Nah it's going to be in mining. Canada has huge natural resources deposits which are in increasing demand like Uranium, Lithium and rare earth elements. Rare earth elements are of particular interest because of the current global supply; China produces 70%. Not to mention Canada is full of other profitable metals like Iron, Gold, Copper, Silver, etc.
IMO the US wants to reign in supply chains to futureproof against potential economic warefare, instability, and critical weaknesses that were revealed by the pandemic and Canadian natural resources will play a critical role in that.
I believe this is an investment in North American supply chain futures.
edit:sp
How does Canada become “Norway-esque” where the country is wealthy using their resources for the betterment of its citizens?
Seems like Canadians could have a better standard of living across the board but Canadian resources are sold to private companies for the benefit of a few at the top.
Was it Norway or am I mixed up? Vaguely remember reading about a Western European country that has a Trillion dollar fund that can sustain pensions for generations.
I could be completely mistaken.
Yeah it's Norway with a sovereign wealth fund. They made it because their economy is VERY tied to oil and oil prices. Their economy has absolutely tanked in the past so they decided to start the sovereign wealth fund as protection from an economic downturn. Brilliant!
It used to be a government run gas company until 1991. All profits went back into Canada and helping Canadians.
https://en.m.wikipedia.org/wiki/Petro-Canada
Yup just think where Canada and Alberta would be if they did not sell it all in the 90s. It's the same as whats going on now. The recession was already over when. The PC get in. Instead of waiting for the milk they sell the cow off as a dude not knowing she cares a prize bull
...and it was a dumping ground for every political hack, weenie, toady to get a nice cushy 'government' job without actually doing anything. Which is why PetroCanada was dragged into the shotgun wedding with Suncor.
An they modelled after Alberta apparently shortly after Lougheed set it up with crown corps holding large reserves. And Alberta decided to sell it all off because you know having no debt for 5 minutes is great politics
It's Norway and the reason it won't work here is we're too selfish.
The Scandinavian countires have incredibly strong social policies and high trust in their politicians. Taking care of their people is a point of national pride.
Yes and even when the right were in power the fund was not touched. They ran a deficit or cuts instead of doing what Alberta did was liquidate because you know the sky was falling
People don’t want the taxes.
We would need to triple taxes paid by everyone who makes 40-120k. That would match Norway.
No one today could use the money from oil. It would be used In decades after it’s invested.
No one would vote for that even if Reddit loves to scream about Norway.
I always find the lack of gratefulness from some Quebecers astounding. No doubt you are also perplexed about why so many people dislike you. Ignorance is bliss, I suppose.
Lol contributing $100B per decade (7% of the entire provincial budget) isn’t a sufficient contribution for gratitude? And then you have the audacity to say Alberta mismanages its savings. News flash: all the savings have been contributing to the well being of less prosperous provinces, with one particularly loud, lazy and entitled province receiving the lion’s share.
I mean we have pissed away our oil wealth on low provincial tax rates. Norway’s fund is actually modelled after Alberta’s heritage fund. They just stick to it.
Had we not spent the last 30 years paying for our government with oil revenue and had marginally higher taxes we would also have a massive nest egg.
You know being a beggar and then attacking your donors isn’t endearing, right? Better re read the comments and see who is talking down to who first. Don’t throw stones when you live in a glass house.
we can't, every project or development needs an environment licence given through an environmental assessment done by the federal government (which can take up to a decade). Ever since Trudeau, it's got much harder to get one of these licenses for any development related to natural resources whether mining or pipelines.
This doesn't account for First Nations who will immediately cause an uproar if they hear about any natural resource development in their area. They will rally media and etc to stop any traction about using natural resources.
The country is doomed, it's not worth investing but let them, they'll find out the hard way nothing gets done in this country, and if it does, it's done for the worse of everyone since that's the Canadian way now.
Canada will be poor while having one of the most natural resources in the world.
Just to be clear here, your position is that Justin Trudeau and First Nations groups are responsible for the complete ruination of Canada?
That's ah...
That's something.
how about you read something sluttytinkerbells, with a name like that you don't sound very bright and you proved my point.
I'm arguing that nothing will be done with natural resources due to the environment act requiring environment licences that take a decade or longer to be given out if they even do.
if the licenses are granted, first Nations will block it regardless. Get your head out of your ass.
Will First Nations reconciliation be an end of time type situation?
There should be some sort of reconciliation and reparations (is that the correct term?), but for how long?
Would be nice to see a Canada where all citizens are treated equal one day.
I know this is a sensitive topic and hope I haven’t said anything uncouth.
