A Quote by Seth Klarman

Value investors should completely exit a security by the time it reaches full value; owning overvalued securities is the realm of speculators.

Seth Klarman

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By The Time Exit Full Investors Owning Realm Securities Security Should Speculators Time Value

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Seth Klarman
American - Author
Born: May 21, 1957

All the real money in investment will have to be made as most of it has been in the past not out of buying and selling but out of owning and holding securities, receiving interests and dividends therein, and benefiting from their long-term increases in value. Hence stockholder's major energies and wisdom as investors should be directed toward assuring themselves of the best operating results from their corporations. This in turn means assuring themselves of fully honest and competent managements.

Benjamin Graham

In contrast to the speculators preoccupation with rapid gain, value investors demonstrate their risk aversion by striving to avoid loss.

Seth Klarman

I used to think that good short-sellers could be trained like long-focused value investors because it should be the same skill set; you’re tearing into the numbers, you’re valuing the businesses, you’re assigning a consolidated value, and hopefully you’re seeing something the market doesn’t see.But now I’ve learned that there’s a big difference between a long-focused value investor and a good short-seller. That difference is psychological and I think it falls into the realm of behavioral finance.

James Chanos

Value investing is simple to understand but difficult to implement. Value investors are not supersophisticated analytical wizards who create and apply intricate computer models to find attractive opportunities or assess underlying value. The hard part is discipline, patience, and judgment. Investors need discipline to avoid the many unattractive pitches that are thrown, patience to wait for the right pitch, and judgment to know when it is time to swing.

Seth Klarman

To value investors the concept of indexing is at best silly and at worst quite hazardous. Warren Buffett has observed that "in any sort of a contest - financial, mental or physical - it's an enormous advantage to have opponents who have been taught that it's useless to even try." I believe that over time value investors will outperform the market and that choosing to match it is both lazy and shortsighted.

Seth Klarman

Selling, in particular, can be a challenge; many investors are tempted to become more optimistic when a security is performing well. This temptation must be resisted; tax considerations aside, when a security reaches full valuation, there is no longer a reason to own it.

Seth Klarman

You have a class of investors and you have a class of speculators. The speculators historically haven't been big enough to cause the investors to doubt the long-term vision of stock.

Jim Cramer

The basic concept of value to a private owner and being motivated when you're buying and selling securities by reference to intrinsic value instead of price momentum - I don't think that will ever be outdated.

Charlie Munger

Real investors should never feel bearish because the time to buy value is when markets go down!

Irving Kahn

I suppose, at 50, you value things in a different way. So you value connections, you value your friendships, you value your health, and you are much more aware of time passing.

Kenneth Branagh

We want to get full value out of labour so that we may be able to pay it full value. It is use - not conservation - that interests us.

Henry Ford

Value investors look at cash flows. If a company can maintain present cash flows for 5 or 6 years, it’s a good investment. Investors then just hope that those cash flows - and thus the company’s value - don’t decrease faster than they anticipate.

Peter Thiel

Your security is determined by your ability to define what it is you do that has value. The clearer you can be on what it is you do well and what provides value for someone else, the more security you have.

Dan Miller

Value investing requires a great deal of hard work, unusually strict discipline, and a long-term investment horizon. Few are willing and able to devote sufficient time and effort to become value investors, and only a fraction of those have the proper mind-set to succeed.

Seth Klarman

Work efficiently during office hours and leave on time. Give the required time to your family, friends & have proper rest. Value has a value only if its value is valued.

Brian Dyson

If someone doesn’t value evidence, what evidence are you going to provide that proves they should value evidence. If someone doesn’t value logic, what logical argument would you invoke to prove they should value logic?

Sam Harris

A Quote by Seth Klarman

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