Bloomberg Talks• Apr 29, 2026• 16:51Interview

Pershing Square Founder & CEO Bill Ackman Talks Public IPO, Investment Strategy | Bloomberg Talks

From Bloomberg Talks

Bill Ackman•Founder & CEO, Pershing Square

Executive Summary

Bill Ackman's Pershing Square has successfully raised $5 billion for a new U.S.
IPO vehicle, PSUS, structured as a closed-end fund to serve as a permanent capital base for long-term investments.
Ackman expresses a highly bullish outlook on the U.S.
economy and believes high-quality technology companies like Uber and Meta remain significantly undervalued, planning to deploy the new capital within weeks.
The long-term strategy involves a dual ambition: growing Pershing Square to rival asset management giants like Blackstone and transforming portfolio company Howard Hughes Holdings into a modern-day Berkshire Hathaway.
He argues the unique, low-cost, and tax-efficient structure of PSUS, combined with Pershing Square's strong historical performance (24.9% annual return over the last eight years), justifies a trading premium to NAV, unlike traditional closed-end funds.

9 quotes

Concerns Raised

Overcoming the historical NAV discount typical of closed-end funds
Potential for increased competition in alternative asset classes to compress returns
Short-term market volatility driven by leveraged, fast-money players

Opportunities Identified

Deploying $5B into undervalued large-cap U.S. companies
Unlocking value through the transformation of Howard Hughes Holdings into a Berkshire-style entity
Potential resolution of Fannie Mae and Freddie Mac
A favorable macro environment with potential Fed rate cuts

Key Themes

A New Model for Permanent Capital

Ackman is launching PSUS, a $5 billion U.S. vehicle, using a closed-end fund structure he deems the most flexible and tax-efficient in America. He argues this model, which lacks incentive fees and is built for long-term compounding, is fundamentally different from traditional closed-end funds and should command a premium valuation.

This represents a significant innovation in creating publicly-traded, permanent capital vehicles for active management, potentially offering a new template for the industry if successful.

The Dual Berkshire Hathaway Ambition

Ackman is pursuing a two-pronged strategy to build enduring value. He aims to scale the Pershing Square asset management business to rival giants like Blackstone, while simultaneously transforming Howard Hughes Holdings into a diversified holding company modeled after Berkshire Hathaway, starting with an insurance acquisition.

This dual approach separates the asset manager from the operating conglomerate, potentially creating two distinct, compounding value-creation engines for investors to participate in.

Bullish Conviction on the U.S. Market

Ackman is unequivocally bullish on the U.S. economy, citing massive AI and energy spending and a supportive administration. He believes geopolitical risks are receding and the Federal Reserve will soon be able to cut interest rates, creating a favorable environment for equities, particularly undervalued high-quality businesses.

This strong macro view from a prominent investor provides a counter-narrative to persistent market anxieties and signals a 'risk-on' posture, focusing on long-term growth over short-term volatility.

Long-Term Investing vs. Market Volatility

Ackman emphasizes that the vast majority of market capital is short-term, leading to massive price dislocations in high-quality companies based on minor news. His permanent capital strategy is designed to exploit this volatility by taking long-term positions when others are forced to sell.

This highlights the structural advantage of permanent capital in a market dominated by short-term flows, offering a key insight into how patient investors can generate alpha.

Get started free

Topics

Bill Ackman Pershing Square PSUS IPO Closed-End Funds Permanent Capital Asset Management Investment Philosophy Berkshire Hathaway Model Howard Hughes Holdings Value Investing U.S. Economy Federal Reserve Interest Rates Geopolitics Fannie Mae & Freddie Mac

Processed Apr 29, 2026 yt-dlp + mlx-whisper + Gemini