Long Term Investing - With Baskin Wealth Management

0:00 – Introduction 4:09 – Why invest in Canadian compounders? 9:55 – How we define a compounder 15:45 – Why Compounders deserve to trade at high prices 24:50 – How we are reacting to Trudeau's resignation 29:00 – Update on Constellation Software going into 2025 38:13 – Does AI impact Constellation? 42:28 – Books we read during the holiday After taking a much-needed holiday, Barry and Ernest are back this week with a jam-packed episode. The discussion starts with a definition of a “compounder” with them breaking down the characteristics they look for when buying an investment that will compound. Next, they talk about the resignation of Prime Minister Justin Trudeau and what that means for Canadian investors. Then, the featured conversation about Constellation Software where they talk about Constellation’s plans to increase growth, its capital allocation policy, and the pros and cons of AI on its business model. A great episode ... as usual!

0:00: Introduction 1:30: managing your emotions in the markets 3:03:Hard to learn lessons in a bull market 5:29: Silliness in the market today 7:45:Sticking to our circle of competence 9:40: Year-End Wrap Discussion 12:37: Surprising strength in the TSX in 2024 14:08: A strong year for the Canadian Banks 18:30: Reviewing portfolio changes in 2024 for our clients 20:48: Garmin’s big year 24:52: Being patient on purchases 28:11: Reviewing the underperformers 34:40: Today’s losers can be tomorrow’s winners 36:08: Reviewing our top performers 40:58: Thoughts for 2025 Barry and Ernest are back with our final podcast of 2024. Not to worry, they will be back weekly in 2025! This is our year-end wrap show. Barry and Ernest review the high-lights and low-lights of the Baskin Wealth portfolio. They discuss the most surprising names in the portfolio as well as giving their thoughts on what might happen in 2025. Thank you very much for watching and listening and we wish you and your family a happy and healthy 2025.

0:00 Introduction 2:54 Market Bubble? 8:26 Getting Back into Meta 12:45 Thesis for Meta 13:31 Successful Pivots of Meta over the Years 16:15 What Makes Meta’s Social Media Apps Different? 17:53 AI Opportunity for Meta 24:56 Reality Labs of Meta as a Risk Factor 26:43 What Have We Changed Our Mind About Recently? 33:41 Small to Medium Caps in Baskin’s Strategy 37:59 Companies We Liked but Didn’t Invest In 43:32 How Do We Manage Currency Fluctuations for Our Clients This week, Barry and Ernest, review Baskin Wealth’s decision to buy back shares of Meta. They give an overview of the risks and opportunities for the company with a thoughtful conversation about Meta’s business pivots over the years, its AI goals and what is going on with Reality Labs. Then the show is all about you. Barry and Ernest answer several questions from the mailbag including a discussion on stocks they regret not buying and how Baskin Wealth manages currency fluctuations.

0:00 Intro 1:54 Trump’s tariff threats + challenges 9:34 How Tim Cook managed Trump’s first term 13:37 Have markets peaked? 15:29 Google’s challenges from antitrust and AI 26:25 Alimentation Couche-Tard’s earnings + update on 7 Eleven 35:02 Copart earnings and long-term drivers 42:34 Why does Copart have so much cash? This week, Barry and Ernest cover the Tariff concerns in depth. They review the risks to the Canadian and U.S. economies and discuss the types of companies that could be hurt the most. Next, they discuss the proposed remedies by the DOJ in its anti-trust lawsuit against Google. Moving on, Barry and Ernest provide an update on Couche-Tard’s bid for 7 Eleven and a review of its recent earnings release. The feature discussion is on the risks and opportunities for Copart.