Business Articles, Hedge Fund Articles

Bill Ackman’s Eight Investing Principals That Make It Rain!

If your a serious Speculative Investor? You will definitely want to read todays post on the Eight Investing Principals Wall Street Hedge Fund Manager Bill Ackman uses as a foundational Business strategy.

Most Wall Street Investors do lack depth of strategy and emotional Temperament. So it’s vital you study successful Fund Managers and reengineer or use their strategies. Mohnish Pabrai is always laughing while saying “He is a Shameless Copier in Business.”LOL I admit that’s insightful.

Members of Congress has a incredible investing Track Record. Is it because they have inside knowledge? Or are their Advisors doing shady business on the side? Who knows? However If you haven’t been paying attention to their investments that are publicly listed? You maybe in for a surprise. Be sure to check them out here! If you haven’t know about ValueInvesting.IO? You may want to go check them out. They keep up to date with Congressional Members Investments. And you may reach the conclusion that I have. Something just doesn’t add up. If they are using Material Inside information? That’s highly illegal.

If you think about the members trading strategies? It’s a great example of missed opportunity and I see many people on Twitter copying their trades. It’s surprising how incredible how they often receive above 20 to 30, to 50 percent returns annually. Its almost too good to be true. However I digress. Today I am sharing amazing value. From the Mr. Baby Buffett of Wall Street and the King of Activists Investors, The talented and always respectful Mr. BIll Ackman.

Before I continue, I should share: Even though my name is not known in hardly any Wall Street Investment Firms? My crazy entrepreneurship story is certainly gaining traction. It certainly is unique. How many entrepreneurs do you know who just said screw it and began studying the moves and strategies of Fund Managers like Bill Ackam? After all Professional Investing is something one can learn from just reading and being in the Market. Passion and grit are absolutely required. Most Big Firm Partners value a young guys working incredibly hard and demonstrating results that benefit their future success at the firm. Meritocracy comes to mind. When you put others interests and success first? You make friends an alliances quickly. But sometimes you can make enemies fast and jealous. That’s a Fact.

The basis of most value investors I know? Is to be curious and keep asking questions. If you just keep asking questions a someone who doesn’t know a subject or topic? Your curiosity takes you on a journey of discovery. And sometimes that journey of discovery? Is extremely profitable. Just keep asking questions. And learning as you move forward as a Value Investor. Benjamin Ghraham is a Man you should research if your interested in learning to become the next Bill Ackman. Watching everything Warren Buffett and Charlie Munger has said on video helps as well. The intrinsic value of being among Value Investors does pay massive dividends. But its all up to you! Do the work. And your do your Due Diligence.

So what are the Eight principals Ackman and follow when targeting companies?

Simple Predictable, Free cash flow regenerative dominant companies, With large barriers to entry That earns high returns on capital, With limited exposure to intrinsic risk we can’t control? 
Strong Balance Sheets Don’t need access to capital to survive, Excellent Management, and Good Governance 

Pershing Square Capital Management

– Bill Ackman

What are Bill Ackman's Eight Investing Principals?

Simple Predictable, Free cash flow regenerative dominant companies, With large barriers to entry That earns high returns on capital, With limited exposure to intrinsic risk we can’t control? Strong Balance Sheets Don’t need access to capital to survive, Excellent Management, and Good Governance 

In conclusion for today’s post? It’s very sensible to believe that if you adhere to and strictly follow these basic guidelines and principals while investing? You are surely going to be in great shape. If you go back in time and look at the trades or positions Bill and his team has made in the past that failed to perform or wiped out half his Hedge Fund? The principals were not followed. Leaving them exposed. And that is a lesson on keeping true to your education as a Value Investor.

Thank you for reading and I do wish you all Investment success.
Godspeed

JS

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