Redskin212

Wet Leg is fantastic! I love the album and sound and was so disappointed with myself that I did catch their show at the 9:30 club last September when I had the chance. Next time they come through town it will be at a huge venue as they rock stars now!

Fairfax Financial Holdings Limited: Financial Results for the First Quarter Earnings are $31/share - Viking pretty much nailed it!

I think Kleven is already doing the job with Brian's oversight. My impression from the annual meeting and specifically the Shareholder's dinner the night before is that Brian in slowly phasing out of the day-to-day grind with an eye to retiring. Brian spoke for basically an hour at the dinner - I think that was intentional on Prem's and Fairfax part. Also, the first time Kleven's name has appeared on the Annual Meeting slide Viking previously posted - not a coincidence. During the question period, Brian on a number of occasions tried to get Kleven involved in the discussion. For Kleven's part he answered the questions well - very concise, but I believe he was being respectful of his mentor Brian and not trying to steal any of his limelight. After the question period ended, I went up and met Kleven and talked for about 15 minutes - he is very sharp and thinks like Brian does. The next day, I was telling a friend of mine who is a director of FFH, that I was very impressed with Kleven and he look like an excellent successor to Brian. My friend mention that at a recent Board meeting, Kleven blew the board members away with his presentation and knowledge. Brian is the GOAT - no question! And it looks like the GOAT has been mentoring a great successor for about a decade.

I got a backpack

+1

+1 And I think Sokol may have been the architect of this plan

Thanks for the great analysis. Answered all my questions and then some

Fairfax announced the issuance of $650 million of debt yesterday at what looks like fairly attractive rates. I find it interesting that issuing this amount of debt attracts no attention and really not a big deal. I remember a time when this would have been discussed ad nauseum. FAIRFAX LAUNCHES C$650 MILLION SENIOR NOTES OFFERING The base shelf prospectus is accessible, and the shelf prospectus supplement for this offering will be accessible within two business days, through SEDAR+ Fairfax Financial Holdings Limited (“Fairfax”) (TSX: FFH and FFH.U) announces that it intends to offer (i) C$400 million in aggregate principal amount of Senior Notes due 2036 (the “2036 Notes”) to be priced at C$99.968 per C$100 principal amount, and (ii) an additional C$250 million in aggregate principal amount of its 5.10% Senior Notes due 2055 (the “2055 Notes” and, together with the 2036 Notes, the “Senior Notes”) to be priced at C$99.485 per C$100 principal amount, plus accrued interest (the “Offering”). The Senior Notes will be offered through a syndicate of dealers to be led by BMO Nesbitt Burns Inc., CIBC World Markets Inc., RBC Dominion Securities Inc. and Scotia Capital Inc., as joint bookrunners, and including Merrill Lynch Canada Inc., National Bank Financial Inc., TD Securities Inc., Citigroup Global Markets Canada Inc., Desjardins Securities Inc., J.P. Morgan Securities Canada Inc., Mizuho Securities Canada Inc. and Morgan Stanley Canada Limited, as agents. The 2036 Notes will pay a fixed rate of interest of 4.40% per annum. The Senior Notes will be unsecured obligations of Fairfax. Fairfax currently has outstanding C$300,000,000 aggregate principal amount of its 5.10% senior notes due 2055 (the “Original 2055 Notes”). The Additional 2055 Notes will have the same terms as the Original 2055 Notes, except for the issue date, offering price and the first interest payment date, and will form part of the same series as the Original 2055 Notes. Fairfax intends to use the net proceeds of the Offering to refinance, repay or redeem outstanding debt, equity or other corporate obligations of Fairfax and its subsidiaries, to pursue potential acquisition or investment opportunities (which may include acquisitions of minority interests in its subsidiaries), and for general corporate purposes. This may include the redemption or repurchase of certain of Fairfax’s previously issued debt or equity securities. As of the date of this press release, Fairfax has not made any determination as to the specific debt, equity or other corporate obligations to be repaid or redeemed, nor the amount, timing or method of such repurchase or redemption. Similarly, as of the date of this press release, Fairfax has not made any determination as to the specific acquisitions or investment opportunities to be pursued, nor the cost, timing or method of such acquisitions or investments. Any such repurchase, redemption, acquisition or investment will be subject to market conditions. Any proceeds not used to refinance, repay or redeem outstanding debt, equity or other corporate obligations or to pursue potential acquisition or investment opportunities will be used for general corporate purposes, which may include to augment Fairfax’s cash position or to increase short-term investments and marketable securities held at the holding company level. The Offering is expected to close on or about February 27, 2026, subject to the satisfaction of customary conditions.

