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.
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.
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.
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.