India markets close in 6 hours 8 minutes

Days after Teary-eyed TV Appearance, US Investor Bill Ackman Makes $2.6 Billion in Bet against Market

Trending Desk

Just days after his teary-eyed TV appearance, US investor and hedge fund manager Bill Ackman has warned that “hell is coming” and asked the White House to announce a nationwide shut down for 30 days to curb the spread of COVID-19.

At the time, Bill was knee-deep in a bet against the markets. However, on Wednesday, the hedge fund manager informed that his firm has netted him $2.6 billion (approx. Rs 95,000 crore) against the coronavirus market betting.

He announced the same in an official post on his company, Pershing Square Holdings’ website. “On 23 March, we completed the exit of our hedges generating proceeds of $2.6bn for the Pershing Square funds, compared with premiums paid and commissions totalling $27m,” he revealed.

He bought “credit protection on various global investment-grade and high-yield credit indices”, which resulted in the high returns. This month, Pershing Square paid $27m for credit protection.

He also informed that he will be turning the returns into the equity market.

In his emotional interview, the investor has said that he has become peevish in January after he woke up from a nightmare around the virus. Warning that the ‘hell is coming, he went on to share, “The hotel industry and the restaurant industry will go bankrupt first, Boeing is on the brink, Boeing will not survive without a government bailout”. However, he also mentioned about buying some stocks.