I also would prefer no increase but agree that with all the growth we have in the past couple of years, the dividend will likely grow as well.

It's the start of the new year and the first capital allocation Fairfax makes is the announcement of the annual dividend - typically today after market close. So, my question is: do we get $15/share again or does Fairfax increase the dividend today and by how much? I am thinking we might get an increase to $20/share - it has been a great year, an increased dividend would certainly send the signal that management thinks there is more to come.

45% in non-401k accounts 26% 401k account.

I of course was up last and up first cooking breakfast Need to sleep more, but bad habits are hard to break. Always keep an eye on the board at the end of the day, never know what my extended family is talking about. Merry Xmas to you and everyone on the board. Truly an exciting year and I think more to come in 2026! Now all the presents are open, time to get ready and watch some football. Terrible how all pro sports are bleeding into this holiday - the reality of getting everyone home and under one roof for the day. Merry Christmas!!

not to nick pick but I think you meant $16.90 for Fairfax India closing price not $15.90

If my math is correct FFH's position is valued at over $6 Billion! Roughly 1/3 of $19.399B market cap. Yes - just insane

Amazing that our old friend from Muchmusic JD Roberts is the voice of reason in that interview. Lutnick is just a shrill for Trump, not sure he is actually doing anything at all.

Investing is hard, and it has changed substantially since the global financial crisis. Today, most institutions use a “core and explore” strategy: They allocate the majority of client capital to a core portfolio of high-quality stocks that broadly track the institutions’ benchmarks, then deploy the remainder into less conventional sectors or stocks that may not screen as well. The best practitioners of this approach know not to overstay their welcome in lower-quality stocks. They look for reasons to sell quickly. That instinct, however, often leads to mispricing. In the case of Fairfax Financial Holdings Ltd. FFH-T +4.73%increase Fairfax is trading near price levels first reached this past June, but its price-to-book multiple has declined from 1.7 times to 1.4 times. Historically, Fairfax shares underperform seasonally from June 30 to Oct. 31, when the property and casualty insurance company faces greater exposure to catastrophic losses during U.S. hurricane season. Unsurprisingly, investors are weary when short term earnings are at their highest risk! In fact, over the past 11 years, Fairfax has underperformed the S&P/TSX Financials ETF (XFN) in nine of them since 2015. Book excerpt: How Fairfax Financial got its groove back In 2025, that seasonal underperformance reached its widest margin in more than a decade – nearly 20 per cent versus XFN – despite no major hurricanes making landfall in the continental United States. What explains this disconnect? Investors appear to have broadly sold down P&C insurers insurers amid concerns about slowing premium growth in a softening insurance market and weaker investment income as interest rates declined. Yet Fairfax still outperformed its Canadian peers – Intact Financial Corp. Fairfax has several reasons to outperform and I expect it to continue. Relative to peers, it trades at a lower valuation, is actively buying back shares and will be added to the S&P/TSX 60 Index this month, increasing demand for shares and reducing supply – all while expecting a comparable and potentially significantly higher return on equity given the nature of its investment portfolio, which has much higher exposure to equities. Being in the S&P/TSX 60 also means more institutions may choose to add Fairfax to their core portfolios, which will only help expand the company’s price-to-book multiple. Another source of selling appears to come from value investors. Many of them held through the stagnant 2010-to-2020 decade, when the stock barely moved, and have since enjoyed a remarkable rally. Over 15 years, their compounded annual return now approaches 15 per cent. Some of these investors cite the historical price-to-book range from that period as a reason to take profits, arguing the stock is once again near the top of its range. But such reasoning assumes mean reversion and overlooks fundamental changes in Fairfax’s balance sheet and business mix. While short-term interest rates may decline, long-term rates could rise. And while certain