Guest kumar Posted February 4, 2011 Share Posted February 4, 2011 T2 Partners January Letter - Eating Some Humble Pie On Short Selling Mistakes http://www.gurufocus.com/news.php?id=121052 Our fund declined 2.8% in January vs. gains of 2.4% for the S&P 500, .....shorting good businesses that are growing rapidly, even when their valuations appear extreme. Such open-ended situations, regardless of valuation, are very dangerous, so going forward we will avoid them entirely..... Link to comment Share on other sites More sharing options...
fuluvu Posted February 4, 2011 Share Posted February 4, 2011 As a Buffett follower and admirer, it takes him too long to learn this. Buffett stated that shorting is a bad business more than once. First, it is so obvious that shorting a good business is dangerous. Secondly, shorting even a bad business or a fraud is dangerous too. It is hard to get the timing right and so many forces are working again you. For the investor, the shorting position is just a fraction of his portfolio, however, for the fraudster, it is his life. He would make all his efforts to make the fraud going as long as possible. Link to comment Share on other sites More sharing options...
Guest Posted February 4, 2011 Share Posted February 4, 2011 I've heard his mutual fund has a great track record, but his mutual fund is middling. http://quote.morningstar.com/fund/f.aspx?t=TILFX Link to comment Share on other sites More sharing options...
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