Money and Finance
- Baupost Sifted Through Energy Carnage As Bargains Rare
If anyone happens to have the full Baupost year-end letter and could pass it along, I'd be extremely grateful. Link to article: Baupost Sifted Through Energy Carnage as Bargains Rare Seth Klarman said his $28.5 billion Baupost Group identified...
- Seth Klarman Letter Excerpts And Summary
Via ValueWalk: Seth Klarman: Fed Created Truman Show Style Faux Economy In his 2013 letter to investors, Baupost Group's Seth Klarman notes that the Fed has built a “Truman Show”-style faux economy, hates Bitcoin, returns $4 billion to investors...
- Boyles Asset Management - Q4 2013 Letter Excerpt
Below are a couple of sections (slightly edited for public viewing) from a letter just sent to the investors of the fund I help manage.Disclosure: I am a portfolio manager at Boyles Asset Management, LLC("Boyles") and the fund managed by Boyles may in...
- Seth Klarman Letters: 1995 - Mid 2001
It is hard for me to overstate just how great these letters are. They are probably the best example I have ever seen of someone (and an entire firm) keeping his head cool and staying disciplined while just about everyone else was going crazy. A BIG thanks...
- Seth Klarman - 2006 Video
Great find by Dang Le: - Guest Lecturer Seth Klarman - Psychology of Leadership - .................... If you would like to download the video, see this post: RealPlayer - A Useful New Addition .......... Other Seth Klarman posts/links: - Seth Klarman...
Money and Finance
Charlie Munger and Seth Klarman quotes
In the most recent Boyles letter, we included this quote from Charlie Munger, which we described as a quote that probably best summarizes our investing focus:
Two markets are inefficient: very small ones (which are not much use to Berkshire, with its $120 billion), and ones where crazy people are doing crazy things, especially if they’re selling. From time to time, the big markets have some crazily mispriced securities in them. But there’s no question that in small markets there’s a lot of opportunity to find mispricings.
I also recently came across a quote from Seth Klarman in his book Margin of Safety which is similar, and that I think also gives great description of where opportunities are more likely to present themselves:
The pricing of large-capitalization stocks tends to be more efficient than that of small-capitalization stocks, distressed bonds, and other less-popular investment fare. While hundreds of investment analysts follow IBM, few, if any, cover thousands of small-capitalization stocks and obscure junk bonds. Investors are more likely, therefore, to find inefficiently priced securities outside the Standard and Poor’s 100 than within it. Even among the most highly capitalized issues, however, investors are frequently blinded by groupthink, thereby creating pricing inefficiencies.
In that same letter, we then described some of the big market names that have done well since the crisis as examples of the groupthink mentioned by Klarman above. Combining those larger-cap examples with the micro-cap example we gave in our Q2 2013 letter I think gives a good flavor of the opportunities that investors and funds with a smaller asset base can look to capitalize on.
- Baupost Sifted Through Energy Carnage As Bargains Rare
If anyone happens to have the full Baupost year-end letter and could pass it along, I'd be extremely grateful. Link to article: Baupost Sifted Through Energy Carnage as Bargains Rare Seth Klarman said his $28.5 billion Baupost Group identified...
- Seth Klarman Letter Excerpts And Summary
Via ValueWalk: Seth Klarman: Fed Created Truman Show Style Faux Economy In his 2013 letter to investors, Baupost Group's Seth Klarman notes that the Fed has built a “Truman Show”-style faux economy, hates Bitcoin, returns $4 billion to investors...
- Boyles Asset Management - Q4 2013 Letter Excerpt
Below are a couple of sections (slightly edited for public viewing) from a letter just sent to the investors of the fund I help manage.Disclosure: I am a portfolio manager at Boyles Asset Management, LLC("Boyles") and the fund managed by Boyles may in...
- Seth Klarman Letters: 1995 - Mid 2001
It is hard for me to overstate just how great these letters are. They are probably the best example I have ever seen of someone (and an entire firm) keeping his head cool and staying disciplined while just about everyone else was going crazy. A BIG thanks...
- Seth Klarman - 2006 Video
Great find by Dang Le: - Guest Lecturer Seth Klarman - Psychology of Leadership - .................... If you would like to download the video, see this post: RealPlayer - A Useful New Addition .......... Other Seth Klarman posts/links: - Seth Klarman...