Proactive Investors - Billionaire Bill Ackman has unveiled plans to list a new vehicle targeted at everyday investors on the New York Stock Exchange.
Unveiling the closed-end fund in a regulatory filing on Wednesday, Ackman said Pershing Square (NYSE:SQ) US would list through an initial public offering (IPO) and focus on growth companies.
“The substantial majority of the fund’s investment portfolio will be invested in 12 to 24 core holdings in large-capitalization, investment grade, free-cash-flow-generative North American durable growth companies,” the filing read.
No management fee will be charged to investors for a year after the fund's launch, with a flat fee of 2% of assets under management (AUM) charged thereafter.
Hedge fund manager Ackman added the vehicle had “the potential to be one of the largest, if not the largest, listed closed-end funds”.
Ackman, known for his public criticisms and shareholder activism, has over 1.2 million followers on social media X.
“The adviser’s (Ackman’s) brand-name profile and broad retail following will drive substantial investor interest and liquidity in the secondary market,” he said.
He had made headlines by accusing former Harvard president Claudine Gay of plagiarism and antisemitism before her resignation last month.
His fund, Pershing Square Capital Management (LON:PSHP), boasted over US$18 billion in assets under management in January meanwhile, and is focused on just seven companies, such as Chipotle, Hilton and Google-owner Alphabet (NASDAQ:GOOGL).