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To a value investor, investments come in three varieties: undervalued at one price, fairly valued at another price, and overvalued at still some higher price. The goal is to buy the first, avoid the second, and sell the third.

Seth Klarman

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Seth Klarman
Age: 67
Born: 1957
Born: May 21
New York City
New York
Seth Andrew Klarman
Firsts
Second
Variety
Undervalued
Come
Higher
Sells
Varieties
First
Goal
Third
Investor
Values
Thirds
Investments
Three
Investment
Valued
Another
Price
Fairly
Stills
Avoid
Investors
Still
Value
Sell
Overvalued

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At Baupost, we constantly ask: 'What should we work on today?' We keep calling and talking. We keep gathering information. You never have perfect information. So you work, work and work. Sometimes we thumb through ValuLine. How you fill your inbox is very important.
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It sounds kind of crazy, but in times of turmoil in the market, I've felt a sort of serenity in knowing that I've checked and re-checked my work, one plus one still equals two regardless of where a stock trades right after I buy it.
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In reality, no one knows what the market will do trying to predict it is a waste of time, and investing based upon that prediction is a speculative undertaking.
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There are no long-term lessons - ever.
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Investment success cannot be captured in a mathematical equation or a computer program.
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Analysts recommendations may not produce good results. In part this is due to the pressure placed on these analysts to recommend frequently rather than wisely.
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I find value investing to be a stimulating, intellectually challenging, ever changing, and financially rewarding discipline
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When a government official says a problem has been contained, pay no attention.
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Do not suffer interim losses, relish and appreciate them
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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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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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Having great clients is the key to investment success.
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In contrast to the speculators preoccupation with rapid gain, value investors demonstrate their risk aversion by striving to avoid loss.
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