Seth Klarman is not a name very well known in our part of the world but he manages the Baupost Group, which is one of the top 10 hedge funds by net gains since inception, which was in 1983 (29 years).

Most of the top hedge funds that we see are usually quantitative, momentum based managers, so for a value manager to have such a great record in the long run he must be doing something right.

Seth wrote a famous book Margin of Safety which was written in 1991 and now out of print. The hard cover book is so coveted that people bid up to $1000 to get their hands on it.

Ronald Redfield though, provided here a great summary of what is written in the book.

This summary is great and touches on the psyche that money managers require, what he thinks is the best way to ...