Fairfax financial holdings, the reinsurance insurer run by investment guru Prem Watsa, said on Thursday that its loss in the fourth quarter by 56 per cent because of debts and losses of the company equity hedges extended.
The Toronto-based company 2011 lost $ 771.5 million or $38.47 per share in the fourth quarter. Compared to the previous year-ago loss of $ 494.4 million or $24.77 hedging a share.
Net losses from investments rose to 914.9 million $ of $887.9 million, which is a "no correlation between the performance of the company's shares and its equity-based hedge" attributed to Fairfax, Fairfax said that should reverse in future periods.
Watsa secured capital position of the company in the year 2010 and investment losses in the fourth quarter of this year took, as stock markets rose.
For the quarter, the insurer has a technical loss of 292,8 million due to the higher claims. For the full year Fairfax took $1 billion catastrophe losses related to events, the Japanese earthquake, floods in Thailand, United States tornadoes, New Zealand earthquake and Hurricane Irene.
Since the acquisition of the company in 1985, Watsa has built a reputation as a smart contrarian investor by moves like betting against the U.S. housing market over the last ten years and reap billions when the market collapsed.
Recently, he has a significant position in research in the movement and Board was resigned in the BlackBerry maker appointed last month co-CEOs Jim Balsillie and Mike Lazaridis as part of a front-office shakeup in which.
The Toronto-based company 2011 lost $ 771.5 million or $38.47 per share in the fourth quarter. Compared to the previous year-ago loss of $ 494.4 million or $24.77 hedging a share.
Net losses from investments rose to 914.9 million $ of $887.9 million, which is a "no correlation between the performance of the company's shares and its equity-based hedge" attributed to Fairfax, Fairfax said that should reverse in future periods.
Watsa secured capital position of the company in the year 2010 and investment losses in the fourth quarter of this year took, as stock markets rose.
For the quarter, the insurer has a technical loss of 292,8 million due to the higher claims. For the full year Fairfax took $1 billion catastrophe losses related to events, the Japanese earthquake, floods in Thailand, United States tornadoes, New Zealand earthquake and Hurricane Irene.
Since the acquisition of the company in 1985, Watsa has built a reputation as a smart contrarian investor by moves like betting against the U.S. housing market over the last ten years and reap billions when the market collapsed.
Recently, he has a significant position in research in the movement and Board was resigned in the BlackBerry maker appointed last month co-CEOs Jim Balsillie and Mike Lazaridis as part of a front-office shakeup in which.
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