FFH upside

[T-bone1]

Prem spoke in Toronto today. Nothing new or earth shattering, but a few highlights:

 

Fairfax expects to compound book value at 15% yearly

 

Fairfax's head office will always be small and the structure of the company is a competitive advantage

 

Japanese past economic problems are worth looking at

 

Investors should focus on the unexpected

 

Acquisitions will have to meet FFH's targets for return

 

Being a public company helps with funding

 

75% of FFH is owned by ten holders (not sure who all these are . . . SEAM has 17%, Mackenzie has 8%, the rest are below 5% . . .)

 

Prem welcomes competition among financial companies and is okay with banks competing with insurers

 

fewer investment opportunities now than a year ago

 

Canadian commercial real estate may be an area to invest in

 

 

 

I know I'm beating a dead horse here, but I would posit two premises:

 

A) After the first half of this decade FFH is going to underpromise and overdeliver

 

B) FFH has once again publicly stated that they will compound book value at 15% per year

 

Draw your own conclusion, you all already know mine.

[oldye]

Thanks t-bone!

[twacowfca]

Sorry for the misunderstanding.  I need t' bone up on what's a joke.  :)

[Crip1]

"I KNOW they are much smarter than me and I will be happy to have them manage some of my money at a nice discount to current BV."

 

Viking,

 

For what it's worth, I think your logic is spot on. Humility goes a long way.

 

-Crip