“For most of the last century,” Seth Klarman noted in his second-quarter letter to Baupost’s investors, “a reasonable approach to assessing a company’s future prospects was to expect mean reversion.” He went on to explain that fluctuations in business performance were largely cyclical, and investors could profit from this buying low and selling high. Also see Seth Klarman Tells His Investors: Central Banks Are Treating Investors Like “Foolish Children” Q2 Letter: Baupost won big in Q2 with PG&E, eBay, Liberty Global If you’re looking for value stocks, and exclusive access to value-focused hedge fund managers, check out Hidden Value Stocks….
Seth Klarman: Investors Can No Longer Rely On Mean Reversion
Sign up now and get our in-depth FREE e-books on famous investors like Klarman, Dalio, Schloss, Munger Rupert is a committed value investor and regularly writes and invests following the principles set out by Benjamin Graham. He is the editor and co-owner of Hidden Value Stocks, a quarterly investment newsletter aimed at institutional investors. Rupert owns shares in Berkshire Hathaway. Rupert holds qualifications from the Chartered Institute For Securities & Investment and the CFA Society of the UK. Rupert covers everything value investing for ValueWalk