Bill Ackman’s Pershing lost 4.7% in July, erasing most of 2024 gains

BILL Ackman’s main hedge fund erased most of its 2024 gains in the last half of July, another blow to the billionaire who pulled his initial public offering for a US-traded closed-end fund this week because of lacklustre demand.

Pershing Square Holdings was up 8.7 per cent as at mid-July for the year. The hedge fund lost 4.7 per cent in the month, ending with a gain of 0.7 per cent year-to-date.

A spokesperson for Pershing Square declined to comment.

One significant contributor to the decline was Pershing Square’s stake in Universal Music Group, the world’s biggest record label. Shares tumbled 24 per cent after it reported disappointing earnings last week.  

Ackman spent recent weeks on a road show to generate interest in his US-traded closed-end fund, which he initially estimated could raise US$25 billion. He pulled the deal on Jul 31 after the expected raise fell to US$2 billion.

The S&P 500 Index was up 15.8 per cent year to date to July. BLOOMBERG