The difference between the price we pay for a stock and its liquidation value gives us a margin of safety. This kind of investing is one of the most effective ways of achieving good long term results.

What differentiates us from other money managers with a similar style is that we’re comfortable with new lows.

Sooner or later, the market will do what it has to do to prove the majority wrong.

We do liquidation analysis and liquidation analysis only.

There will be losing years; but if the art of making money is not to lose it, then there should not be substantial losses.

When a stock doubles, sell half - then what you have is a free position. Then it becomes more of an art form. When you sell depends on individual circumstances.

One of the dangers about net-net investing is that if you buy a net-net that begins to lose money your net-net goes down and your capacity to be able to make a profit becomes less secure. So the trick is not necessarily to predict what the earnings are going to be but to have a clear conviction that the company isn't going bust and that your margin of safety will remain intact over time.