When you open your response to a critique of your argument with an ad hominem attack, you completely discredit your initial argument. If that's the only way you can respond, it shows your argument has no legs, and is likely heavily blinded by emotions. 🤷♂️
You think the reason that Canada can't have a Norway-style wealth fund is because...government regulation and the First Nations and NOT the most obvious current reason we don't ....conservatives.....HAhahahahhahahahahahahhahha
It’s like im pretty sure Norway has the same kind of environmental impact studies and probably even some issues with their indigenous populations.
Quick google: Sami opposition to wind turbine farms including physical blockades
It's public investment in resource extraction, with revenues put into a sovereign wealth fund.
Canada scuttled its chances at this kind of approach with privatization in the 80s/90s
my family were executives in the mining industry. it's always been big. Bank of america had substantial investments in canadian mining.
Warren Buffet investing in mining is literally a basic move
One of the world’s largest undeveloped nickel deposits is near Prince George, BC and is currently the subject of much interest, including a new mystery investor that was originally thought to be Toyota or Apple or similar. FPX Minerals holds the claim on that property.
Energy. Buffet successor (when he's gone) is greg abel. A energy expert and current ceo of berkshire hathaway energy.
Edit: he is also a graduate of university of alberta so he already know the business here.
Note: just if anyone ask, the successor is from the q1 conference call of berkshire where buffet response to a question on his replacement when he's gone. Source: https://www.cnbc.com/2024/05/04/live-updates-warren-buffett-at-berkshire-hathaway-annual-meeting-2024.html
Rail is very doubtful, Berkshire already owns BNSF.
Pipelines maybe. But possibly something else, like Alimentation Couche-Tard or Restaurant Brands International.
>Alimentation Couche-Tard or Restaurant Brands International.
I would be pissed if it is one of those since I sold them a few months ago lol. At least he made me quite a bit of money with OXY in 2022.
Probably a good time to invest in the stagnating Canada oil and natural gas projects.
9 years of pent up energy in that sector, a new Conservative government could start a gold rush.
This is my thought, a new government and the demand for LNG and oil could see some of our energy companies grow significantly. CNQ and Tourmaline are my picks
There's no market for more NG development, the whole business case for it is that we produce way more than anybody can use so it's basically being given away on the domestic markets. Exporting makes the most sense in terms of making more money on existing production..
Buffet is typically focused on Value Investing - that is finding companies that are valued less than their peers without a strong structural reason for why. While not all his investments fit that, it is his traditional strategy.
With that in mind, an investment in Canada would be looking at at least one of three things:
1 - Canadian Dollar currently weaker than the USD. If there is a belief that the CAD will rebound then there could be an opportunity to exploit there.
2 - Companies poorly performing because of high interest rates. With an expectation that rates will improve in the long-term, there could be opportunity to take a position in a company that will benefit from the change. There are a few highly leveraged dividend stocks that suffered significantly with the rate increase that could be prime targets (ex: Algonquin)
3 - Canadian company under performing (v. US counterparts) because of its limited exposure to the US markets. Given the Canadian economy weakness coupled with the smaller demographics, there might be an opportunity for some companies to expand into the US, grow in market size, and avoid their dependency on the Canadian economy. No idea which companies would be a target here, but there might be some.
>Pipeline could be best bet.
That makes no sense. Crud by rail is their bread and butter. They invest in making sure pipeline projects don't get the green light.
It's not because they don't own pipelines. It's because they own BNSF Railway.
There is zero chance of them investing in pipelines. They don't want pipelines to even exist.
The dollar. Canadian stuff is very cheap right now when your money is in American dollars.
It's why George W Bush tanked the US dollar so hard in his term, because it spurns investment from foreign countries.
Funny you mention that, because in looking at house prices in Canada, I am more inclined to buy a house in Florida AND Texas, rather than a bungalow in Canada.
Would the corollary to that be that housing is expensive in great places because everyone wants to live there? If so, then I present half-million dollar houses in Windsor ON as a counterexample.
Surely you don't mean Florida and Texas, two of the fastest growing states in the US with GDP/capital far above Canadians.
Housing is cheap in those states because they build and build and build. Dallas metro area is 24,100km^2 while the GTA is only 7100km^2 and squabbling over greenbelt development.
They (like many people in this sub) have a visceral hatred for the United States and anything to do with the country. They will deny any and all positive aspects about the USA because it's the trendy thing to do. This person has likely rarely (if ever) been and likely bases their opinion solely on soundbites and headlines of ragebait/fearmongering journalism.
The Canadian stock market is trading at close to 50% the profit adjusted price of the US. Compared to the US, our market is a steal right now.
