Invite ye felawes and frendes desirous in gold to enter the gates of Shrewd'm, for they will thanke ye later.
- Manlobbi
Investment Strategies / Mechanical Investing❤
No. of Recommendations: 6
I know there are a few MKL folk hanging out here.
Down 10% this morning as I type. My best guess is Mr. Market did not like seeing a 106 combined ratio in Q4. This on the heels of recurring soft performance from their insurance division for a while now. Pretty uncharacteristic historically.
Hope Ajit and his team have somewhat better news for Q4. Doesn't seem to be alot of forgiveness out there.
There is a MKL Shrew'd board if anyone wants to take the discussion over there.
Cheers everyone!
m
No. of Recommendations: 9
Hope Ajit and his team have somewhat better news for Q4.
Ajit should have extremely good results for Q4 given that the rest of his 'extremely unbalanced' Florida risk will be officially recognized as profit. GEICO should also show another profitable quarter. In general I would expect Q4 to be a very good underwriting profit quarter for BRK and will probably be the source of any errors in people currently estimating year-end book value.
No. of Recommendations: 14
Frustrated owner here. I’ve patiently owned MKL and appreciate the fact they are trying to be a smaller version of BRK and seem to have a talented CEO and vision. Bought MKL almost exactly 8 years and also bought BRK at that time (2/2016). Results:
MKL +71% 7.0% CAGR
BRK +201% 15.25% CAGR
WOW! Sighing & holding for now, but for the last 3 years or so I’ve thought about selling my MKL for more BRK. If was in a retirement account, I would have already done it. Thank goodness the overall BRK position over the years dwarfs MKL, but the opportunity cost of that 2016 decision has been costly. Ajit and his team have spoiled us with his/their talents and performance compared to many competitors.
No. of Recommendations: 7
No. of Recommendations: 14
Sighing & holding for now, but for the last 3 years or so I’ve thought about selling my MKL for more BRK. Keep an eye on this graph, the
ratio of the two stock prices.
https://stockcharts.com/h-sc/ui?s=MKL%3ABRK%2FB&p=...If you're going to make the switch, try to do it on a day that the line is relatively high or at least below trend, not relatively low. i.e., not today!
This view cancels out the background movement of the prices and broad market dips, concentrating only on the relative movement of the two.
If you're thinking of moving money from one stock to another, it doesn't really matter if they're both expensive or both cheap...you just want a good ratio.
Though I guess in a taxable account it's slightly better if they're both cheap, but BRK is cheaper.
Jim
No. of Recommendations: 0
If you're going to make the switch, try to do it on a day that the line is relatively high
I think you mean to make the switch when the line is relatively low, as in today. I believe the plotted value is MKL/BRKB, so you want relatively cheap MKL value when switching from BRKB to MKL.
No. of Recommendations: 4
If you're going to make the switch, try to do it on a day that the line is relatively high
===
I think you mean to make the switch when the line is relatively low, as in today. I believe the plotted value is MKL/BRKB, so you want relatively cheap MKL value when switching from BRKB to MKL.
That would make sense, except that the poster wanted to switch from MKL to BRK.B, so you want a high MKL price relative to BRK.B
No. of Recommendations: 1
Yes, of course. You're right. I was looking at it from my own perspective which is should I consider switching into MKL, which led to my confusion.
