They Just Don’t Get It! That’s the view of legendary deep value investor Martuy Whitman, Founder and Chairman of Third Avenue Management. In this exclusive interview taped at the Museum of American Finance, Whitman takes on Congressional and Wall Street ignorance about debt, credit worthiness, and earnings. Whitman will also discuss his long term mantra, to buy “safe and cheap” stocks, and his four elements to getting growth at dirt cheap prices in an interview with Consuelo Mack of WealthTrack.
Whitman’s Basic Investment Rules: Buy Safe and Cheap
Safe = Financially Strong Company
Cheap = Buy at 30%+ discount to net asset value
WHITMAN: COMFORT REAL ESTATE
Brookfield Asset Management Inc. Class A (BAM.A)
Price: $42.12 on 10/24/13
52-week range: $32.56-$42.27
“I know the culture, intimate with the people and we do much together while I can’t say the same about Hong Kong and China, though it’s not that bad. One of the things about Hong Kong, all of these companies are controlled by billionaires, and one of the things Hong Kong billionaires insist on doing is come to New York. We send someone over to Hong Kong once a month, but these companies keep visiting us, so you get a good sense, but I can’t get the same comfort that I get with Brookfield and Bruce Flatt and all my friends over there.”
Marty Whitman video embedded below
Third Avenue Management’s Founder and Chairman Marty Whitman has had enormous professional success as a deep value investor, but as a Jewish kid from the Bronx he once described feeling like a second class citizen for the first half of his life. How that has influenced him? We asked him.