These are the 10 stock holdings in billionaire investor Bill Ackman’s market-beating portfolio

REUTERS/Richard Brian

  • Bill Ackman’s Pershing Square Holdings has gained on its 2019 market beat – at the end of March, it had a net gain of 3.3% while the S&P 500 was down 20%.
  • Ackman considered liquidating the portfolio amid the coronavirus-induced meltdown. Instead, he turned $27 million into $2.6 billion using a credit-hedging strategy.
  • He reinvested the proceeds into his stock portfolio.
  • Here are the 10 stock holdings in Ackman’s market-beating portfolio.
  • Read more on Business Insider.

Bill Ackman has had quite a year. Following an astonishing 58% return in 2019, he continued to handily beat the market in 2020 even as it was roiled by the coronavirus pandemic.

At the end of the first quarter, which includes the months of January through March, Ackman’s Pershing Square Holdings had a net gain of 3.3%, solidly beating the S&P 500’s 20% loss during the same period.

It wasn’t a totally smooth ride for Ackman. He considered liquidating the portfolio, he told investors in a letter, amid the coronavirus-induced market meltdown. Instead, he decided on a large credit-hedging strategy that turned a $27 million investment into $2.6 billion.

Ackman’s hedge – which at its peak amounted to about 40% of the portfolio, he told investors – not only paid off but was well timed. He unwound the hedges by March 23, he said, the very day that the US stock market bottomed.

Read more:Billionaire hedge-fund manager Bill Ackman breaks down his 3-part investing methodology – and makes a case for ‘a really cheap interesting stock run by the best investor in the world’

He then invested the hefty proceeds into his stock holdings, a group of 10 companies that he sees as outstanding.

“We are continuing to look for only the most extraordinary opportunities,” Ackman wrote in an April letter to investors. “If our portfolio companies grow in value and their stock prices increase over the long term as we expect, the long-term returns for PSH will be substantially greater than before as a result of the reinvestment of the proceeds from the hedging transactions.”

Here are the 10 companies that make up Ackman’s stock portfolio, ranked in order from smallest to largest value as of March 31.



Blackstone Group

Reuters

Ticker: BX

Shares held: 548,526

Value (as of 3/31/20): $25 million

Source: SEC filing



Restaurant Brands International

Kai Pfaffenbach/Reuters

Ticker: QSR

Shares held: 15,084,304

Value (as of 3/31/20): $604 million

Source: SEC filing



Chipotle Mexican Grill

Reuters

Ticker: CMG

Shares held: 1,161,232

Value (as of 3/31/20): $760 million

Source: SEC filing



Agilent

Courtesy of Agilent Technologies

Ticker: A

Shares held: 12,626,593

Value (as of 3/31/20): $904.3 million

Source: SEC filing



Hilton Worldwide Holdings

https://www.lvhilton.com/Hotel/gallery

Ticker: HLT

Shares held: 13,789,589

Value (as of 3/31/20): $941 million

Source: SEC filing



Berkshire Hathaway

REUTERS/Rick Wilking

Ticker:BRK.B

Shares held: 5,453,360

Value (as of 3/31/20): $997 million

Source: SEC filing



Lowe’s

Joey Hadden/Business Insider

Ticker:LOW

Shares held: 12,252,414

Value (as of 3/31/20): $1 billion

Source: SEC filing


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