European Shorting
Number of Stocks: 22
Number of New Stocks: 4
Total Value: $3,109 Mil
Q/Q Turnover: 24%
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Seth Klarman, the legendary investor of the Boston-based Baupost Group, bought four new stocks in the first quarter, according to GuruFocus Real Time Picks Data. He is a cautious value investor who often holds significant cash reserves when profitable ideas do not present themselves. “In my opinion, the market tells you when you buy things. And when things are really cheap, on a Graham and Dodd valuation basis, you should like them more,” he said in an Endowment Management Seminar in 2008.
Renowned value investor Seth Klarman just reported his first quarter portfolio. Seth Klarman buys BP, AIG, Elan Corp, Rovi Corp, Idenix Pharmaceuticals, Inc., Directv, sells News Corp, Oracle, Genworth Financial Inc, Allied Nevada Gold Corp, Ituran Location and Control, Ltd. during the 3-months ended 03/31/2013, according to the most recent filings of his investment company, The Baupost Group. As of 03/31/2013, The Baupost Group owns 22 stocks with a total value of $3.1 billion. These are the details of the buys and sells. 
As a child, I remember tunneling my way through a box of Cracker Jacks or through a box of the latest sugary cereal in search of the bottom, hoping my fingers could grasp the prize that was promised on the front of the box. Sometimes you would stretch out your fingers with the gratification that you could suddenly feel the bottom, though unable to actually see it. Now you might be able to locate your archeological treasure. The following is an excerpt from the 2010 annual letter of Baupost Capital's Seth Klarman who was shocked at how quickly investors have returned to the risky behavior that got them in trouble in the first place.
As of Feb. 9, 2013, Guru Seth Klarman, legendary value investor of The Baupost Group, added 49.69% to his Idenix Pharmaceuticals Inc. (IDIX) mega position currently at 24,740,200 shares. The current share price is $3.54 with a change from average down 28%. Klarman first bought a new IDIX holding of 1,255,700 shares, in the quarter ending June 30, 2011.
"Investing is the intersection of economics and psychology,” according to Guru Seth Klarman, legendary value investor of The Baupost Group, and there is no more exciting theater for both than that of a possible gold rush, well-known in Alaskan history. Klarman is investing in companies that own and know Alaska’s Donlin Creek area, one of the largest known undeveloped gold deposits in the world. Novagold Resources (NG) and its spinoff NovaCopper (NCQ) are on his buy list.
It is completely bizarre that we see investors husbanding cash and holding Treasury bonds rather than investing in some of the best companies in the world. Imagine investing in assets that offer the investor a "negative real rate of return" rather than investing in a proven leader with rock solid finances growing sales and earnings, at a price that offers a compelling if not out right high yield and with liquidity? Renowned value investor Seth Klarman just reported his 4th quarter portfolio. He buys American International Group Inc, Idenix Pharmaceuticals, Inc., Viasat Inc, sells Hewlett-Packard Co, News Corporation, Oracle Corporation, Allied Nevada Gold Corp, Microsoft Corporation, Sycamore Networks, Inc. during the 3-months ended 12/31/2012, according to the most recent filings of his investment company, The Baupost Group. As of 12/31/2012, The Baupost Group owns 21 stocks with a total value of $3.1 billion. These are the details of the buys and sells.
There is no such thing as a zero risk investment. The supposedly risk free 10 year treasury bill yields less than 2%. There is a high risk that inflation would eat all of those gains quite easily. But there is such a thing as low risk investments. It’s unconventional but it’s there.
The decision to sell liquid investments such as stocks and bonds is much harder than the buy decision. The reason for this is simple: human emotion. When an investor is considering purchasing a new position they aren’t psychologically wedded to the idea. Therefore, they can be open regarding the relative strengths and weaknesses of the investment. 
As every year, the GuruFocus community is invited to nominate the best investor of 2012. The process of nomination consists of two steps. In the first step, we ask our readers to nominate the candidates. Then we will set up a poll for users to vote for the investment Guru of the Year. It is a completely democratic process in which GuruFocus editors do not have control over the outcome.
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