Money and Finance
From Klarman's section in the 6th edition of Security Analysis, which he wrote in May 2008 (they also go well with the 1991 Klarman interview that has been making its rounds, HERE):
- John Mauldin's Outside The Box: Seth Klarman: Investors Downplaying Risk “never Turns Out Well”
Link to: Seth Klarman: Investors Downplaying Risk “Never Turns Out Well”Today’s Outside the Box is unusual in that it isn’t an original document but rather a summary of a client letter from one of the greatest investors of our generation, Seth...
- Seth Klarman: Why Most Investment Managers Have It Backwards - By Robert Huebscher
For Seth Klarman, founder and president of the Boston-based Baupost Group, last fall was a period that offered many of those opportunities. He delivered the keynote lecture at the annual meeting of the Boston Security Analysts Society last week. … The...
- Mcgraw-hill Professional To Publish 75th Anniversary Edition Of Graham And Dodd's Security Analysis
Benjamin Graham and David L. Dodd's Security Analysis, first published by McGraw-Hill nearly 75 years ago, forever changed the theory and practice of successful investing. Written in the midst of the Great Depression and in the wake of the 1929 stock...
- The Double Edged Sword
When it comes to capitalizing a company management has two options: equity or debt. If you look across the publicly available companies you'll find all sorts of mixes in capital structures. Some companies like Visa (V) (Analysis Here) are fully...
- Why Fewer Buybacks And More Dividends Would Be A Good Thing
Since certain financial regulations were loosened by the U.S. Congress in 1982 (rule 10b-18, to be specific), company stock repurchases -- commonly known as buybacks -- have rapidly become a preferred means of returning cash to shareholders. With buybacks,...
Money and Finance
A few Seth Klarman quotes
From Klarman's section in the 6th edition of Security Analysis, which he wrote in May 2008 (they also go well with the 1991 Klarman interview that has been making its rounds, HERE):
"In an era of rapid technological change, investors must be ever vigilant, even with regard to companies that are not involved in technology but are simply affected by it. In short, today’s good businesses may not be tomorrow’s."
...
"Managers who are unwilling to make shareholder-friendly decisions risk their companies becoming perceived as “value traps”: inexpensively valued, but ultimately poor investments, because the assets are underutilized. Such companies often attract activist investors seeking to unlock this trapped value. Even more difficult, investors must decide whether to take the risk of investing—at any price—with management teams that have not always done right by shareholders. Shares of such companies may sell at steeply discounted levels, but perhaps the discount is warranted; value that today belongs to the equity holders may tomorrow have been spirited away or squandered."
...
"Investors must also ponder the risks of investing in politically unstable countries, as well as the uncertainties involving currency, interest rate, and economic fluctuations. How much of your capital do you want tied up in Argentina or Thailand, or even France or Australia, no matter how undervalued the stocks may be in those markets?"
- John Mauldin's Outside The Box: Seth Klarman: Investors Downplaying Risk “never Turns Out Well”
Link to: Seth Klarman: Investors Downplaying Risk “Never Turns Out Well”Today’s Outside the Box is unusual in that it isn’t an original document but rather a summary of a client letter from one of the greatest investors of our generation, Seth...
- Seth Klarman: Why Most Investment Managers Have It Backwards - By Robert Huebscher
For Seth Klarman, founder and president of the Boston-based Baupost Group, last fall was a period that offered many of those opportunities. He delivered the keynote lecture at the annual meeting of the Boston Security Analysts Society last week. … The...
- Mcgraw-hill Professional To Publish 75th Anniversary Edition Of Graham And Dodd's Security Analysis
Benjamin Graham and David L. Dodd's Security Analysis, first published by McGraw-Hill nearly 75 years ago, forever changed the theory and practice of successful investing. Written in the midst of the Great Depression and in the wake of the 1929 stock...
- The Double Edged Sword
When it comes to capitalizing a company management has two options: equity or debt. If you look across the publicly available companies you'll find all sorts of mixes in capital structures. Some companies like Visa (V) (Analysis Here) are fully...
- Why Fewer Buybacks And More Dividends Would Be A Good Thing
Since certain financial regulations were loosened by the U.S. Congress in 1982 (rule 10b-18, to be specific), company stock repurchases -- commonly known as buybacks -- have rapidly become a preferred means of returning cash to shareholders. With buybacks,...