Trian Partners Buys More Bank of New York Mellon (BK)

Nelson Peltz's activist investment firm Trian Partners has filed a Form 4 with the SEC regarding its position in Bank of New York Mellon (BK). 

Per the filing, Trian was buying 360,000 BK shares on March 9th at weighted average prices of $56.5188.  After this buy, Trian now owns over 16.12 million shares.

Per Google Finance, Bank of New York Mellon is "an investments company. The Company operates businesses through two segments: Investment Management and Investment Services. The Company also has an Other segment, which includes the leasing portfolio, corporate treasury activities (including its investment securities portfolio), derivatives and other trading, corporate and bank-owned life insurance and renewable energy investments, and business exits. As of December 31, 2016, the Company had $29.9 trillion in assets under custody and/or administration and $1.6 trillion in assets under management. The Company's Investment Management boutiques offer a range of actively managed equity, fixed income, alternative and liability-driven investments, along with passive products and cash management. The Company offers asset servicing, clearing services, issuer services and treasury services to its clients. "

Trian Fund Reduces Bank of New York Mellon Stake

Nelson Peltz's Trian Fund Management has filed a Form 4 with the SEC regarding its stake in Bank of New York Mellon (BK).  Per the filing, Trian sold over 5.7 million shares across October 20th, 23rd, and 24th.

They exited shares at weighted average prices of around $53.13, but the bulk of their sale came at $52.22.  After these sales, Trian is left owning 16.56 million shares.

The filing notes that they sold for portfolio management purposes as one of the lock-up periods ended on one of their investment funds which solely held BK shares.

We also recently posted about another stock Trian was selling.

Per Google Finance, Bank of New York Mellon is "an investments company. The Company operates businesses through two segments: Investment Management and Investment Services. The Company also has an Other segment, which includes the leasing portfolio, corporate treasury activities (including its investment securities portfolio), derivatives and other trading, corporate and bank-owned life insurance and renewable energy investments, and business exits. As of December 31, 2016, the Company had $29.9 trillion in assets under custody and/or administration and $1.6 trillion in assets under management. The Company's Investment Management boutiques offer a range of actively managed equity, fixed income, alternative and liability-driven investments, along with passive products and cash management. The Company offers asset servicing, clearing services, issuer services and treasury services to its clients."

Ed Garden Long Bank of New York Mellon: Invest For Kids Chicago 2016

We're posting up notes from the Invest For Kids 2016 investment conference.  Next up is Ed Garden of Trian Partners who pitched a long of Bank of New York Mellon (BK).


Ed Garden's Presentation at Invest For Kids Chicago 2016

•    Long Bank of New York Mellon (BK)

o    $1.3 billion invested; Garden on board since Dec. 2014

•    We invest in great companies when undermanaged, underperforming, underappreciated; we try to work with management to become best in class at everything; we usually take a board seat

o    Eliminate management’s information advantage over board

o    Find problems, identify opportunities to attack

•    No hedging, long only, dislike the activist label

o    Income statement focus, not balance sheet

•    BK fits our risk profile: provides critical infrastructure, has good capital, is fee-driven (not NIM driven), has huge scale, and has opportunity to improve operations with cyclical upside as a bonus

•    Progress so far: 9% reduction in real estate owned; leaner cost structure; five new board members; returning $2.75 per share to shareholders in 12 months ended 6/30/17; margins and EPS up

•    25% discount to the market valuation; hurts to have “bank” in our name; most earnings streams at cyclical trough


Be sure to check out the rest of the presentations from Invest For Kids 2016.

Trian Fund Updates Stakes in Sysco & Bank of New York Mellon

Nelson Peltz's activist firm Trian Fund Management has made some SEC filings recently.

Peltz Acquires Acquires Sysco Shares

First, in an amended 13D with the SEC regarding their position in Sysco (SYY), Trian disclosed it now owns 7.8% of Sysco with 43.95 million shares. 

Per a Form 4 filed with the SEC, Trian acquired 520,000 shares on June 3rd at a weighted average price of $48.7874 and 173,000 more shares on June 6th at $48.8295 (weighted average).

Per Google Finance, Sysco "along with its subsidiaries and divisions, is a North American distributor of food and related products primarily to the foodservice or food-away-from-home industry. The Company provides products and related services to approximately 425,000 customers, including restaurants, healthcare and educational facilities, lodging establishments and other foodservice customers. Sysco provides food and related products to the foodservice or food-away-from-home industry. The Company has aggregated its operating companies into a number of segments, of which only Broadline and SYGMA are the main segments. Broadline operating companies distribute a line of food products and a variety of non-food products to their customers. SYGMA operating companies distribute a line of food products and a variety of non-food products to chain restaurant customer locations. The Company’s other segments include its specialty produce, custom-cut meat and lodging industry products segments."


Trian Buys More Bank of New York Mellon

Second, Peltz's firm also filed a separate Form 4 with the SEC regarding its stake in Bank of New York Mellon (BK).  They acquired 370,000 shares on June 6th at a weighted average price of $42.3905. 

After this buy, they now own over 32.21 million shares.

Per Google Finance, Bank of New York Mellon is "an investments company. The Company operates businesses through two segments: Investment Management and Investment Services. The Company also has an Other segment, which includes credit-related services; the leasing portfolio; corporate treasury activities, including its investment securities portfolio; its equity interest in ConvergEx Group; business exits, and corporate overhead. The Company has over $1.6 trillion in assets under management. BNY Mellon's subsidiaries include The Bank of New York Mellon and BNY Mellon, National Association (BNY Mellon, N.A.). The Bank of New York Mellon is a New York state-chartered bank, which houses its Investment Services businesses, including Asset Servicing, Issuer Services, Treasury Services, Broker-Dealer and Advisor Services, as well as the bank-advised business of Asset Management."

