Tag Archive

In his 2000 Fairfax Financial Shareholder Letter, Prem Watsa discusses Fairfax’s underperformance, noting that for the first time in two consecutive years, the company did not achieve a return on equity above 20%, earning only 4.1% in 2000. The company’s low stock price attracted “deep value” investors as it appeared … Read More

In his 2015 Annual Letter, Prem Watsa criticizes the belief that common shares are always great long-term investments, noting historical downturns like the 1929 Dow Jones crash and the Nikkei’s stagnation since 1989. He highlights the potential for significant market risks and emphasizes cautious investment strategies. Watsa cites Ben Graham’s … Read More

In his 1987 Shareholder Letter, Prem Watsa discusses how short-term market fluctuations are driven by emotions and don’t reflect underlying business fundamentals. They advise investors to focus on company fundamentals and not be swayed by market swings. Here’s an excerpt from the letter: We have been asked many times as … Read More

In this interview with Bloomberg, Prem Watsa admits to making numerous mistakes during his investing career. He acknowledges John Templeton’s point that even the best investors only get two out of three right. He finds this acceptable, emphasizing the need to learn from mistakes and understanding the inherent ambiguity of … Read More

One of the best resources for investors are the publicly available 13F-HR documents that each fund is required to submit to the SEC. These documents allow investors to track their favorite superinvestors, their fund’s current holdings, plus their new buys and sold out positions. We spend a lot of time … Read More

Earlier this year in his 2022 Annual Report, Prem Watsa warns investors to be careful (caveat emptor), and to remember that human nature has not changed at all over all these years. Here’s an excerpt from the report: I have mentioned to you that the renaissance of value investing may … Read More

During his recent interview at the Delphi Economic Forum, Prem Watsa outlined his best investment strategy. Here’s an excerpt from the interview: Watsa: So the best investment strategy is always the same Stelios. You have to go with good people like Fokionas, or like Alex, and people who have got a long … Read More

One of the best resources for investors are the publicly available 13F-HR documents that each fund is required to submit to the SEC. These documents allow investors to track their favorite superinvestors, their fund’s current holdings, plus their new buys and sold out positions. We spend a lot of time … Read More

During his latest Q4 2022 Earnings Call, Prem Watsa explained why value oriented stocks are coming to the fore. Here’s an excerpt from the call (H/T Seeking Alpha): Watsa: As I’ve said previously many times, long-term value investing has gone through a very difficult time for about a decade now. … Read More

One of the best resources for investors are the publicly available 13F-HR documents that each fund is required to submit to the SEC. These documents allow investors to track their favorite superinvestors, their fund’s current holdings, plus their new buys and sold out positions. We spend a lot of time … Read More

In his latest Q4 2021 Earnings Call, Prem Watsa explains his preference for investing in founder-led companies. Here’s an excerpt from the call: Prem Watsa No. No. The — good question. No. The investment philosophy is the same. What we are trying to buy is good companies with great management … Read More

In his latest 2021 Annual Shareholder Letter, Prem Watsa discussed his latest outstanding results and how to find companies that can survive for 100 years. Here’s an excerpt from the letter: We had the best year in our history in 2021 as the world began to return to normalcy. We … Read More

In his recent interview on the Delphi Economic Forum, Prem Watsa discussed the two-tier economy and high-tech valuations. Here’s an excerpt from the interview: So the two-tier market is very simply Alexis that high-tech… anything that’s high-tech for example Zoom Technologies were selling at $130 Billion. It’s still selling… it’s … Read More

One of the best resources for investors are the publicly available 13F-HR documents that each fund is required to submit to the SEC. These documents allow investors to track their favorite superinvestors, their fund’s current holdings, plus their new buys and sold out positions. We spend a lot of time … Read More

In his latest Fairfax 2020 Year End Letter, Prem Watsa discusses the wisdom he uses from investing legend Phil Carret to identify the most successful determinant of long term success in any investment. Here’s an excerpt from the letter: As I have said to you many times over the past … Read More

Here’s a recent article from the Globe and Mail titled – Fairfax CEO Prem Watsa touts traditional value investing amid frenzy for tech stocks like Shopify, in which Prem Watsa says that today’s valuations for some wonderful companies are ‘insane’. He adds that the best days are ahead for value … Read More

Here’s an interview with Prem Watsa on the Price-To-Value Podcast in which he discussed the under-performance of value investing in recent years, and its future. Here’s an excerpt from the interview: Watsa: Yeah, you’re exactly right. In the last 10 years since that 2008, 2009 crash, call it the great … Read More

One of the best resources for investors are the publicly available 13F-HR documents that each fund is required to submit to the SEC. These documents allow investors to track their favorite superinvestors, their fund’s current holdings, plus their new buys and sold out positions. We spend a lot of time … Read More

One of the best resources for investors are the publicly available 13F-HR documents that each fund is required to submit to the SEC. These documents allow investors to track their favorite superinvestors, their fund’s current holdings, plus their new buys and sold out positions. We spend a lot of time … Read More

Some of the best shareholder letters that investors can read are those from Prem Watsa at Fairfax Financial Holdings. In his 2006 Shareholder Letter, Watsa predicted the sub-prime mortgage crisis saying: Finally, we continue to worry about the unprecedented issuance of collateralized bonds, mortgages and loans (we hold none!). The … Read More