Long Term Investing - With Baskin Wealth Management Barry Schwartz

0:00: Introduction
1:00: talking Domino’s Pizza crust and its stock.
4:42: Review of the Constellation Software Annual meeting.
5:50: Why the annual meeting is still be done virtually.
8:49: Constellation Software is a capital allocation company.
11:11: Why acquired growth has been a better driver of returns for Constellation vs. organic growth.
13:15: Why Constellation will have to invest more to boost organic growth.
13:45: Why Constellation has limited worries about copycats.
19:11: reviewing Constellation’s carve-out strategy.
21:04: strategies to boost deal activity.
22:52: Constellation open to issuing stock for large deals?
29:23: more spin-offs on the way?
32:21: Mark Leonard on selling some of his shares.
34:32: How will AI affect Constellation?
36:41: Will Constellation deliver good returns to shareholders going forward?


This week we have a treat for Constellation Software fans! Barry and Ernest review the Constellation Software annual meeting and do a deep dive on the company. The guys discuss Constellation’s capital allocation, organic growth, competition, spin-off, carve-outs, copycats, AI and future catalysts.

0:00: Introduction
2.25: Our takeaways from the Berkshire Hathaway Annual Meeting
9:08: Berkshire’s Apple trim
14:01: Berkshire’s enormous cash pile
19:08: Is Berkshire looking at making a large investment in Canada?
23:15: Reviewing Berkshire Hathaway’s First quarter results.
26:10: Reviewing our Apple thesis
32:00: Apple’s recent struggles in China
35:20: Don’t sleep on Apple’s services business.
36:56: Apple’s insane share buyback program
38:22: Apple’s under-appreciated capital light story.
40:38: Apple Vision Pro a Con?
42:32: Update on Live Nation

If you are a fan of two of the largest companies in the world, then you don’t want to miss this episode. Barry and Ernest, review the highlights of the Berkshire Hathaway 2024 annual meeting. Why did Buffett trim Apple? What is Berkshire going to do with all that cash? What could Buffett buy in Canada? Tune in to find out! Plus, Barry and Ernest discuss Baskin Wealth’s investment thesis on Apple and why they feel many parts of the business are under-appreciated

0:00: Introduction
1:42: Ernest’s talks about meeting Murray Edwards, Chairman of Canadian Natural Resources
5:05: Murray Edwards’ rant on Canada’s energy policy
7:26: TMX Pipeline expansion is in business; what it means for Canada.
12:22: Natural Gas’ role in electricity demand
14:15: Listening to Mitch Rales on Capital Allocation
19:53: Follow up on Waste Connections
23:38: Feature discussion on Restaurant Brands
31:19: The genius of Patrick Doyle


This week’s episode has it all, a meeting with Murray Edwards, a discussion about Canadian Energy and the TMX pipeline, listening to Mitch Rales on capital allocation and culture, a review of Waste Connections recent earnings results and then a feature discussion on Restaurant Brands.

0:00: Introduction
3:25: Benjamin walks us through the new budget in Canada with respect to the upcoming capital gains changes.
5:43: Taking $250,000 of capital gains in one year is rare.
7:21: What to know about the new tax changes for death, selling an investment property or liquidity needs.
8:34: Capital gains taxation upon death and what actions one can take to limit the taxation impact.
12:04: For most of us, the best advice is to do nothing.
14:38: What can you do about cottages and investment properties?
16:30: Should you take capital gains if you have meaningful short-term liquidity requirements?
18:34: Trusts and Corporation discussion.
22:40: Summary of the actions you can take.
24:00: changes to the lifetime capital gains exemption for owners of small businesses.
26:12: Listening to Warren Buffett on capital gains.

A big show this week. Benjamin Klein, CFP, joins Barry to discuss the new budget in Canada. Barry and Benjamin explain the relevant capital gains taxation changes, what it means for your portfolio and your estate and what actions (if any) one should take before the June 25th deadline.

https://baskinwealth.com/blog/fun-with-numbers-should-you-realize-capital-gains-and-pay-taxes-early-2/

0:00: Introduction
1:37: discussion about capital gains changes in Canada and how it could affect your portfolio.
3:52: should you own a dividend payer stock vs. a growth stock given changes in capital gains rates in Canada
7:10: do these tax changes make Canada less competitive?
10:22: Feature discussion on Waste Connections
10:46: A quick discussion about the Halloween Surprise taxation of income trusts in Canada
14:00: a history of Baskin’s purchase of BFI Garbage Trust which eventually became Waste Connections
14:35: Waste Connections and waste business overview
21:50: Waste Connections’ secret sauce
23:23: Servant Leadership Culture at Waste Connections
29:55: Future catalysts for the stock
31:25: RNG potential upside for Waste Connections
33:52: Robotics and AI use in the Waste industry
35:40: Risks to consider when investing in Waste Connections

In our opinion, successful long-term investments are found in companies that focus exclusively on culture. Waste Connections fits this bill. Under the tutelage of its founder, Ronald Mittelstaedt, Waste Connections has collected a compounder status by turning trash into cash with its unique Servant Leadership model. Barry and Ernest discuss Baskin's history of owning Waste Connections as well potential rewards and risks they see going forward. If you love compouders, you will love this episode!

0:00: Introduction
0:56: Ernest’s discusses his debut on BNN Bloomberg
4:15: Why are there so few “super-investors”?
6:23: Canadian compounders trading at a discount to their U.S. peers and examples.
8:43: Why Canadian stocks are out of favour right now.
10:02: Example #1 - Couche-Tard
11:36: What do Hot Dogs and Compounders have in common?
12:40: Couche-Tard’s valuation discount
15:05: Example #2 – CCL Industries
16:40: Example of a Canadian Compounder trading at premium.
18:56: Example #3 – Canadian Natural Resources
21:43: Example #4- TFI Industries
23:16: Still prefer U.S. business and a discussion on Costco.
26:50: Amazon’s years of investments finally paying off.

Great discussion this week about Canadian Compounders that trade at a discount to their U.S. peers. Barry and Ernest give four examples of companies owned by Baskin Wealth Management clients that are valued at a discount and the reasons why. Barry and Ernest discuss why Canadian stocks are currently out of favour and then finish off the episode with comments on Costco and Amazon.

check out Ernest's debut on BNN Bloomberg: https://baskinwealth.com/media-appearances/ernest-wong-on-bnn-we-remain-underweight-on-canadian-stocks/