Bill Ackman, hedge fund manager of Pershing Square Capital Management, gave a free course 101 on everything an investor needs to know about finance. The video, entitled William Ackman: Everything You Need to Know About Finance and Investing in Under an Hour may be viewed below: Ackman is a value investor, similar to Warren Buffett or Benjamin Graham. Ackman advises investor look for these four things:
1. Invest in public companies
2. Understand how the company makes money
3. Invest at a reasonable price
4. Invest in a company that could last forever
5. Find a company with limited debt
- Can grow over time
- Sells products that people need
- Has brand loyalty
- Has a record of success
1. Alexander & Baldwin, Inc. ( ALEX, Earnings, Analysts, Financials): Operates in transportation, real estate, and agribusiness industries in the United States. Market cap at $1.24B, most recent closing price at $28.97.2. Beam, Inc. ( BEAM, Earnings, Analysts, Financials): Market cap at $9.B, most recent closing price at $56.57. Of the long-positions, Ackman has a 13% position in this company 3. Burger King Worldwide, Inc. ( BKW, Earnings, Analysts, Financials): Market cap at $5.95B, most recent closing price at $17.0. The fund has a 6% position in this company. Since bottoming at $12.91, shares are now at a 52-week high 4. Canadian Pacific Railway Limited ( CP, Earnings, Analysts, Financials): Provides rail and intermodal freight transportation services. Market cap at $15.9B, most recent closing price at $91.83. The hedge fund is an activist in this company, with 23% of its long position in CP. 5. General Growth Properties Inc. ( GGP, Earnings, Analysts, Financials): Operates as a real estate investment trust in the United States. Market cap at $18.32B, most recent closing price at $19.51. This was a big winner for Ackman’s fund, as the company emerged from bankruptcy and was trading then in the single digits. 6. The Howard Hughes Corporation ( HHC, Earnings, Analysts, Financials): A real estate investment and development company, engaging in managing, developing, and leasing commercial, residential, and mixed-use real estate. Market cap at $2.76B, most recent closing price at $72.59. 7. Matson, Inc. ( MATX, Earnings, Analysts, Financials): Market cap at $978.03M, most recent closing price at $22.98.
8. J. C. Penney Company, Inc. ( JCP, Earnings, Analysts, Financials): Through its subsidiary, J. C. Penney Corporation, Inc., operates department stores in the United States and Puerto Rico. Market cap at $3.8B, most recent closing price at $17.36. Representing 11% of holdings, J.C. Penny shares are not performing well, as the company looks for ways to stem a decline in sales 9. Procter & Gamble Co. ( PG, Earnings, Analysts, Financials): Provides consumer packaged goods in the United States and internationally. Market cap at $190.25B, most recent closing price at $69.58. This company represents 27% of the long positions in the fund. Shares are trading at close to a 52-week high and pays a dividend of $2.25, or a yield of 3.20%. During the Value Investing Congress, Ackman hinted he held a short position in a company, but did not mention what it was. Investors should recognize that any of the long positions above could be used as a hedge against his bearish plays. Data Source: SEC 13F filings Written by Chris Lau . To interact and discuss these picks or picks of your own with users, attach your watch list or portfolio in a message to your friends on Kapitall. To connect with users on the leaderboard: from your tool bar, select Get Connected -> Top Kaptallists. Members on Kapitall earn free points, and even more points with every Kapitall Generation trade. These points may be redeemed at the Kapitall store .