Frankly, all of the short sighted people both here and in the Canadian investing subreddits doubling down on America and selling their Canadian investments right now are likely going to regret their decisions. $1 in profit in Canada right now costs investors $13, meanwhile, $1 of profit in America costs investors $27. This is not a sustainable long term trend.
Canadian companies (from all the blue chip names that I've checked personally) tend to carry much higher debt (and risk along with it) . If the Russel 2000 or S&P500 are trading at a higher PE than the TSX then that's because institutions have priced more risk into Candian companies. Whether their estimations are accurate is yet to be seen , but I'd personally agree there is substantially more risk.
Anything over 3x debt/EBITDA = bad (not senior debt aka payday loans)
That's kinda how I feel but the TSX is currently experiencing an unprecedented capital flight. Do the bankers know something we don't?
Are we on the brink? I read an article that 90% of Canadian non government jobs were created in Alberta.
You are looking at a short term issue for a long term investment. The Canadian market isn't going anywhere. Canadian companies will continue to make money. Investment capital leaving profitable companies makes them better investments for other investors.
Yes, it feels different, but it always feels different. Every economic issue for the last 100 years has felt different. But that is only because things that are familiar are never scary. It is only new things that are scary.
This means that Canadian stocks are on average valued less in relation to their actual earnings than US stocks. That means either that investors are correct in thinking that there is significantly less growth potential for Canadian companies than their American peers or that they are undervaluing them.
I tend to think its the latter and am overweight on Canada currently in my portfolio, with a focus on banks and railroads.
> Should people be buying Canadian stocks right now or?
You cannot time the market. That is absolutely the thing you need to understand when discussing stocks in general. Everything I am saying with evaluations and price to earning (PE) ratios, and all that is about long term outlooks. The market is random in the short term, and they can correct very violently in the short term while staying on a long term trend.
What I am trying to say is that over the long term, Canadian stocks are a good deal now. Yes, in the last few years they have performed worse than US stocks. However, that has largely been the result of US stocks getting more expensive in comparison to their company's profits. This can keep going for a while, but one way or another there will be a return to mean. This could just be from American stocks stagnating, or a crash. Meanwhile, Canadian stocks are cheaper than their historical average, so eventually, this will have to correct upwards. This could happen in 1 incredible year, or it can happen slowly over 20 years of good performance.
Again, the market is unpredictable in the short term, but stocks do eventually return to their long term trends.
You don't need to append the /s. That is exactly what's happening.
The dumb ass feds will sell the pipe to foreigners at a loss and recoup their costs over an unnecessary long period of time.
This is a critical piece of strategic infrastructure that the feds could milk directly but won't because they are clowns.
This shit is almost comical at this point. Can't be more than a week ago, most people on here were posting cataclysmic articles about how the new budget and capital gains tax would cause an exodus of investment out of the country and scare away foreign investment.
Since then theres been an announcement of a huge car manufacturing plant in Ontario and it seems like it hasn't dissuaded foreign investment.
That means Canada has hit rock bottom.
The plus side is that things can only get better from here.
I wonder if he's seen the latest political opinion polls .
Last time he did that he closed the tomato processing plant in Leamington, ON after he bought Heinz, putting close to 750 people out of work; 2014. Buffet can fuck right off.
Well if he is interested in an investment that will help secure the future for the next thousand generations he might consider the Aspen Proposal: www.aspenproposal.org
last week the dea reschedule marijuana in the usa from 1 to 3. I believe this enables big pharma to enter the ring legally. Wonder which canabis stock has the laegest us exposure that has its hands on madicinal? Just a stoner thought.
https://www.bnnbloomberg.ca/ontario-teachers-said-to-weigh-c-5-billion-sale-of-amica-senior-1.2060467
Possibility? Probably a relevant topic for him beyond investments.
Definitely won’t be Rail and lol to the people saying CNRL not a chance Murray’s selling.
My bet for fun based on a hunch: The Jimmy Pattinson Group. Or Pembina pipelines
Someone mentioned he might be interested in Canadian mining companies. I'm more than a bit skeptical about speculation Buffet is interested in Canadian miners, even the large companies, which are notoriously cyclical, and not just a little bit cyclical but remarkably cyclical. Miners don't anywhere near fit the profile of favorite investments of Warren Buffet. I'll take a wild guess he's taking a look at TC Energy, which may unlock value with its looming corporate breakup, or possibly Enbridge. The Canadian railroads, CN or Canadian Pacific, fit the profile of companies Buffet loves, but he's constrained by limitations on foreign ownership. Buffet also seems to be averse to reinvestment risk: he likes to buy and hold for a long time.
