Seth Klarman
Seth Klarman📌 Selling & Review

Seth Klarman's Selling & Review Rules

Seth Andrew Klarman (born May 21, 1957) is an American billionaire investor and hedge fund manager. He is the chief executive and portfolio manager of the Baupost Group, a Boston-based private investment partnership he founded in 1982, managing over $27 billion in assets. Klarman is known as one of the most successful value investors of his generation, achieving annualized returns...

3 principles·Selling & Review

3 Key Selling & Review Principles

#1

Sell When Value Is Realized

"Sell when the price reaches your estimate of intrinsic value. Don't get greedy and hold for more — discipline in selling is crucial."

Sell at intrinsic value, don't wait for more.

🌿 Intermediate★★★★★
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#2

Review Thesis Regularly

"Regularly challenge your investment thesis. If the facts change, change your mind. Stubbornness is not a virtue in investing."

Challenge your thesis when facts change.

🌿 Intermediate★★★★☆
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#3

Admit Mistakes Quickly

"When you realize you've made a mistake, sell immediately. The cost of holding a mistake far exceeds the embarrassment of admitting it."

Sell mistakes quickly without ego.

🌿 Intermediate★★★★★
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Frequently Asked Questions

What are Seth Klarman's key selling & review principles?

Seth Klarman has 3 key principles on selling & review. The most important one is "Sell When Value Is Realized" — Sell when the price reaches your estimate of intrinsic value.

How does Seth Klarman apply selling & review in practice?

Seth Klarman applies selling & review through several key principles including "Sell When Value Is Realized" and "Review Thesis Regularly". These principles guide practical investment decisions and have been tested across decades of market cycles.

What makes Seth Klarman's approach to selling & review unique?

Seth Klarman's approach to selling & review is distinguished by a focus on long-term thinking and fundamental analysis. With 3 specific principles in this area, Seth Klarman provides a comprehensive framework that investors at any level can study and apply to improve their decision-making.

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