Baupost’s Seth Klarman Blasts The Fed For Helping “Erect A Financial Fantasyland'”

Baupost chief Seth Klarman lambasted the Federal Reserve in his recent letter, blaming the central bank's more than 10-year, easy-money response to the 2008 financial crisis for the creation of what he sees as a "financial fantasyland."

Baupost Portfolio Update

Additionally, Klarman reports that Baupost now holds its largest exposure to China in many years at a time when many other investors are slashing exposure to the nation. In 2022, the firm invested in three Chinese companies that Klarman described as "extremely undervalued."

Q4 2022 hedge fund letters, conferences and more

In his year-end letter to investors, which was obtained by the Financial Times, Klarman told Baupost investors the fund declined...