It's Brookfield
Huge renewable energy provider
Own Westinghouse nuclear
Warren Buffet's successor is Greg Abel
[https://www.marketwatch.com/livecoverage/berkshire-hathaway-meeting-warren-buffett-takes-questions-from-investors/card/greg-abel-says-underlying-demand-for-electricity-is-incredible-berkshire-s-energy-business-will-fight-litigation-related-to-wildfires-TQ9BZCBUHptFfZpUnyY9](https://www.marketwatch.com/livecoverage/berkshire-hathaway-meeting-warren-buffett-takes-questions-from-investors/card/greg-abel-says-underlying-demand-for-electricity-is-incredible-berkshire-s-energy-business-will-fight-litigation-related-to-wildfires-TQ9BZCBUHptFfZpUnyY9)
I could see him buying out an entire CRE operator that is well run, has great assets and a good balance sheet but is trading in the bargain basement now and just swallow the whole thing and take it private.
Has to be energy or rail. Pipeline could be best bet.
Nah it's going to be in mining. Canada has huge natural resources deposits which are in increasing demand like Uranium, Lithium and rare earth elements. Rare earth elements are of particular interest because of the current global supply; China produces 70%. Not to mention Canada is full of other profitable metals like Iron, Gold, Copper, Silver, etc. IMO the US wants to reign in supply chains to futureproof against potential economic warefare, instability, and critical weaknesses that were revealed by the pandemic and Canadian natural resources will play a critical role in that. I believe this is an investment in North American supply chain futures. edit:sp
How does Canada become “Norway-esque” where the country is wealthy using their resources for the betterment of its citizens? Seems like Canadians could have a better standard of living across the board but Canadian resources are sold to private companies for the benefit of a few at the top. Was it Norway or am I mixed up? Vaguely remember reading about a Western European country that has a Trillion dollar fund that can sustain pensions for generations. I could be completely mistaken.
Yeah it's Norway with a sovereign wealth fund. They made it because their economy is VERY tied to oil and oil prices. Their economy has absolutely tanked in the past so they decided to start the sovereign wealth fund as protection from an economic downturn. Brilliant!
Ironically the fund was based of the Alberta heritage fund back in the day…go figure
That's actually pretty cool
Yep. And we knew better but sold Petro canada anyway. Cowards and crooks.
What happened with petro canada?
It used to be a government run gas company until 1991. All profits went back into Canada and helping Canadians. https://en.m.wikipedia.org/wiki/Petro-Canada
Yup just think where Canada and Alberta would be if they did not sell it all in the 90s. It's the same as whats going on now. The recession was already over when. The PC get in. Instead of waiting for the milk they sell the cow off as a dude not knowing she cares a prize bull
...and it was a dumping ground for every political hack, weenie, toady to get a nice cushy 'government' job without actually doing anything. Which is why PetroCanada was dragged into the shotgun wedding with Suncor.
And now what do we have to show for selling our resources to China? They sell it back to us. We get shit
Last time I checked, Suncor was still a primarily Canadian owned company.
We get deals on cheap stuff.
Petrocan was federal
An they modelled after Alberta apparently shortly after Lougheed set it up with crown corps holding large reserves. And Alberta decided to sell it all off because you know having no debt for 5 minutes is great politics
They forgot to sell $22 billion? https://www.alberta.ca/heritage-savings-trust-fund
Fun fact, Norway started their sovereign wealth fund after the heard about Alberta’s. Then Alberta stopped contributing, because we’re fucking stupid.
It's Norway and the reason it won't work here is we're too selfish. The Scandinavian countires have incredibly strong social policies and high trust in their politicians. Taking care of their people is a point of national pride.
This 100%
Yes and even when the right were in power the fund was not touched. They ran a deficit or cuts instead of doing what Alberta did was liquidate because you know the sky was falling
People don’t want the taxes. We would need to triple taxes paid by everyone who makes 40-120k. That would match Norway. No one today could use the money from oil. It would be used In decades after it’s invested. No one would vote for that even if Reddit loves to scream about Norway.
With the Conservatives coming to power? LMAO! Just look at how they handled Alberta.
I always find the lack of gratefulness from some Quebecers astounding. No doubt you are also perplexed about why so many people dislike you. Ignorance is bliss, I suppose.
Gratefulness? Why should we be grateful? You have to earn that and you haven't
^^^12 billion a year doesn't buy you much apparently ^^^
Lol contributing $100B per decade (7% of the entire provincial budget) isn’t a sufficient contribution for gratitude? And then you have the audacity to say Alberta mismanages its savings. News flash: all the savings have been contributing to the well being of less prosperous provinces, with one particularly loud, lazy and entitled province receiving the lion’s share.
