As reported yesterday, on Monday I sold my Tokio Marine ADRs (TKOMY). I bought Tokio when the company was called Millea Holdings in January 2008 at $35.25. They were sold at $29.15, a loss of 17.3% not factoring in dividends.
Today I put the proceeds into EGI Financial Holdings, a Canadian property & casualty insurance company trading in Toronto under symbol EFH. I live in the US and bought the shares through my broker OTC under symbol EGFHF for USD $7.48.
EGI Financial mostly sells non-standard automobile insurance, plus some niche and specialty insurance products like travel policies. It's not a huge company, the market cap is about USD $88 million with roughly 11.7 million shares outstanding. Book value is USD $8.88 at end of the first quarter, so the stock is currently trading at a 15% discount. Those figures are based on today's exchange rate of one Canadian dollar equaling 87 US cents.
EGI Financial looks to have a strong balance sheet and top-notch management. But please do your own due diligence. Including, but not limiting yourself to, the company's fine website.
This is very informative. You managed to include good points!
Posted by: Sierra | May 21, 2009 at 07:51 AM
If it moves a few points up in stock price, it'll be a welcomed change, believe me ;-)
Posted by: John | May 21, 2009 at 08:03 PM