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Treasury Secretary Scott Bessent delivered a remarkably important speech on June 23 at the Economic Club of New York. Yet neither Wall Street nor most of the economic profession seems to have paid it enough attention. https://archive.ph/oKBdw#selection-4137.0-4141.145

I always held high cash percentage, 25-50+%. It helped in sideways and down markets. Over long run, returns suffered. If hedging with 1-2% allows me to be fully invested, I am guessing it will pay for itself.

https://www.fastcompany.com/91571834/housing-market-warren-buffett-heir-just-made-another-big-bet-why

Pardon me if this is a basic question, but I’m trying to understand the mechanics of converting Fairfax’s TRS position into share buybacks. My understanding is that the TRS has appreciated substantially since it was established—perhaps on the order of 4X and thus 75–80% of its value is capital gains. If that’s correct, then when the position is eventually settled, Fairfax would likely realize a significant taxable capital gain. If that’s the case, am I correct in thinking that they can’t simply “cancel” the shares represented by the TRS? Instead, wouldn’t they first have to settle the TRS, pay any applicable corporate tax on the realized gain, and then repurchase shares in the market (or through a negotiated block purchase) in order to actually reduce shares outstanding? If my understanding is correct, it seems there could be an advantage to unwinding the TRS when Fairfax’s share price is lower rather than higher. A lower share price would mean: A smaller gain realized on the TRS, resulting in less tax being paid. The same amount of after-tax capital could then retire more shares through buybacks. The tax paid is real cash leaving the company, whereas the benefit of any future appreciation in the repurchased shares accrues to continuing shareholders without an immediate corporate tax cost. For example, all else being equal, it would seem more attractive to unwind the TRS and buy back shares at around $1,600 per share than at $1,900. Am I thinking about this correctly, or am I missing an important aspect of how the TRS settlement and buyback process actually works?

And reduces BVPS (when bought above book value). That boosts ROE all else being equal.

What is exactly the difference? Bessent does a lot of talking but in the end, both have almost equally high deficits. Bessent for example scolded Yellen for issuing short term treasuries but he does exactly the same thing.

Also the big beautiful bill and deregulation. The financial sector like Goldman Sachs et al. (check how shares have done). Use love a trump be sure everything gets approved. Just make sure that some dough flows in his direction

I actually didn’t even look at social media and it’s not just the game against Egypt, as this has been going on for quite some time. The way it looks to me is that Messi team get awarded pretty much every borderline penalty kick due to tackles while other team don’t. Maybe it’s the tactics too but a legit tackle for the ball if the attacker touches the ball should not result in a penalty kick. If we start to play soccer like this then each game will be decided by scores of penalty kicks. Ronaldo is another on who dives for penalty kicks but I think he’s got too slow to do this any more himself.

Peacock, I pay $3 and change for 6 month promo that covered the Winter Olympics and the World Cup. After this I cancel it.

Also juices up the EPS reported.

Good point. By year end, I imagine the share count reduction over the last 10 years or so will be in the range of 7 million. That’s a net reduction of over $100 million per year in required annual dividend distributions.

Decent list, though in fairness the quote should really be attributed to Buffett.

There is some echo chamber mania against Argentina in social media. But I don't get it. If the penalties are conceded by the rules it doesn't matter who gets more (even though other teams get as much or more). So it's not a complete argument. If they reach the area naturally they will get more penalties. They are an agressive team, if you look at the structure, the more agressive team through the years. I admit against Croacia in 2022 there was a mistake by refferies, but after that I analysed each game and couldn't find anything that was wrong. Even in that game they won 3-0. Anyways most people that critize don't know about that game, and this year's Portugal incident against Croacia is worst imo. After that the Egypt's match is being clipped over social media in a deceptive way or angles, but it was impecable the work by the referees. And Argentina scored 3 goals in 15 minutes, from a 2 to 0. No penalties required. The second is an amazing goal. Naturally the egypcian coach pulled a Donald Trump kind of cospiracy after the match to be able to go back home after this defeat.

I’m of the same opinion. Anxiety has become a big thing, there are huge numbers of people in the U.K. claiming they are incapable of working and getting a government cheque to sit at home because they got a medical note saying their anxiety was so crippling it prevents them from working. Think the number is well north of half a million. When I was entering the workforce this was unheard of but it’s directly downstream of broadening out categories of ill health and disability. On my son. We got some suggestions from the state speech therapist. It’s flash cards on a page and basically he’s to come and point at what he wants. I get this is supposed to help communication but part of me wonders if it takes away the need to talk too. I mean the little fella is lazy, he would happily sit there and let me spoon fed him his food so he could continue playing with his toys - I refuse to do it anymore. So part of the help also feels like enabling.

Dammit... silly mistake of our backup goalie... can't afford that against Spain. Bad way to get taken out of the tournemant but so be it, our boys did well and Spain is a great team.

I'll get drunk if Belgium wins tonight

Please get seriously drunk this evening, and let the golden snow flakes fall on us all here, @Paarslaars!

Not to be “that” guy who poo poos ideas like this..but it seems overly complicated and potentially expensive drag on returns. why not just create a live that ensures your not a forced seller, and ride out volatility. I don’t think there is a silver bullet when it comes to trying to hedge or reduce down side volatility. Dollar cost averaging is probably you’re best hedge especially for a smaller portfolio, and trying to stay fully invested.

Sold my BYIT.L (Bytes Technology Group PLC) position

Another smaller benefit of Fairfax's disciplined buyback strategy is the future reduction of dividend distributions.

Exactly. I still make dark jokes today, but it's usually while drinking with friends at a bar, not recorded in a facebook or whatsapp group.

Isn’t the limit 5% of shares outstanding OR 10% of the float? It’s interesting they include treasury shares in the float.

I thought this was good

don't feed the trolls