Activist Dan Loeb is Sweet on Nestle

In a letter released to investors last month, Dan Loeb’s hedge fund Third Point announced that it owns approximately 40 million shares in Switzerland-based Nestle SA, according to a recentBloomberg article, referring to the $3.5 billion stake as “the biggest bet of his two-decade career as an activist investor.” According to the article, the move […]

The Short Side of Activist Investing

A recent Bloomberg Gadfly piece observes that “investors who make bearish bets on stocks and then lay out their case publicly” have delivered a “performance as a whole [that] is not all that great in the short term – or in recent years either, at least as far as market-beating returns are concerned.” Along with […]

Ackman’s Argues the Ill Effect of Index Funds on the Market

Barron’s reports on Pershing Square Capital manager Bill Ackman’s latest letter to shareholders, in which he sharply criticizes index funds. Ackman suggests that index funds are making the U.S like Japan, where the “system of cross-corporate ownership, the keiretsu, has been blamed for decades of Japanese corporate underperformance and market malaise.” He writes that “at […]