Chai with Pabrai Mohnish Pabrai's Q&A at Clemson University - Wall Street South Investment Club on November 13, 2023
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Jan 9, 2024 
Mohnish Pabrai, renowned investor and founder of Pabrai Investment Funds, answers questions at Clemson University. Topics include auction-driven markets, Berkshire's PetroChina investment, anomaly-based investing, investing in Turkey, car dealerships, lunch with Warren and Charlie, and the benefits of concentrated holdings.
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Invest Only At Price Anomalies
- Investment opportunities arise only when prices are extremely high or low, creating anomalies.
- Auction-driven markets can swing wildly, so act only when valuations become irrational.
Buffett's PetroChina Anomaly Bet
- Warren Buffett's 2005 PetroChina investment bought a huge oil producer at 3x earnings with a 15% dividend.
- The stock tripled quickly, exemplifying a successful anomaly-based investment.
Turkish Warehouse Value Anomaly
- In Turkey, Pabrai's friend owned a warehouse company valued at 2% of its liquidation value.
- They bought a third of it for $8 million, illustrating a true anomaly due to market inefficiency and currency collapse.