if you have not used margin at that point you could just take 10% to 30% margin to also juice returns ...but like you said trade the 10pe for 7 pe or 4 pe or even 1 pe will probably get you in a better spot ...might even give you opportunity for double of wealth
once has to remember the reason why FFH traded under bvps in the past was due to the hedges , cat rate and investments ...right now there in another ball game hard to see a low P/B...if anything the party is just getting started there are so many hidden gems inside FFH that this could easily triple in next 5 years
That is why it doesn't get much love like IFC, GWO, SLF on Canadian side...Canadian Investors are looking for stocks with a good dividend growth CAGR...if Fairfax grew dividends say 2% to 4% a year after couple years people will jump in ...TSX has a different beast of investors vs SPY / US Markets
who knows maybe when share count gets to 15m in future they might increase div lol
2 year at 4.08% it does look good for them if they want to move some more cash into bonds
Duration is 2.2 years, average maturity is 3 years and our yield is approximately 5%. A lot of safety and flexibility is built into the fixed income portfolio, which is our response to the playing field as it sits. The economic and interest environment has many conflicting factors, so we're playing it safe, keeping lots of flexibility and making a good return as we wait.
right now people are just jumping to high fliers ...I thinks CSCO just hit all time high after hours lol
if you have patience and not in a big rush FFH could be easy double in 5 years
the don't put a high weight on stocks like BB as technology is really hard to figure out value ...eventually you could see someone buying UA if it doesn't turn around
I think everything will be fine as BVPS increases 15% which is pretty much maybe 7% due to float ...it will get the appreciation it deserves...plus theres so many hidden gems that could easily sprout
if US bonds go back down the loss on bonds reverse or if it comes time for maturity