By Daily Crux Editor Sean Goldsmith:

Value-investing legend Marty Whitman says he's returning to his roots of distress debt investing. He sees value in performing loans, with a 70% to 90% chance of remaining performing. The yields to maturity on these loans are 25% or better, and Whitman says his losses wouldn't be horrible in the case of reorganization.

On the equity side, Whitman says it's important to buy creditworthy companies that don't need continual access to capital markets. In fact, he says "the importance of creditworthiness in equity investing" is the most important lesson he's ever learned.

And he's bullish on the future. He currently sees "the opportunities of a lifetime." Whitman says he's pretending it's 1932... and he wouldn't want to be selling in 1932. "Values in well-financed situations have never been greater in my lifetime than they are today."

Read the full interview...

Value legend seeks huge yields, "pouring" into distressed debt

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Topics: Marty Whitman, value investing, stocks