Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Seth Klarman Talks to Charlie Rose About Value Investing

Seth Klarman, founder and manager of the Baupost Group, was recently interviewed by Charlie Rose. Klarman offers very few interviews, but when he does he doesn’t skirt any issues (see the complete interview here).


In Klarman’s interview with Charlie Rose, he opens with discussing his philanthropic activities, of which there are many. Then, Klarman spends the remainder of the interview discussing his investment philosophy – specifically value investing. Klarman talked in detail about another famous value investor – Warren Buffett. He explained that Buffett “evolved” through different phases:

  1. “Buying cigar butts and getting the last few puffs for free.”
  2. “Buying good companies at great prices.”
  3. “Buying great companies at so so prices.”
  4. “Buying weird securities from crappy businesses at better than market prices.” (like Buffett’s recent purchase of Bank of America Special Preferred Stock).

Klarman says that he is still in phase one.

Klarman goes onto explain that his fund is focused on longer term investments, like three to five years. He says that he is really only interested in the daily fluctuations of stock prices except for as it matters with regard to getting a good deal for a company the fund has already identified as a buy. Klarman offered a few nuggets of wisdom in the interview as well. One of our favorites is Klarman’s advice is to “be comfortable holding cash” in bad economic times.

Klarman also hints at reprinting his famous book, “Margin of Safety,” to raise money for charity. For the uninitiated, Klarman published the book in 1991. It was a short run and went out of print. It re-emerged in recent years as a wild success, with used copies selling for between $750 and $2,500. Klarman still holds the copyright but has never reprinted the book.

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!