What We're Reading ~ 8/31/16

Jesse Livermore: The man who sold America short in 1929 [Tom Rubython]

50 of the best investing blogs [Acquirers Multiple]

Why value investors are different [Seth Klarman]

Paul Tudor Jones and the nature of the beast [A Wealth of Common Sense]

Be mindful of rich valuations in low volatility stocks [Morningstar]

What are interest rates forecasting for stocks? [Cordant]

Are you smarter than an algorithm? [Financialist]

A new payoff to risky decisions [Psychology Today]

Don't let what you cannot do interfere with what you can [Tony Isola]

German savers lose faith in banks, stash cash [WSJ]

Coach's brand transformation fake-out [Glenn Chan]

Can TripAdvisor turn things around? [Skift]

Dollar Stores' startling admission: half of US consumers are in dire straits [Zero Hedge]

Tencent: WeChat's world [Economist]

The twilight of China's online consumer paradise [Bloomberg]

Why Amazon is suddenly swimming in cash [Internet Retailer]

The war on cash [The Long and Short]

Ruane Cunniff (Sequoia Fund) Investor Day Transcript 2016: Rolls Royce, Valeant & More

Ruane Cunniff Goldfarb, managers of the Sequoia Fund, recently released the transcript from its investor day.  In it, they talk about many of their investments.

Their top ten holdings as of the end of the second quarter were:  Berkshire Hathaway (BRK.A/B), TJX Companies (TJX), MasterCard (MA), Alphabet (GOOG/L), O'Reilly Auto (ORLY), Mohawk Industries (MHK), Fastenal (FAST), Rolls Royce (RR.L), Constellation Software (CSU.T), and Dentsply Sirona (XRAY).

They outline their thinking on Rolls Royce and also address the Valeant Pharmaceuticals (VRX) saga, which they no longer own.

Embedded below is the transcript of Ruane Cunniff's 2016 Investor Day:



You can download a .pdf copy here.

Hound Partners Boosts Media General Stake

Jonathan Auerbach's hedge fund firm Hound Partners has filed a 13G with the SEC regarding its position in Media General (MEG).  Per the filing, Hound now owns 5.63% of MEG with over 7.28 million shares.

This is an increase of over 5.14 million shares since the end of the second quarter when they owned 2.13 million shares.  The filing was made due to activity on August 18th.

You can view the rest of Hound Partners' portfolio in the brand new issue of our newsletter.

Per Google Finance, Media General is "is a connected-screen multimedia company. The Company provides news, information and entertainment. The Company's operating segments include Broadcast and Digital. Its Broadcast segment includes over 70 television stations that are either owned, operated or serviced by the Company in approximately 48 United States markets, all of which are engaged principally in the sale of television advertising. The Company's Digital segment includes the operating results of the Company's digital businesses, as well as the business operations related to the television station companion Websites. Digital segment includes LIN Digital, LIN Mobile, LLC (LIN Mobile), HYFN, Inc. (HYFN), Dedicated Media, Inc. (Dedicated Media), BiteSize TV and Federated Media, as well as the business operations related to the television station companion Websites. LIN Digital provides display and video advertising on LIN Digital's advertising network."

Warren Buffett Files Another Form 4 on Phillips 66

Warren Buffett last week indicated he had bought more Phillips 66 (PSX) for Berkshire Hathaway.  That trend continued with the filing of yet another Form 4 with the SEC.

The latest filing notes he purchased another 83,466 shares at a weighted average price of $78.2878 on August 25th.  This brings his total PSX ownership up to over 79.56 million shares.

You can view the rest of Buffett's latest investment activity in the brand new issue of our newsletter.

Per Google Finance, Phillips 66 is "an energy manufacturing and logistics company with midstream, chemicals, refining and marketing, and specialties businesses. The Company operates its business through four segments: Midstream, Chemicals, Refining, and Marketing and Specialties (M&S). The Midstream segment includes its equity investment in DCP Midstream , LLC (DCP Midstream) and its investment in Phillips 66 Partners LP. The Midstream segment consists of three business lines: Transportation, DCP Midstream and NGL. The Midstream segment also transports crude oil and other feedstocks to refineries and other locations, and delivers refined and specialty products to market, and provides storage services for crude oil and petroleum products. The Chemical segment manufactures and markets petrochemicals and plastics. The refining segment buys, sells and refines crude oil and other feedstocks into petroleum products. The M&S segment purchases for resale and markets refined petroleum products." 

