Trisura continues to impress us

Article Excerpt

Specialized insurer Trisura took its current form on June 22, 2017, when Brookfield Asset Management Inc. (now Brookfield Corp.) spun off its specialty insurance business as Trisura. Investors received one Trisura share for every 170 Brookfield shares they held. Since then, the stock has soared over 510%, for two main reasons: First, as a spinoff, it will likely outperform other classes of similar stocks. Second, the company gets little media/broker attention. Note, downplaying stocks in the media/broker limelight is a key part of our three-pronged approach to investing. (The other two parts are [i] invest in well-established companies and [ii] spread your money across most if not all of the five main economic sectors.) We feel Trisura’s strong prospects could push the stock even higher in the next few years. The company’s relatively small size could also turn it into an attractive takeover target for a larger industry player. TRISURA GROUP LTD. $42 remains a buy for aggressive investors. The company (Toronto symbol TSU; Finance Sector;…