Bill Ackman is an esteemed investor managing Pershing Square Capital Management, a hedge fund with nearly $11 billion in assets. Ackman's approach is unique in that Pershing Square invests in a limited number of companies, typically between eight and 12, and holds them for extended periods. The fund focuses on high-quality, large-cap, North American companies with limited downside and consistent cash flows. This strategy has yielded impressive results, with Pershing Square generating a 31% annualized return over the past five years, approximately double the S&P 500's performance.
Here are the eight stocks that constituted Pershing Square's portfolio at the end of 2023:
- Chipotle Mexican Grill (CMG): Pershing's largest holding, with approximately 825,000 shares worth over $2.4 billion. Ackman invested in Chipotle in 2016 after food safety issues caused the stock to lose half its value. He c