V. Prem Watsa

Early Life

V. Prem Watsa was born in Hyderabad, India, on August 5, 1950. He attended the Hyderabad Public School and later earned a degree in chemical engineering from the Indian Institute of Technology Madras in 1971.

Rise to Success

After graduating, Watsa moved to London, Ontario, Canada, and obtained an MBA from the Richard Ivey School of Business at the University of Western Ontario. He began his career at Confederation Life Insurance Co. in Toronto as a research analyst in 1974. In 1985, Watsa acquired control of Markel Financial, a small Canadian trucking insurance company. He then reorganized and renamed it Fairfax Financial Holdings in 1987. Under his leadership, Fairfax Financial has grown into a global insurance and investment company. From 1985 to the end of 2010, the firm had a compound growth rate of approximately 25% in book value per share (per year).

Key Business Strategies

Watsa's investment strategy is rooted in value investing, focusing on acquiring undervalued companies with strong fundamentals. Fairfax Financial's corporate objective is to achieve a 15% growth in book value per share over the long term. The company emphasizes disciplined underwriting and a value-oriented total return approach. Fairfax operates on the principle of "Fair and Friendly Acquisitions".

Philanthropy

Watsa is also involved in philanthropy, supporting education and various charitable causes.