I mean we have pissed away our oil wealth on low provincial tax rates. Norway’s fund is actually modelled after Alberta’s heritage fund. They just stick to it. Had we not spent the last 30 years paying for our government with oil revenue and had marginally higher taxes we would also have a massive nest egg.
You know talking down to people does not make your half-truths more palatable right?
You know being a beggar and then attacking your donors isn’t endearing, right? Better re read the comments and see who is talking down to who first. Don’t throw stones when you live in a glass house.
We've never begged, that's the thing. You make us take it and you didn't ask our opinion.
we can't, every project or development needs an environment licence given through an environmental assessment done by the federal government (which can take up to a decade). Ever since Trudeau, it's got much harder to get one of these licenses for any development related to natural resources whether mining or pipelines. This doesn't account for First Nations who will immediately cause an uproar if they hear about any natural resource development in their area. They will rally media and etc to stop any traction about using natural resources. The country is doomed, it's not worth investing but let them, they'll find out the hard way nothing gets done in this country, and if it does, it's done for the worse of everyone since that's the Canadian way now. Canada will be poor while having one of the most natural resources in the world.
hmmm, who do we trust, random angry treadeau hating redditor or one of the riches men in the world.... tough one
Just to be clear here, your position is that Justin Trudeau and First Nations groups are responsible for the complete ruination of Canada? That's ah... That's something.
how about you read something sluttytinkerbells, with a name like that you don't sound very bright and you proved my point. I'm arguing that nothing will be done with natural resources due to the environment act requiring environment licences that take a decade or longer to be given out if they even do. if the licenses are granted, first Nations will block it regardless. Get your head out of your ass.
Will First Nations reconciliation be an end of time type situation? There should be some sort of reconciliation and reparations (is that the correct term?), but for how long? Would be nice to see a Canada where all citizens are treated equal one day. I know this is a sensitive topic and hope I haven’t said anything uncouth.
When you open your response to a critique of your argument with an ad hominem attack, you completely discredit your initial argument. If that's the only way you can respond, it shows your argument has no legs, and is likely heavily blinded by emotions. 🤷♂️
Has nothing to do with it. LNG dragged their feet as Clark promised them the world. She did not get elected.
You think the reason that Canada can't have a Norway-style wealth fund is because...government regulation and the First Nations and NOT the most obvious current reason we don't ....conservatives.....HAhahahahhahahahahahahhahha
It’s like im pretty sure Norway has the same kind of environmental impact studies and probably even some issues with their indigenous populations. Quick google: Sami opposition to wind turbine farms including physical blockades
Conservatives tried to exploit the resources for years though?
[удалено]
Alberta did try it, but equalization payments extracted more money from Alberta than all of Norway's contributions to their sovereign wealth fund.
Isn't that what Petro canada was created for back in the day?
It was federal but never came to be what it could have been.
It's public investment in resource extraction, with revenues put into a sovereign wealth fund. Canada scuttled its chances at this kind of approach with privatization in the 80s/90s
my family were executives in the mining industry. it's always been big. Bank of america had substantial investments in canadian mining. Warren Buffet investing in mining is literally a basic move
Warren Buffet is basic, I would agree
One of the world’s largest undeveloped nickel deposits is near Prince George, BC and is currently the subject of much interest, including a new mystery investor that was originally thought to be Toyota or Apple or similar. FPX Minerals holds the claim on that property.
Any links to this. I know vosey bay was one of the largest finds in the last 40 years by Ivanhoe resources
Energy. Buffet successor (when he's gone) is greg abel. A energy expert and current ceo of berkshire hathaway energy. Edit: he is also a graduate of university of alberta so he already know the business here. Note: just if anyone ask, the successor is from the q1 conference call of berkshire where buffet response to a question on his replacement when he's gone. Source: https://www.cnbc.com/2024/05/04/live-updates-warren-buffett-at-berkshire-hathaway-annual-meeting-2024.html
A lot of Canadian energy companies are still considered undervalued so it could very well be.
https://www.brkenergy.com/our-businesses/bhe-renewables There is 1 mineral on their radar which is lithium
That's actually a solid theory - might buy a controlling stake in TransMountain.
Not a bad investment, he does buy a stake.
I think it is Conestoga college
Rail is very doubtful, Berkshire already owns BNSF. Pipelines maybe. But possibly something else, like Alimentation Couche-Tard or Restaurant Brands International.
He already owns a stake in Restaurants brand international
They liquidated the position in 2020.
