Parsad Posted July 13, 2015 Share Posted July 13, 2015 I just thought that since the vote is around the corner, I would help clarify a couple of points some have been debating on the various threads regarding the upcoming SGM. Ultimately, shareholders should all decide what they are comfortable with, but long-term shareholders should realize that what Prem is doing isn't really any different than what Buffett is doing by donating significant shares to the Gates Foundation and his children's charitable trusts, as well as the intention to add Howard Buffett to the board of Berkshire. The Watsa family's only duty as stewards of the "63 Foundation" is really to safeguard the culture of Fairfax, not unlike the Gates Foundation and Buffett's children's trusts. None of the Watsa family will ever hold managerial or officer positions. There are also measures and safeguards in place in the "63 Foundation" to ensure that Fairfax cannot become another family-run dynasty. While Buffett is doing all of this towards the end of his tenure, Prem and Fairfax still have another 20 years to go at least. But Prem wanted to take care of these issues early before they became a problem, including the erosion of the multiple-voting shares if they continued to issue shares in acquisitions. Another thing I would recommend that shareholders do, is to get to know the Watsa family. You have the opportunity at the AGM every year. The children are as courteous and humble as their parents...so fortunately, the apples did not fall far from the trees! Again, please vote your shares as your conscience dictates, just be aware that the measures in place will safeguard Fairfax's culture, like Berkshire's, well after Prem and Buffett are gone. Cheers! Link to comment Share on other sites More sharing options...
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