| | | Re - WD
WD - isn't this a business where you have to trust the jockey a lot? I Yes, it's a bet on the jockey, essentially. Based on what I see, the jockey has been good. He took a small family owned business through the financial crisis, with decent results, took it public and now tries to become a major player through the Fortress Acquisition. They should be able to get the cost ratio down to at least pre-acquisition ratios, if not better due to realizing economy of scales.
They are doing commercial RE, not residential, and that is a different game, with much less shenanigans historically. LUK seems to like their likewise Berkadia business and that got me interested. If they run their business right, this could have a nice runway ahead. If you think they are not capable or dishonest, there is absolutely no point owning it. |
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