Fairfax seen as shelter from the storm

The worse the credit crunch gets, the more you can expect to see stories about Fairfax Financial Holdings (FFH/NYSE). The reason is Fairfax holding credit default swaps in its investment portfolio.

Barbara Shecter of the Financial Post in Canada writes an article discussing all this. One bit:

Prem Watsa, the chairman and chief executive of Fairfax, indicates that putting the brakes on the mounting crisis won't be easy. "We believe the current financial turmoil and market correction may still be in the early stages," Mr. Watsa said yesterday from Hong Kong in the midst of a business trip that also includes a stop in India.