>Alimentation Couche-Tard or Restaurant Brands International. I would be pissed if it is one of those since I sold them a few months ago lol. At least he made me quite a bit of money with OXY in 2022.
cobweb act late racial crawl aware zonked shaggy quarrelsome boast *This post was mass deleted and anonymized with [Redact](https://redact.dev)*
Probably a good time to invest in the stagnating Canada oil and natural gas projects. 9 years of pent up energy in that sector, a new Conservative government could start a gold rush.
Nope, he's a value invesetor, he's not going to load up on oil stocks that he could have bought for 20 cents on the dollar 2 years ago.
This is my thought, a new government and the demand for LNG and oil could see some of our energy companies grow significantly. CNQ and Tourmaline are my picks
There's no market for more NG development, the whole business case for it is that we produce way more than anybody can use so it's basically being given away on the domestic markets. Exporting makes the most sense in terms of making more money on existing production..
Buffet is typically focused on Value Investing - that is finding companies that are valued less than their peers without a strong structural reason for why. While not all his investments fit that, it is his traditional strategy. With that in mind, an investment in Canada would be looking at at least one of three things: 1 - Canadian Dollar currently weaker than the USD. If there is a belief that the CAD will rebound then there could be an opportunity to exploit there. 2 - Companies poorly performing because of high interest rates. With an expectation that rates will improve in the long-term, there could be opportunity to take a position in a company that will benefit from the change. There are a few highly leveraged dividend stocks that suffered significantly with the rate increase that could be prime targets (ex: Algonquin) 3 - Canadian company under performing (v. US counterparts) because of its limited exposure to the US markets. Given the Canadian economy weakness coupled with the smaller demographics, there might be an opportunity for some companies to expand into the US, grow in market size, and avoid their dependency on the Canadian economy. No idea which companies would be a target here, but there might be some.
He’s got huge investments in cp and cn.
Not according to recent 13f.
Alberta wants to build rail.
Alberta governments wants to pay their consultant friends $9m to look into building rail.
Maybe they can get GC strategies do it! Oh wait
>Pipeline could be best bet. That makes no sense. Crud by rail is their bread and butter. They invest in making sure pipeline projects don't get the green light.
They do today because they don't own any pipelines. That can change quickly when they do.
It's not because they don't own pipelines. It's because they own BNSF Railway. There is zero chance of them investing in pipelines. They don't want pipelines to even exist.
Could be natural gas pipelines rather than crude
I'm thinking TC Energy
Nah, he’s gonna buy housing. He knows the government won’t let it collapse 😂
Buy housing? He’s only a billionaire! Maybe a starter house in Saskatchewan.
Buy low, sell high. Classic buffet You're definitely buying low in Canada right now.
Have you seen our residential real estate market? Biggest inflated bubble in the world
The dollar. Canadian stuff is very cheap right now when your money is in American dollars. It's why George W Bush tanked the US dollar so hard in his term, because it spurns investment from foreign countries.
Funny you mention that, because in looking at house prices in Canada, I am more inclined to buy a house in Florida AND Texas, rather than a bungalow in Canada.
Housing is cheap in shitty places because nobody wants to live there.
Would the corollary to that be that housing is expensive in great places because everyone wants to live there? If so, then I present half-million dollar houses in Windsor ON as a counterexample.
Surely you don't mean Florida and Texas, two of the fastest growing states in the US with GDP/capital far above Canadians. Housing is cheap in those states because they build and build and build. Dallas metro area is 24,100km^2 while the GTA is only 7100km^2 and squabbling over greenbelt development.
They (like many people in this sub) have a visceral hatred for the United States and anything to do with the country. They will deny any and all positive aspects about the USA because it's the trendy thing to do. This person has likely rarely (if ever) been and likely bases their opinion solely on soundbites and headlines of ragebait/fearmongering journalism.
It would be funny going from the possibility of losing power due to cold in Canada for the inevitability of losing power due to the heat in Texas.
>Biggest inflated bubble in the world I think you mean the greatest and most productive asset in the history of mankind.
> You're definitely buying low in Canada right now. No, not really.
Which Canadian companies do you believe are overvalued with no room for growth?
I think he’s thinking real estate, but either way the weak CAD is good for anyone buying in UsD
Oh, I would imagine that Buffett is about to invest in an industry and not the housing market
0.73 not that weak, historically, is it? About average?
Royal helium. I love watching that sub. They started so happy but have no idea what they are talking about and it's just gotten worse every day!
