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This article analyzes the changes made to Prem Watsa’s 13F portfolio on a quarterly basis. It is based on Watsa’s regulatory 13F Form filed on 08/14/2024. For more insights into his investment philosophy and previous updates, please visit our Tracking Prem Watsa’s Fairfax Financial Holdings Portfolio series.
This quarter, Watsa’s 13F portfolio value decreased from $1.23B to $1.18B. The focus here is on the larger equity holdings that represent more than 0.5% of the portfolio each. The top three positions are Occidental Petroleum, Orla Mining, and Kennedy-Wilson, accounting for approximately 61% of the entire 13F portfolio.
Fairfax Financial’s 13F holdings only represent a small portion of their overall investment portfolio, which was valued at ~$64B as of Q2 2024. This includes a significant cash and short-term positions allocation. The equity portfolio has been 100% hedged since around 2003, with the hedges removed in Q4 2016.
Prominent equity allocations not in the 13F report include investments in Greece and India, with key stakes in Eurobank and Fairfax India.
New Stakes:
Under Armour (UA): UA is a 2.38% position in the portfolio, acquired this quarter at favorable prices.
Meta Platforms (META): The 0.55% META stake was established this quarter and has shown positive performance since.
Note: Meta Platforms reentered the portfolio after a quarter’s absence.
Stake Disposals:
Crescent Capital BDC (CCAP): CCAP stake was sold this quarter after acquisition in Q1 2020.
Stake Increases:
Vanguard S&P 500 ETF (VOO): VOO stake saw significant growth this quarter.
Taiwan Semi (TSM): TSM position was increased by 50% this quarter.
Capri Holdings (CPRI): CPRI position saw a minor increase.
Stake Decreases:
Micron Technology (MU): MU stake was almost sold out this quarter.
Kept Steady:
Occidental Petroleum (OXY): OXY remains the largest stake in the portfolio.
Orla Mining (ORLA): ORLA position saw consistent growth over multiple quarters.
Kennedy-Wilson Holdings (KW): KW stake remains a significant position.
Blackberry Limited (BB): BB stake is now at 10% of the portfolio, with minimal activity in recent years.
Alphabet Inc. (GOOGL): GOOG stake fluctuated with specific increases and reductions in the past.
Franklin Resources (BEN): The BEN position was established in Q1 2020.
Other small stakes: Alibaba Group Holding Limited (BABA), Bank of Nova Scotia (BNS), General Motors (GM), Helmerich & Payne (HP), Intel Corp. (INTC), Johnson & Johnson (JNJ), Merck (MRK), and Pfizer Inc. (PFE) were maintained at current levels.
For a detailed look at the changes in Watsa’s 13F holdings in Q2 2024, refer to the accompanying spreadsheet:
Prem Watsa – Fairfax Financial Holdings Portfolio – Q2 2024 13F Report Q/Q Comparison
(John Vincent (author))
Source: John Vincent. Data constructed from Fairfax Financials’ 13F filings for Q1 2024 and Q2 2024.
Editor’s Note: This article discusses securities that do not trade on a major U.S. exchange. Please be aware of the associated risks.
