Prem Watsa Fairfax Financial Holdings
Prem Watsa is the founder and chairman of Fairfax Financial Holdings, a Canada-based insurance and investment company frequently compared to a Berkshire-style model. Fairfax combines underwriting operations with a value-oriented investment portfolio managed with a long-term horizon. Watsa is known for contrarian positioning, careful attention to insurance float, and candid annual letters.
Top Buys
| Rank | Stock | Value |
|---|---|---|
| 1 |
XCO
Exco Resources
XCO
|
+$9.81M |
| 2 |
Berkshire Hathaway Class A
BRK.A
|
+$250K |
Top Sells
| Rank | Stock | Value |
|---|---|---|
| 1 |
IBM
IBM
|
+$110M |
| 2 |
VAL
Valspar
VAL
|
+$688K |
| 3 |
New Oriental
EDU
|
+$419K |
| 4 |
Wells Fargo
WFC
|
+$214K |
| 5 |
Carlisle Companies
CSL
|
+$202K |
Sector Composition
| Rank | Sector | Weight |
|---|---|---|
| 1 | Technology | 50.3% |
| 2 | Real Estate | 20.73% |
| 3 | Materials | 20.49% |
| 4 | Financials | 3.21% |
| 5 | Energy | 2.52% |
| Name | Market Value | Portfolio Weight | Shares or Principal |
Change in Stake | Capital Flow | |
|---|---|---|---|---|---|---|
1
BlackBerry
BB
$4.71B
| $466M | 41.29% |
46,724,700
| – | – |
|
|
KW
2
DELISTED
Kennedy-Wilson Holdings
KW
| $234M | 20.73% |
12,321,921
| – | – |
|
|
RFP
3
DELISTED
Resolute Forest Products Inc.
RFP
| $133M | 11.77% |
30,548,190
| – | – |
|
|
4
IBM
IBM
$222B
| $102M | 9.02% |
692,347
-732,200
| -51% | -$110M |
|
|
USG
5
DELISTED
Usg
USG
| $44.4M | 3.93% |
1,530,522
| – | – |
|
6
Intrepid Potash
IPI
$525M
| $37.5M | 3.32% |
1,666,667
| – | – |
|
7
US Bancorp
USB
$96.7B
| $21.2M | 1.88% |
408,000
| – | – |
|
8
Johnson & Johnson
JNJ
$651B
| $20M | 1.77% |
151,250
| – | – |
|
9
Helmerich & Payne
HP
$4.35B
| $19M | 1.68% |
349,974
| – | – |
|
10
POSCO
PKX
$17.3B
| $12M | 1.06% |
191,879
| – | – |
|
|
XCO
11
DELISTED
Exco Resources
XCO
| $9.26M | 0.82% |
3,493,250
+1,657,323
| +90% | +$9.81M |
|
12
Jefferies Financial Group
JEF
$12.1B
| $7.84M | 0.69% |
335,138
| – | – |
|
13
Pfizer
PFE
$160B
| $7.05M | 0.62% |
221,340
| – | – |
|
|
14
Wells Fargo
WFC
$254B
| $3.09M | 0.27% |
55,800
-4,000
| -7% | -$214K |
|
|
TRQ
15
DELISTED
Turquoise Hill Resources Ltd
TRQ
| $3.05M | 0.27% |
115,040
| – | – |
|
|
16
Berkshire Hathaway Class B
BRK.B
$1.06T
| $2.37M | 0.21% |
14,000
| – | – |
|
|
17
Berkshire Hathaway Class A
BRK.A
$1.06T
| $1.77M | 0.16% |
7
+1
| +17% | +$250K |
|
18
NetEase
NTES
$82.1B
| $902K | 0.08% |
15,000
| – | – |
|
19
CSX Corp
CSX
$95.6B
| $818K | 0.07% |
45,000
| – | – |
|
|
MON
20
DELISTED
Monsanto Co
MON
| $734K | 0.07% |
6,200
| – | – |
|
21
Stride
LRN
$3.51B
| $594K | 0.05% |
33,133
| – | – |
|
22
Rayonier Advanced Materials
RYAM
$586M
| $550K | 0.05% |
35,000
| – | – |
|
23
Enovis
ENOV
$1.5B
| $394K | 0.03% |
5,810
| – | – |
|
|
24
New Oriental
EDU
$8.88B
| $352K | 0.03% |
5,000
-6,100
| -55% | -$419K |
|
25
General Dynamics
GD
$104B
| $297K | 0.03% |
1,500
| – | – |
|
Similar funds
Prem Watsa's Q2 2017 Portfolio in Review
As of Q2 2017, Prem Watsa held 31 positions worth $1.13B, down 8.8% from $1.24B the previous quarter. Its ten largest holdings account for 96% of the portfolio.
Prem Watsa withdrew a net $102M in Q2 2017, closing 2 positions and reducing 3 holdings. Its most notable exit was Valspar, an estimated $688K position sold in full.
By sector, the portfolio is most concentrated in Technology at 50% of assets, up from 48% a quarter earlier, followed by Real Estate and Materials.
Against the trend, Prem Watsa added an estimated $9.81M to Exco Resources.
- Prem Watsa added most to Exco Resources in Q2 2017, an estimated $9.81M increase.
- Prem Watsa's biggest Q2 2017 reduction was IBM, cutting an estimated $110M.
- Prem Watsa fully exited Valspar in Q2 2017, selling an estimated $688K.
- Prem Watsa's ten largest holdings make up 96% of its $1.13B portfolio in Q2 2017.
- Prem Watsa opened 0 new positions and closed 2 in Q2 2017.
- Prem Watsa's portfolio value fell 8.8% quarter-over-quarter to $1.13B.
Based on Fairfax Financial Holdings's 13F filing for Q2 2017, filed 11 Aug 2017.