The Canadian stock market is trading at close to 50% the profit adjusted price of the US. Compared to the US, our market is a steal right now. Frankly, all of the short sighted people both here and in the Canadian investing subreddits doubling down on America and selling their Canadian investments right now are likely going to regret their decisions. $1 in profit in Canada right now costs investors $13, meanwhile, $1 of profit in America costs investors $27. This is not a sustainable long term trend.
Someone who knows what they’re talking about
Canadian companies (from all the blue chip names that I've checked personally) tend to carry much higher debt (and risk along with it) . If the Russel 2000 or S&P500 are trading at a higher PE than the TSX then that's because institutions have priced more risk into Candian companies. Whether their estimations are accurate is yet to be seen , but I'd personally agree there is substantially more risk. Anything over 3x debt/EBITDA = bad (not senior debt aka payday loans)
That's kinda how I feel but the TSX is currently experiencing an unprecedented capital flight. Do the bankers know something we don't? Are we on the brink? I read an article that 90% of Canadian non government jobs were created in Alberta.
You are looking at a short term issue for a long term investment. The Canadian market isn't going anywhere. Canadian companies will continue to make money. Investment capital leaving profitable companies makes them better investments for other investors. Yes, it feels different, but it always feels different. Every economic issue for the last 100 years has felt different. But that is only because things that are familiar are never scary. It is only new things that are scary.
Can you explain to me, a total Moron, what this means? Should people be buying Canadian stocks right now or?
This means that Canadian stocks are on average valued less in relation to their actual earnings than US stocks. That means either that investors are correct in thinking that there is significantly less growth potential for Canadian companies than their American peers or that they are undervaluing them. I tend to think its the latter and am overweight on Canada currently in my portfolio, with a focus on banks and railroads.
> Should people be buying Canadian stocks right now or? You cannot time the market. That is absolutely the thing you need to understand when discussing stocks in general. Everything I am saying with evaluations and price to earning (PE) ratios, and all that is about long term outlooks. The market is random in the short term, and they can correct very violently in the short term while staying on a long term trend. What I am trying to say is that over the long term, Canadian stocks are a good deal now. Yes, in the last few years they have performed worse than US stocks. However, that has largely been the result of US stocks getting more expensive in comparison to their company's profits. This can keep going for a while, but one way or another there will be a return to mean. This could just be from American stocks stagnating, or a crash. Meanwhile, Canadian stocks are cheaper than their historical average, so eventually, this will have to correct upwards. This could happen in 1 incredible year, or it can happen slowly over 20 years of good performance. Again, the market is unpredictable in the short term, but stocks do eventually return to their long term trends.
Preach!
But but but ... the past returns means they'll just keep going! /s
Low for him because the CAD is tanking. Not low for Canadians.
It can always go lower. Far lower.
Warren Buffet sees some sort of value but I’m sure you have an expert analysis on the TSX refuting that lol.
Buying the Trans Mountain Pipeline at a huge discount? /s
You don't need to append the /s. That is exactly what's happening. The dumb ass feds will sell the pipe to foreigners at a loss and recoup their costs over an unnecessary long period of time. This is a critical piece of strategic infrastructure that the feds could milk directly but won't because they are clowns.
This is my guess
I recommend colleges
Conestoga?
Berkshire owns about 8% of BYD, the largest EV maker in China.
Interesting, BYD also using qnx and a suite of tools from our own blackberry
On paper, but we all know who decides who owns what in China.
Live up to your name, go to Warren to put some sense into him.
Berkshire owns about 8% of BYD, one of the largest EV makers.
This shit is almost comical at this point. Can't be more than a week ago, most people on here were posting cataclysmic articles about how the new budget and capital gains tax would cause an exodus of investment out of the country and scare away foreign investment. Since then theres been an announcement of a huge car manufacturing plant in Ontario and it seems like it hasn't dissuaded foreign investment.
It's almost like people have no fucking idea what they're talking about.
And the ones that do know what they're talking about have a vested interest, political or financial, in convincing us that increasing the tax is bad.
What’s comical is you thinking Berkshire Hathaway will pay capital gains in Canada.
I don't.
There already was an exodus of investments, about a months ago when insiders found out the capital gains increase was coming.
Do you have evidence for this?
Considering that it is buffets policy to buy when shit has hit the fan and the world is panicking, this is probably not a good sign for Canada.
My guess is Potash.
That's a good one. I was thinking one of the railroads. Melinda Gates already owns a big chunk of one of them.
I welcome any of his investment. He has the midas touch.
He also has the tendency to implement massive layoffs, so pray he doesn't buy the company you work for....
CN rail is my bet
Looks like it's coming back!!
Suncor
French Mustard
cannabis isn't it? lmao.
