Pershing Square Capital Management LP, the $11 billion activist hedge-fund firm run by Bill Ackman, posted a 7.9 percent net gain in its main strategy in October, according to a performance update obtained by Bloomberg News.
Pershing Square International’s monthly return brings its year-to-date gain to 8.1 percent, according to the update. The fund has $5 billion in assets.
Ackman, known for amassing stakes in companies and pushing them to make changes to boost share prices, rebounded in October after his fund was mostly unchanged in the first nine months of the year. Ackman said in a letter to investors last month that he changed his bet on shares of Herbalife Ltd. (HLF) Herbalife shares fell 7.1 percent in October after Ackman replaced his bearish wager with put options, a move that deterred traders from betting against the hedge-fund manager.
Other Pershing Square stakes rose last month, including General Growth Properties Inc., which gained 10 percent, and Burger King Worldwide Inc., which increased 8.5 percent. Ackman’s firm almost halved its stake in General Growth, the second-largest U.S. shopping mall owner said in a September statement.
Canadian Pacific Railway Ltd., among Pershing Square’s biggest holdings, surged 16 percent in October after reporting third-quarter earnings that beat analysts’ estimates. Pershing Square cut its stake in Canadian Pacific by 7 million shares, according to a filing last month.
Carolyn Sargent, a spokesman for Pershing Square with Rubenstein Associates Inc., declined to comment on the investor update.