Bill Ackman Says Excessive Leverage, Speculative Trading Are Distorting Stock Market
Summary
- Bill Ackman said excessive leverage and speculative trading are causing irrational stock-price swings in the stock market.
- He said the current market volatility is creating buying opportunities for Pershing Square, and cited Microsoft, Amazon and Alphabet as key investment targets.
- Ackman described Visa and Mastercard as two of the best companies in the world and said Netflix is among Pershing Square's portfolio holdings.
Forecast Trend Report by Period
Bill Ackman, founder of Pershing Square Capital Management, criticized irrational stock-price swings that he said are being driven by excessive leverage and speculative trading.
Walter Bloomberg reported on November 3 that Ackman likened the current stock-market trading environment to a casino, saying excessive leverage and speculative trading are moving share prices in irrational ways. He specifically identified leveraged products and perpetual futures trading as problems.
At the same time, Ackman said the volatility is creating buying opportunities for Pershing Square. He cited Microsoft, Amazon and Alphabet as key investment targets.
Ackman also described Visa and Mastercard as two of the best companies in the world. Netflix is also among Pershing Square's portfolio holdings.
JH Kim
reporter1@bloomingbit.ioHi, I'm a Bloomingbit reporter, bringing you the latest cryptocurrency news.