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Exco =\= Exor

There's a thread on it where that is covered.

Also partly why returns on the equity portfolio likely have a higher floor than investors appreciate. The accounting of businesses where Fairfax has significant influence or control has the effect of writing down businesses more aggressively than writing them up. The effect of that is higher return on equity. Eurobank is a good example. We carry it at $2.7b but it contributes about $540m to earnings. That’s a 20% ROI which with 3:1 leverage contributes to FFH’s ROE at 60%. Our carrying value next year in theory should jump to $3.2b but EUROB pays dividends and buys back stock from us every day. Both reduce carrying value most of the way back to $2.7b. But earnings power at EUROB is unlikely to change so forward ROI should be going higher which bolsters Fairfax’s return on the equity portfolio that much more.