How Long Have you been a Continuous Shareholder of Fairfax Financial?

[[email protected]]

Since 2003…haven’t sold a share although the decade of darkness was sure tempting.

[villainx]

7 minutes ago, [email protected] said:

haven’t sold a share although the decade of darkness was sure tempting.

 

FRFHF down 1.42% today, hold or sell? or buy?

Edited July 30, 2025 by villainx

[Parsad]

1 hour ago, villainx said:

 

FRFHF down 1.42% today, hold or sell? or buy?

 

I'm guessing you are being facetious, but just in case!

 

I've held various amounts of Fairfax shares since 2001...selling an oversized position after it runs up...and then loading up after it hit a hurdle and fell below book value.  

 

After all these years, my situation after this latest run is now different than it was when I was younger and building the portfolio.  

 

It now makes up about 25% of all my portfolios, including my niece/nephew's RESP's.  I'm very comfortable with that position sizing now for the rest of my remaining life.  

 

You should decide what lets you sleep at night.  Historically, I could find stuff that might get me a couple of extra points in return over Fairfax's return, but I don't need that anymore.  As long as Prem keeps chugging along, and I look after the rest of my portfolio including ETF's now, I don't need to do much.

 

So to each their own...sleep well...build wealth!  Cheers!

[villainx]

Yes, facetious. I have an ok position here, but slow to build spouse and kids a sizable position. At same time, Fairfax seems like it’s reasonable value to add for them. Maybe. 
 

 

[Parsad]

4 minutes ago, villainx said:

Yes, facetious. I have an ok position here, but slow to build spouse and kids a sizable position. At same time, Fairfax seems like it’s reasonable value to add for them. Maybe. 
 

 

 

That's understandable.  I'm not sure I would add here.  I would build cash until I see any good quality stock drop unnecessarily to a valuation that will give me better than 15% annualized.  

 

I think we are close to where the long-term return for Fairfax is going to be about 15% annualized based on valuation.  So there is still some room, but that gap has shrunk considerably over the last 2-3 years.  It will all depend on what opportunities come their way.

 

If you are in that building wealth phase of accumulation, you want your ideas to be home runs...the fat pitch with a margin of safety...ideally 20%+ annualized returners.  Cheers!

[Hsmpanl]

52 minutes ago, Parsad said:

 

That's understandable.  I'm not sure I would add here.  I would build cash until I see any good quality stock drop unnecessarily to a valuation that will give me better than 15% annualized.  

 

I think we are close to where the long-term return for Fairfax is going to be about 15% annualized based on valuation.  So there is still some room, but that gap has shrunk considerably over the last 2-3 years.  It will all depend on what opportunities come their way.

 

If you are in that building wealth phase of accumulation, you want your ideas to be home runs...the fat pitch with a margin of safety...ideally 20%+ annualized returners.  Cheers!

Got any ideas for something fitting that bill here? All the stuff I’ve been excited about buying has run up to a point where I’m much less excited about it, Fairfax included. For now it’s just build cash mode for the time being I guess. 

[villainx]

58 minutes ago, Parsad said:

If you are in that building wealth phase of accumulation, you want your ideas to be home runs.

I’m waiting for the fat pitch for my kids. My wife is less patient, any $ in her accounts she wants to buy. Normally either VOO or TSLA or BTC, so … I don’t know, Fairfax seems like a good spot to park cash for time being. She’s either slow and steady or follows the meme. 
 

[Parsad]

2 hours ago, Hsmpanl said:

Got any ideas for something fitting that bill here? All the stuff I’ve been excited about buying has run up to a point where I’m much less excited about it, Fairfax included. For now it’s just build cash mode for the time being I guess. 

 

Some think I'm crazy, but I'm really heavy in retailers that have gotten killed...M, TGT, LULU...I own a lot of all three!

 

M and TGT have gained some ground and I'm up on them quite a bit, but I still think my M and TGT Leaps are a double from here.  I own a lot of LULU stock.  As it keeps going down, it's getting bigger and bigger, but I'm totally comfortable with the size.  

 

I think all three are potential takeouts...especially M and LULU.  M has a history of scaring away takeouts, but that real estate is worth 1.5 times the current market cap and the retail business makes $1-1.2B a year in profit.  

 

LULU is getting so low, forget a rebound in retail, I think someone could easily take them out for a 50% kicker on the current stock price.  It's down 50% YTD and about 60% all time!  14 times earnings for one of the top retailers in the world that is still expanding and growing!  Cheers!