Trian Fund Buys More Bank of New York Mellon

Nelson Peltz's activist firm Trian Fund Management has filed a Form 4 with the SEC regarding its stake in Bank of New York Mellon (BK).  Per the filing, Trian acquired 20,700 shares of BK on May 16th at a weighted average price of $39.6531. 

After this transaction, they now own over 31.84 million shares of BK.  As we've previously highlighted, Trian was buying BK around these levels last year as well.

Per Google Finance, Bank of New York Mellon is "a provider of financial products and services in domestic and international markets. Through its two principal businesses, Investment Management and Investment Services, it serves institutions, corporations and high net worth individuals. For institutions and corporations, it provides investment management, trust and custody, foreign exchange, fund administration, global collateral services, securities lending, depositary receipts, corporate trust, global payment/cash management, banking services and clearing services. For individuals, it provides mutual funds, separate accounts, wealth management and private banking services. BNY Mellon’s investment management businesses provide investment products in different asset classes and investment styles."  Read more: http://www.marketfolly.com/search?q=bk&max-results=20&by-date=true#ixzz49amsK8Mj

Trian Partners Boosts Pentair & Bank of New York Mellon Stakes

Nelson Peltz's activist investment firm Trian Fund Management has submitted two filings to the SEC recently.

First, per a Form 4 filed with the SEC, Trian Fund Management has increased its stake in Pentair (PNR).  Per the filing, Trian acquired 265,000 shares on October 22nd at weighted average prices of between $54.7093 and $56.2684.

After these buys, Trian now owns over 13.27 million shares of PNR.

Second, per another Form 4, Peltz's firm has purchased 285,000 shares of Bank of New York Mellon (BK) on October 21st at a weighted average price of $41.3396.  After these purchases, Trian now owns over 30.51 million shares of BK.

For more on this fund, we also posted up Trian's presentation on its new stake in General Electric.

Per Google Finance, Bank of New York Mellon is "a provider of financial products and services in domestic and international markets. Through its two principal businesses, Investment Management and Investment Services, it serves institutions, corporations and high net worth individuals. For institutions and corporations, it provides investment management, trust and custody, foreign exchange, fund administration, global collateral services, securities lending, depositary receipts, corporate trust, global payment/cash management, banking services and clearing services. For individuals, it provides mutual funds, separate accounts, wealth management and private banking services. BNY Mellon’s investment management businesses provide investment products in different asset classes and investment styles."

Per the company's website, Pentair is "a global water, fluid, thermal management, and equipment protection partner."

Greenlight Capital Q2 Letter: New Positions in Applied Materials, Bank of New York Mellon

David Einhorn's hedge fund Greenlight Capital is out with its second quarter letter.  Greenlight returned (1.5)% in Q2 and year-to-date is (3.3)%.  Their average exposure was 103% long and 86% short, leaving them net long only 17%.  The letter details numerous recent portfolio moves:

New long positions: Applied Materials (AMAT), Bank of New York Mellon (BK), CNX Coal Resources (CNXC)

Sold long positions: Altice (AMS:ATC), Conn's (CONN), EMC (EMC), Marvell Technology (MRVL), Nokia (NOK), Playtech (LON:PTEC)

Covered shorts: Intuitive Surgical (ISRG), Vale (VALE)

Einhorn talks about all of the positions in the letter and also gives commentary on Micron (MU), one of his biggest positions that has sold-off recently.

At the end of Q2, Greenlight's largest positions in alphabetical order were: Apple (AAPL), CONSOL Energy (CNX), General Motors (GM), gold, Micron Technology (MU), and SunEdison (SUNE).

Embedded below is Greenlight's Q2 letter:

   Greenlight Q2 15

ValueWalk first posted the letter.

Marcato Capital's Presentation on Bank of New York Mellon

Mick McGuire's hedge fund firm, Marcato Capital Management, has released a letter and presentation to shareholders of Bank of New York Mellon (BK) outlining their thoughts on the company and why they feel a leadership change is in order.

Embedded below is Marcato's letter to BK shareholders:



You can download a .pdf copy of the letter here.


And also embedded below is Marcato's presentation on Bank of New York Mellon:



You can download a .pdf copy of the presentation here.


McGuire is known for taking an activist approach in his investments and this case is no different.  Prior to founding Marcato, he worked at Bill Ackman's Pershing Square, another well known activist investment firm.

Peltz's Trian Discloses New Stake in Bank of New York Mellon

Nelson Peltz's activist investment firm Trian Partners has filed an amended 13F with the SEC.  Per the filing, they've disclosed a new position in Bank of New York Mellon (BK).  This amendment was made to their first quarter 2014 13F filing.

This means that they owned 9,330,230 shares as of March 31st, 2014.  In their original Q1 13F, Trian had filed for confidential treatment of their position with the SEC.

For more on this firm, we've posted some of Trian's Q1 letter.

Per Google Finance, Bank of New York Mellon is "a global financial services company. The Company divides its businesses into two principal segments: Investment Management and Investment Services. It has an Other segment, which includes credit-related activities, the lease financing portfolio, corporate treasury activities (including its investment securities portfolio), its equity investments in Wing Hang Bank Limited and ConvergEx Group, business exits and corporate overhead. Its two banks are The Bank of New York Mellon, which houses its institutional businesses, including asset servicing, issuer services, treasury services, broker-dealer and advisor services and the bank-advised business of asset management, and BNY Mellon, National Association (BNY Mellon, N.A.), which houses its wealth management business. In May 2014, the Company acquired HedgeMark International, LLC, a provider of hedge fund managed account and risk analytic services."