Market Overview

Just How Much Money Did Bill Ackman Lose In Q1?

Share:
Just How Much Money Did Bill Ackman Lose In Q1?
Related VRX
Benzinga's Option Alert Recap From February 24
Exclusive: Clinical-Stage Specialty Pharma EyeGate CEO On Relationship With Valeant
Wells' Maris bearish on Valeant, sees as much as 39% downside risk (Seeking Alpha)
Related
Mondelez's CEO Introduces New Healthier Product Line But Isn't Abandoning Oreos
18 Biggest Mid-Day Losers For Friday
'Safe' NASDAQ Index Dividend Dog Gains Led By Western Digital, Mattel, & Gilead For February (Seeking Alpha)

It’s no secret that Bill Ackman has had a rough start to 2016. How rough? In his quarterly letter to investors, Ackman disclosed Pershing Square’s Q1 performance, and it’s not pretty.

According to the letter, Ackman’s fund was down 25.6 percent in the first three months of 2016 after losing 20.5 percent in 2015.

The biggest thorn in Ackman’s side has been Valeant Pharmaceuticals Intl Inc (NYSE: VRX), which was down 71.5 percent in Q1.

Despite the whirlwind of issues surrounding Valeant, Ackman has remained stubbornly bullish.

“We believe that Valeant has some of the best and most durable assets in the pharmaceutical industry, which do not require aggressive pricing in order to generate growth and substantial free cash flow,” Ackman wrote.

Related Link: User Questions When Bill Ackman Had Access To Valeant Earnings

Ackman’s other big Q1 losers included Mondelez International Inc (NASDAQ: MDLZ), (-5.8 percent), a short on Herbalife Ltd. (NYSE: HLF) (-12.8 percent) and Platform Specialty Products Corp (NYSE: PAH) (-27.7 percent).

Ackman’s latest letter highlights just how bad it’s been for him as a fund manager. Incredibly, since Pershing Square’s inception in December of 2012, the fund has produced 0.2 percent overall return for investors, including fees. If Pershing’s investors had instead simply bought the SPDR S&P 500 ETF Trust (NYSE: SPY), they would be up 45.6 percent by now.

Disclosure: The author holds no position in the stocks mentioned.

Posted-In: Bill Ackman Pershing SquareHedge Funds Top Stories Trading Ideas General Best of Benzinga

 

Related Articles (HLF + MDLZ)

View Comments and Join the Discussion!