with enterprise haven't the money, and those with money haven't the enterprise, to buy stocks when they are cheap.
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Once you adopt a value-investment strategy, any other investment behavior starts to seem like gambling.
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A value strategy is of little use to the impatient investor since it usually takes time to pay off.
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Having great clients is the key to investment success.
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If only one word is to be used to describe what Baupost does, that word should be: 'Mispricing'. We look for mispricing due to over-reaction.
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Macro worries are like sports talk radio. Everyone has a good opinion which probably means that none of them are good.
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Depressions aren't good but the depression mentality is good.
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Avoiding where others go wrong is an important step in achieving investment success. In fact, it almost assures it.
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