- ORIGINAL NEWS
Hedge fund billionaire Bill Ackman to launch a NYSE-listed fund for regular investors
- SUMMARY
Bill Ackman, a renowned hedge fund billionaire, is launching a new closed end fund with a focus on investing in 12 to 24 large-cap, investment grade, and “durable growth” companies in North America.
This fund is unique in that it does not have a performance fee, which is commonly seen in traditional hedge funds.
Ackman is waiving the management fee for the first 12 months and will then charge a flat 2% fee.
This fund is expected to attract substantial investor interest due to Ackman’s brand name and broad retail following, potentially making it one of the largest listed closed-end funds.
Ackman’s hedge fund has achieved impressive returns in the past, holding only seven stocks at the end of 2023 and posting a 26.7% gain last year.
- NEWS SENTIMENT CHECK
- Overall sentiment:
positive
Positive
“Pershing Square’s Bill Ackman is set to offer a new investment vehicle listed on the New York Stock Exchange, aiming to leverage his following among Main Street investors.”
Negative
“Unlike traditional hedge funds that typically charge a 2% management fee on the total assets under management plus a performance fee of 20% of the fund’s profits, Ackman’s new fund doesn’t have a performance fee in place.”