On July 27th word broke that Bill Ackman’s Pershing Square Capital has taken an 8% position in Automated Data Processing (ADP), making it Pershing Square’s largest investment. Shares of ADP rallied 11% on the announcement.
We are excited to report the addition of Robert Gibbins to our roster of Legends. The founder and portfolio manager of Autonomy Capital has been one of our most respected hedge fund managers for many years.
Since 1995, the world-renowned Sohn Investment Conference, held annually in New York, has been bringing the world’s savviest investors together to share fresh insights and money-making ideas.
The VIX index (the implied market estimate of future volatility) on May 8th closed below 10 for only the 11th time in its history. And it’s not just equities, this phenomenon is happening across most assets.
Pershing Square took a large position in burrito chain Chipotle Mexican Grill in September of last year. The company announced earnings in April and beat expectations, sending shares up 6.5%.
After a 6-month period consulting with investors on how to improve the attractiveness of Pershing Square’s listed vehicle, the fund is seeking a London listing.
After recording a profit of close to $3billion on the sale of Allergan to Actavis in 2014, Pershing Square subsequently lost all these profits on the collapse of Valeant between the summer of 2015 and early 2016.
Since our November newsletter, when we talked about Louis Moore Bacon’s sea-change in trading opportunities, we have seen major renewed investor interest in the Global Macro strategy.
Bill Ackman has paid a high price for being one of the most high-profile hedge fund managers in the world. He turned from hero to zero in the last 18 months since extraordinary strong returns made room for a period of very poor performance.