This2ShallPass

I don't think he reported common. But in one of the presentations, he had shown % ownership of Fannie and freddie and from there I calculated how many shares he might have. That's just an estimate by me.

That might be it, because I didn't see him owning preferreds in their latest release. I tried to calculate his ownership, looks like he has 43M of Fannie common and 50M shares of Freddie.

I said young(er) I'm with @Blugolds, 60 is ok in investing. Not giving money to a 30 yr old with no track record..

I'm also interested in this. Who are the best young(er) investors? Someone who can compound at good rates for the next decade or two? I'm trying a new approach, want to allocate a small % to these investors. Every year if they beat my performance, I plan on allocating more to them. If they underperform for 3 years, they're out. Currently I have 1. Mohnish (invested in Jan'24) - I like the exposure to markets / companies that I typically don't get. He has underperformed recently, so this is a watch. 2. Ackman - Thinking of starting now. His holdings all look pretty solid (don't see any blowup potential or controversial holdings). Like the recent bet on Nike. Fannie / Freddie are wildcards,

Treasury preferred $190B Other preferred $35B + capital requirements Cash on hand $125B (will be $200B start of '27 as per cbo) How do you cover the shortfall if you are Ackman, issue debt? He's a pretty smart guy who is not going to miss on something as simple as this. Is there any proposal out there from him?

Good report, CBO seems to be positive on the GSEs becoming private. They say new equity needs to be issued. Scenario being analyzed (seems like base case) is 4.5% total value of assets (FHFAs risk based capital requirements), 10% return on capital (expected investor return), 4% growth (GSEs annual earnings) Start of 2027 capital needed = $370B Cash by start of 2027 = $208B Shortfall = $162B They say this shortfall needs to be covered by sale of equity. I assume this is new equity being issued? Current common is valued at $6B. So, when new equity is issued current common will be significantly diluted . What does Ackman see in owning common? In the above scenario, preferred (valued at $35B) will be fully paid. So a 2.5x return from here in another 2 years.

Thanks wondering. Investing in Africa now might pay dividends 5-10 years later. Do you have any thoughts on the companies they are investing in, are they high quality? Do they have any crown jewel kind of investments? I'll also do my research but wanted to get your take.

Curious if anyone has taken a look at Fairfax Africa recently. I have been selling some Fairfax this year (to keep at 30% of my pf but it keeps going up:)) and want to redeploy the cash. Looks like the new guys from Helios haven't made much of an impact, 5 yr return at -50%.

Why are you holding while selling other banks, just sheer quality? I read some reports last week w Dimon saying you should sell a bank at 2x TBV and also Buffett unloading on BAC. East west is not growing that fast and that's one of the reasons I felt 2x TBV might be getting expensive..

Sold East west Bank. Phenomenal bank (don't think you'll ever see NPA assets at 25 basis points!) and great CEO. I bought last year during the Silicon valley bank crisis and it was a quick double. I have mixed feelings on selling, want to hold for many years but at 2x TBV feel is getting expensive..

Thanks. For Freddie, would that be FMCKJ (8.375% non cum)? Also, do ppl here buy a basket of preferreds or just the highest dividend one? Not sure if the various preferreds have different conditions.

I have the common, bought more as a lottery ticket. Now thinking of converting to preferred. Which preferred is better, I want to buy both Fannie and Freddie..

Is that Fairfax India making a move? Wow finally Doubt it, the timing is an election driven rally, probably tied to Trumps' pro India messages (we all know he'll flip on a dime, but will take the 8% pop!). This one is mostly done, the optics of a Canadian company winning one of the high profile deals will be too much for Modi govt. I'm also ok with not winning this one, too big for FFI.

Losing 40% of your pf won't change your life? If that's the case, then taking big swings is ok...you might be at a point in life where investment returns are not meaningful enough for your personal wealth.

30+% in one company is a large position. There's some position where it does become risky, no matter how confident you are about the company. The world is constantly changing, you will have curveballs. Things that are completely outside your ability to predict will happen and sometimes even outside the control of the company. You don't want to get knocked out of the game when something like that hits. And, Fairfax is not Berkshire or Costco. They have done nothing but make great decisions these past 5 years, but they do tend to take big swings, positive (GFC) or negative (hedging). Do you think it'll happen in the next 6 months or so? We have been waiting for it for a while.