Baupost Group 2014 Letter: Market Psychology

Continued from part one… Baupost Group – Market psychology It seems Baupost exited 2014 preparing for a bear market. This is something that has been covered in a previous ValueWalk piece, here, so I won’t go over the topic again. Nonetheless, Seth Klarman’s letter contains some interesting commentary regarding the psychology of analysts in bear markets. While we may, or may not be heading into a bear market right now, this is advice is certainly worth paying attention to and keeping in the back of your mind. “In past bear markets, I have noticed some of our analysts self-censoring when they come…