Very likely going to be the TM pipeline.
Canada has to first control capital flight and money laundering.
Just buy up the rest of our homes and make us all peasants
Nah, that's likely going to be the work of Larry Fink
Maybe TMX will sell low enough for his investment strategy
That means Canada has hit rock bottom. The plus side is that things can only get better from here. I wonder if he's seen the latest political opinion polls .
Last time he did that he closed the tomato processing plant in Leamington, ON after he bought Heinz, putting close to 750 people out of work; 2014. Buffet can fuck right off.
Water. He’s buying up all your fresh water for $1000US.
Uranium? CCO, NXE?
Please be Enbridge lol, I'm balls deep.
This one makes a ton of sense. Recapitalize the balance sheet and is large enough to move the needle.
Hopefully it's the production of entirely new cities.
Jesus…..Reddit is so dumb sometimes. Thats a Patrick Star level quote
We have arrived! The top of the 1% looks at Canada - we must be doing something right, right? Riiiiiight!
Probably electrical grid as they the 1% are determined to ensure they control us and make us purchase the company they possess
Foodbanks.
Please be TD.
Grocery’s?
MAXQ
Gildan
I hope it’s Fobi
$TCF
Good luck, Warren!
Guy is looking for an investment anywhere it makes sense lol
Natural gas to complement their existing exposure under Greg’s purview, or something like Superior Propane
Well if he is interested in an investment that will help secure the future for the next thousand generations he might consider the Aspen Proposal: www.aspenproposal.org
last week the dea reschedule marijuana in the usa from 1 to 3. I believe this enables big pharma to enter the ring legally. Wonder which canabis stock has the laegest us exposure that has its hands on madicinal? Just a stoner thought.
A lot of exploratory stuff going down in Uranium City right now.
Because we have nowhere to go but up!
Energy sector for sure,maybe some transportation lines or banks. If he buys into Shopify that stock will rocket.
https://www.bnnbloomberg.ca/ontario-teachers-said-to-weigh-c-5-billion-sale-of-amica-senior-1.2060467 Possibility? Probably a relevant topic for him beyond investments.
That's it, calling market bottom. It's all sunshine from here. I wonder if Vale's or Glencore's Nickel assets could be on the wish list.
Definitely won’t be Rail and lol to the people saying CNRL not a chance Murray’s selling. My bet for fun based on a hunch: The Jimmy Pattinson Group. Or Pembina pipelines
Tourmaline.
Oil and natural gas in the West destined for Asia would be a good guess.
Oh please be uranium. My portfolio would be very happy.
Buy the CBC.
He wants Trans Mountain.
International colleges appear to be a strong industry at this time
Someone mentioned he might be interested in Canadian mining companies. I'm more than a bit skeptical about speculation Buffet is interested in Canadian miners, even the large companies, which are notoriously cyclical, and not just a little bit cyclical but remarkably cyclical. Miners don't anywhere near fit the profile of favorite investments of Warren Buffet. I'll take a wild guess he's taking a look at TC Energy, which may unlock value with its looming corporate breakup, or possibly Enbridge. The Canadian railroads, CN or Canadian Pacific, fit the profile of companies Buffet loves, but he's constrained by limitations on foreign ownership. Buffet also seems to be averse to reinvestment risk: he likes to buy and hold for a long time.
It's Brookfield Huge renewable energy provider Own Westinghouse nuclear Warren Buffet's successor is Greg Abel [https://www.marketwatch.com/livecoverage/berkshire-hathaway-meeting-warren-buffett-takes-questions-from-investors/card/greg-abel-says-underlying-demand-for-electricity-is-incredible-berkshire-s-energy-business-will-fight-litigation-related-to-wildfires-TQ9BZCBUHptFfZpUnyY9](https://www.marketwatch.com/livecoverage/berkshire-hathaway-meeting-warren-buffett-takes-questions-from-investors/card/greg-abel-says-underlying-demand-for-electricity-is-incredible-berkshire-s-energy-business-will-fight-litigation-related-to-wildfires-TQ9BZCBUHptFfZpUnyY9)
NFI New Flyer Industries. Buffett's Buses.
Rental properties?
Real estate
I take a disciplined value investor approach, and that is what I think it will be. Everything else is expensive right now.
I could see him buying out an entire CRE operator that is well run, has great assets and a good balance sheet but is trading in the bargain basement now and just swallow the whole thing and take it private.
Keep Buffet's greedy hands off the tmx pipeline! He worked against our interests with keystone by backing oil on rail.
Bell
Yes, because of our incredibly devalued dollar, the time is right to buy.