1. How to use GuruFocus - Tutorials
  2. What Is in the GuruFocus Premium Membership?
  3. A DIY Guide on How to Invest Using Guru Strategies
CanadianValue
CanadianValue
Articles (4603) 

Hedge Fund Legend Leon Cooperman: Earning 13% in Stocks Takes Average IQ

June 28, 2012 | About:

Hey, that is good news for me. What can I make if I'm slightly below average?

Cooperman thinks that stocks are currently the best investment alternative, and specifically points to Sallie Mae (SLM), a very beaten down McMoRan (MMR) and aggressive share repurchaser AIG (AIG) as attractive in the following interview with Bloomberg:

On a dreary Monday morning in May, rain pelts the windows of Omega Advisors Inc.’s 31st-floor conference room in New York. Inside, Leon Cooperman and his 14 analysts are trying to come up with ways to make money amid squalling markets. In a single dismal month, half of the hedge fund’s gains for the year have evaporated.

“The market is very sick,” Cooperman says. That’s not necessarily bad news for Cooperman, 69, a blustery billionaire from the South Bronx who first made his name as a stock picker during 25 years as an analyst at Goldman Sachs Group Inc. (GS) “We have to take advantage,” he says. “What’s ridiculously priced now?”

Omega, which currently invests its $6 billion in assets mainly in U.S. stocks, has returned an average of 13.3 percent annually since Cooperman founded it in 1991, compared with 11.4 percent for other equity-oriented funds, according to Chicago- based Hedge Fund Research Inc., Bloomberg Markets magazine reports in its August issue.

For more than 40 years, Cooperman has earned a reputation for consistently ferreting out the most-discounted stocks -- no matter what the overall market conditions.

“He’s not doing anything terribly fancy; he’s looking for stocks that are undervalued,” says Robert S. Salomon Jr., 75, an Omega client whose grandfather co-founded Salomon Brothers. “He’s had some great success in finding them.” Adds John Whitehead, 90, who was co-chairman of Goldman during Cooperman’s time there, “He’s been around a long time and seen bad markets and good markets, and he’s survived them all successfully.”

Link to full article: http://www.bloomberg.com/news/print/2012-06-28/cooperman-says-earning-13-in-stocks-takes-average-iq-.html

About the author:

CanadianValue
http://valueinvestorcanada.blogspot.com/

Rating: 3.5/5 (2 votes)

Comments

Please leave your comment:


GuruFocus Mobile App


User Generated Screeners


maggers78Oil Screen
philippeCroissance
philippeTres secure2
doniemaherScreen #16 - No Debt, Divs Gro
brucexhealthcard
msacaccioOld Faithful
cirrosold faithful
laburFrance EVMC
ymoscoRule # 1
paulyew2003All +ve Growth 2

Select portfolio(s):

  • Loading...

Why you are interested?

Your selection and notes will be stored in your portfolio.

Login to add portfolio
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
FEEDBACK