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What percentage of your portfolio is in Fairfax Financial?


ourkid8
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Same

But will go up soon enough

 

 

if you guys don't mind me asking, why is that the case?

 

I can't speak to them, but in the bigger picture there's this:

1. some fear the markets will start the next leg down (I don't think that's the reason)

2. large seasonal unknown due to the Hurricane season (I think it is it)

3. dividend out in January, buy on the ex- date to minimize taxes (could be part of it?)

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0

 

Same

But will go up soon enough

 

 

if you guys don't mind me asking, why is that the case?

 

2. large seasonal unknown due to the Hurricane season (I think it is it)

 

 

 

This combined with the fact that my position was in leaps and was quite oversized caused me to sell. Cost me about 30 - 50% in returns but oh well.

 

I plan to buy back after the season as long as I can get in right around book value. Then it will be a long term buy and hold unless it hits 2x book.

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No Fairfax in MPIC Fund I, LP presently.  10% Fairfax in MPIC Canadian LP...we keep a portion in Canadian investments, and I can't find much better than Fairfax in Canada.  5% Fairfax in personal and corporate portfolios.  Nothing wrong with owning Fairfax and investors will do great long-term...just other things often are cheaper. 

 

The thing is we've always been in and out.  Our job in all of our portfolios is to exploit market inefficiencies, so we don't fall in love with anything...we average in as they get cheap, and we average out as they get more expensive...doesn't matter if it's Fairfax, Berkshire or any other holding.  ITEX would be a different ball of wax, as it is an active holding.  Cheers!

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Fairfax is the leading horse in my portfolio in terms of intrinsic value per share gains over the last few years (and Mr Market did take notice), so it's high.

 

One of the basic teachings of Peter Lynch is to not cutting the flowers and watering the weed. So I let the flowers grow, unless:

 

- They've reach full intrinsic value

- I've found something more interesting (and no, the grass is not necessarely greener on the neighboor yard and I can sit quietly in one room without the need to buy or sell something).

- The long term prospects of the business are not good enough anymore

 

Fairfax have not reach full intrinsic value, I didn't find a clearly greener yard yet and the long term prospects of the business are still good enough to me.

 

And since I don't manage money for others, I have the full liberty to handle swings in stock prices without feeling that I'll lose some part of my paycheck, so I don't need 30, 20 or even 10 names in my portfolio. Just a few is quite enough to me at this moment.

 

Cheers!

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When I first bought Fairfax many years ago, I decided to put all of my money that I saved up before I went to medical school into that one idea.  So, at one point, it was 100% of my portfolio.  I haven't added to it, but I have bought protection recently to the downside.  Including Google and AEO, it's now roughly 50% of portfolio. 

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