insurance markets may soften, lower premium growth means more capital for share buybacks or to buy out minority interests of insurance subsidiaries Allied World Assurance Co. Holdings Ltd. and OdysseyRe. Both actions are accretive to Fairfax’s forward return on equity. Investors also confuse a soft insurance market with lower underwriting income, but that ignores the cyclicality of reserve releases from the previous hard market, which should support profitability for years to come. Too often ignored is the company’s equity portfolio, recorded well below fair value, which could meaningfully lift future return on equity as gains are realized over the medium term. Fairfax’s historical price-to-book range from 2005 to 2025 has little relevance today. Fairfax has amortized roughly US$2-billion in goodwill and intangible assets since 2017, following its Allied World acquisition – despite substantial premium growth. It has also repurchased shares above book value, which reduces equity and, from an accounting perspective, boosts return on equity. Both developments support a higher price-to-book multiple, all else equal. With hurricane season now over, the company’s usual seasonal headwinds turn into tailwinds. Over the past decade, Fairfax has outperformed XFN seven times between Nov. 1 and June 30, with the past four years particularly strong. This year may follow the same pattern. Since Nov. 1, Fairfax has outperformed XFN by about 4 per cent. If the shares trade up another 25 per cent from here by next June 30, Fairfax would once again trade at 1.6 times book value – similar to where it traded in June, 2025. The company also enjoys an unusual catalyst: the publication of The Fairfax Way by David Thomas, the first book chronicling the firm’s 40-year history and highlighting why investors have trusted their long-term savings with Fairfax – much as early readers of Robert Hagstrom’s The Warren Buffett Way, published in 1994, did with Berkshire Hathaway Inc. Having read the book, I think it will be difficult for probabilistic investors to read The Fairfax Way and not want to buy the shares, which ultimately will support the multiple. Berczy Park Capital has continued to increase its position in Fairfax, which now represents 58 per cent of net assets, up from 35 per cent from when I last wrote about Fairfax on May 1, 2024. Under almost any reasonable scenario, Fairfax appears positioned to compound at more than 15 per cent annually for the foreseeable future – comfortably above our 10-per-cent hurdle rate. Of course, as any probabilistic investor appreciates, there are no guarantees. Asheef Lalani, CFA, is chief investment officer at Toronto-based family office Berczy Park Capital and is an independent director of Mako Mining Corp. and Sailfish Royalty Inc. He was previously a portfolio manager for UBS Securities.

Redemption of the preferred shares is great capital allocation. One overlooked aspect of the discussion is the fact that the interest paid on the preferreds is non-deductible for tax purposes. I believe this is a huge motivator in redeeming and puts the idea/action to the top of the list.

Norm, I would suggest we invite him to the shareholder dinner and maybe he can speak on the writing of the book. It would be interesting to hear how he developed the story, researched, interviews…Obviously, he read all Prem’s letters but I am guessing he referred to this message board a fair bit.

$200/share in earnings for the year should be a lay up, but you never know!

Kennedy-Wilson receives buyout proposal from CEO and Fairfax Financial https://www.investing.com/news/sec-filings/kennedywilson-receives-buyout-proposal-from-ceo-and-fairfax-financial-93CH-4332254

I see it $10.25 all cash deal 36% premium to closing price KW setting up special committee to evaluate looks like FFH taking advantage of the depressed commercial real estate market they know the company - Interesting

Details? I see KW is up 27% in AH

thanks for pointing out

I also David Byrne in Washington DC this past week. It was an absolutely terrific show. Truly incredible how creative the man still is at 73 years young. I highly recommend as well!

I think maybe the 3.3 refers to the $49 billion and the 2.4 refers to the $49 billion + $11 Billion. MD&A should be clearer on the definition of the "bond portfolio" I missed the call, but one thing I did notice in the bond portfolio was that they sold the majority of their long-dated bonds (28-30 years), which would lead me to believe the duration is lower than the previous quarter.