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Investors Quotes by Seth Klarman

57 Investors quotes by Seth Klarman

All Investors quotes Seth Klarman’s page

Klarman reminds investors that a good night's sleep is more valuable than chasing short‑term gains. He argues that understanding a few businesses deeply beats spreading knowledge thinly across many. He also warns that reliance on ratings agencies and a focus on returns can blind people to risk and long‑term fundamentals.

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The trick of successful investors is to sell when they want to, not when they have to.

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Most institutional investors feel compelled to swing at almost every pitch and forgo batting selectivity for frequency.

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When all feels calm and prices surge, the markets may feel safe; but, in fact, they are dangerous because few investors are…

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Graham's wonderful sentence as, an investor needs only two things: cash and courage. Having only one of them is not enough.

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The overwhelming majority of people are comfortable with consensus, but successful investors tend to have a contrarian bent,

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All an investor can do is follow a consistently disciplined and rigorous approach; over time the returns will come

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Most investors are primarily oriented toward return, how much they can make and pay little attention to risk, how much they can…

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Ultimately, nothing should be more important to investors than the ability to sleep soundly at night.

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Investors need to pick their poison: Either make more money when times are good and have a really ugly year every so…

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While it might seem that anyone can be a value investor, the essential characteristics of this type of investor-patience, discipline, and risk…

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Individual and institutional investors alike frequently demonstrate an inability to make long-term investment decisions based on business fundamentals.

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To a value investor, investments come in three varieties: undervalued at one price, fairly valued at another price, and overvalued at still…

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I think Buffett is a better investor than me because he has a better eye toward what makes a great business. And…

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Targeting investment returns leads investors to focus on potential upside rather on downside risk ... rather than targeting a desired rate of…

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My view is that an investor is better off knowing a lot about a few investments than knowing a little about each…

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I know of no long-time practitioner who regrets adhering to a value philosophy; few investors who embrace the fundamental principles ever abandon…

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Value in relation to price, not price alone, must determine your investment decisions. If you look to Mr Market as a creator…

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While some might mistakenly consider value investing a mechanical tool for identifying bargains, it is actually a comprehensive investment philosophy that emphasizes…

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To value investors the concept of indexing is at best silly and at worst quite hazardous. Warren Buffett has observed that "in…

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Nowhere does it say that investors should strive to make every last dollar of potential profit; consideration of risk must never take…

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Successful investors tend to be unemotional, allowing the greed and fear of others to play into their hands. By having confidence in…

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Value investing is simple to understand but difficult to implement. Value investors are not supersophisticated analytical wizards who create and apply intricate…

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If you are predisposed to be patient, disciplined and psychologically appreciate the idea of buying bargains, then you're likely to be good…

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When excesses such as lax lending standards become widespread and persist for some time, people are lulled into a false sense of…

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

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The single greatest edge an investor can have is a long-term orientation.

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All investors must come to terms with the relentless continuity of the investment process.

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

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A value strategy is of little use to the impatient investor since it usually takes time to pay off.

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When a Wall Street analyst or broker expresses optimism, investors must take it with a grain of salt.

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Ratings agencies are highly conflicted, unimaginative dupes. They are blissfully unaware of adverse selection and moral hazard. Investors should never trust them.

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Selling, in particular, can be a challenge; many investors are tempted to become more optimistic when a security is performing well. This…

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The strategy of buying what's in favor is a fool's errand, ensuring long-term underperformance. Only by standing against the prevailing winds -…

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Investors should always keep in mind that the most important metric is not the returns achieved but the returns weighed against the…

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Value investing requires a great deal of hard work, unusually strict discipline, and a long-term investment horizon. Few are willing and able…

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Right at the core, the mainstream has it backwards. Warren Buffett often quips that the first rule of investing is to not…

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Value investors have to be patient and disciplined, but what I really think is you need not to be greedy. If you're…

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Successful investors must temper the arrogance of taking a stand with a large dose of humility, accepting that despite their efforts and…

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Because investors are not usually penalized for adhering to conventional practices, doing so is the less professionally risky strategy, even though it…

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Frequent comparative ranking can only reinforce a short-term investment perspective. It is understandably difficult to maintain a long-term view when, faced with…

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More by Seth Klarman

Unlike return, however, risk is no more quantifiable at the end of an investment that it was at its beginning. Risk simply cannot be…

Because investors are not usually penalized for adhering to conventional practices, doing so is the less professionally risky strategy, even though it virtually guarantees…

Value investing is risk aversion.

Be focused on process and not outcome

There is an old saying, "How did you go bankrupt?" And the answer is, "Gradually, and then suddenly." The impending fiscal crisis in the…

In a rising market, everyone makes money and a value philosophy is unnecessary. But because there is no certain way to predict what the…

Ultimately, nothing should be more important to investors than the ability to sleep soundly at night.

The best protection against risk is knowing what you are doing.

Warren Buffett once wrote that value investing is like an inoculation--it either takes or it doesn't--and when you explain to somebody what it is…

It is important to remember that value investing is not a perfect science. It is an, with an ongoing need for judgment, refinement, patience,…

Value investing is at its core the marriage of a contrarian streak and a calculator.

The avoidance of loss is the surest way to ensure a profitable outcome.

Do not suffer interim losses, relish and appreciate them

Ratings agencies are highly conflicted, unimaginative dupes. They are blissfully unaware of adverse selection and moral hazard. Investors should never trust them.

It is crucial to have a strategy in place before problems hit, precisely because no one can accurately predict the future direction of the…