Seth Klarman: Speculative Holdings Are Like Roach Motels

This article on Markets Insider has 11 of the best quotes from Seth Klarman’s latest Annual Letter. Here are three of our favourites which illustrate the sentiment of current investor psychology:

1. “We see today’s market as characterized by stretched valuations, deep complacency, and a host of looming risks.”

2. “Against a backdrop of relentless money printing, a very active Federal Reserve, and fiscal largesse, many investors have been lulled to sleep, unaware of and unfocused on risk. They are like the cat that didn’t jump on the hot stove.”

3. “The buying frenzy of the past 12 years has lured many market participants into speculative holdings that someday will seem like roach motels, easier to get into than get out of.”

You can read all 11 quotes here:

Markets Insider – Seth Klarman Quotes