Add as a preferred source on GoogleAckman Warns Leverage and Speculation Are Driving Wild Stock Swings
He said speculative swings can hurt investors while giving Pershing Square chances to buy companies such as Microsoft, Amazon and Alphabet at lower prices.
Pershing Square Capital Management founder Bill Ackman linked sharp stock swings to leverage and speculative trading Tuesday, saying casino-like market conditions are unhealthy for the economy and short-term bets can hurt investors.
“Stocks trade at prices that make no sense to me,” Ackman said. He added that he did not consider those market conditions good for the country. He also warned that one-day leveraged products, perpetual futures and sports betting pose risks for people treating stocks as a get-rich-quick scheme.
At the same time, Ackman said volatility had created opportunities for Pershing Square to buy companies at lower prices. He cited purchases of Microsoft after the “SaaSpocalypse,” Amazon after its shares fell following President Donald Trump’s tariffs, and Alphabet after ChatGPT launched.
Ackman also praised Visa and Mastercard, calling them among the world’s greatest businesses, and said he disclosed a position in Netflix in August.
Sonny Jang
ReporterSonny Jang reports on people and leadership in digital assets for TokenPost. Send corrections or tips to info@tokenpost.com.