Warren Buffett Buys More Phillips 66

Warren Buffett's Berkshire Hathaway has filed a Form 4 with the SEC regarding his stake in Phillips 66 (PSX).  Per the filing, Buffett acquired more shares on August 22nd, 23rd, and 24th.

In total, he purchased 704,181 shares at weighted average prices of around $77.04 - $78.15.  After these transactions, Berkshire now owns 79.48 million shares of PSX.

We've highlighted in the past how Buffett has been acquiring PSX shares in recent months.

Per Google Finance, Phillips 66 is "an energy manufacturing and logistics company with midstream, chemicals, refining and marketing, and specialties businesses. The Company operates its business through four segments: Midstream, Chemicals, Refining, and Marketing and Specialties (M&S). The Midstream segment includes its equity investment in DCP Midstream , LLC (DCP Midstream) and its investment in Phillips 66 Partners LP. The Midstream segment consists of three business lines: Transportation, DCP Midstream and NGL. The Midstream segment also transports crude oil and other feedstocks to refineries and other locations, and delivers refined and specialty products to market, and provides storage services for crude oil and petroleum products. The Chemical segment manufactures and markets petrochemicals and plastics. The refining segment buys, sells and refines crude oil and other feedstocks into petroleum products. The M&S segment purchases for resale and markets refined petroleum products.."

ValueAct Capital Adds to Alliance Data Systems, 21st Century Fox Stakes

Jeff Ubben's activist firm ValueAct Capital has submitted a few filings to the SEC recently regarding his positions.

ValueAct Adds To Alliance Data Systems

First, Ubben's firm has filed an amended 13D regarding their newer position in Alliance Data Systems (ADS).  Per the filing, ValueAct now owns 8.5% of the company with 5 million shares.

This is an increase over the 3.28 million shares they owned at the end of the second quarter.  They've been buying as recently as late August at prices of $199.13 - $204.07.

The 13D also notes that ValueAct intends to have conversations with management and the board on ways to enhance shareholder value.

We recently detailed the rest of ValueAct's portfolio (and 24 other hedge funds) in the brand new issue of our newsletter.

Per Google Finance, Alliance Data Systems is "is a provider of data-driven marketing and loyalty solutions serving consumer-based businesses in a range of industries. The Company offers a portfolio of integrated outsourced marketing solutions, including customer loyalty programs, database marketing services, end-to-end marketing services, analytics and creative services, direct marketing services, and private label and co-brand retail credit card programs. The Company operates through three segments: LoyaltyOne, which provides coalition and short-term loyalty programs through the Company's Canadian AIR MILES Reward Program and BrandLoyalty; Epsilon, which provides end-to-end, integrated marketing solutions, and Card Services, which provides risk management solutions, account origination, funding, transaction processing, customer care, collections and marketing services for the Company's private label and co-brand retail credit card programs."


Jeff Ubben Buys More 21st Century Fox

Second, ValueAct Capital has filed a Form 4 with the SEC regarding its stake in 21st Century Fox (FOX / FOXA).  Per the filing, ValueAct was out buying FOX shares on August 16th - 18th.

Ubben purchased 3 million shares in total at prices ranging from $25.86 - $26.13.  After these buys, they now own over $47.3 million shares.  Ubben is on FOX's board and it seems they want the company to go more direct to consumer with their media offerings.

You can view the rest of Jeff Ubben's portfolio here.

Per Google Finance, 21st Century Fox is "a media and entertainment company. The Company operates through segments: Cable Network Programming, Television, Filmed Entertainment, and Other, Corporate and Eliminations. The Company produces and licenses news, business news, sports, general entertainment, factual entertainment and movie programming for distribution primarily through cable television systems, direct broadcast satellite operators, telecommunications companies and online video distributors in the United States and internationally. The Company is engaged in the operation of broadcast television stations and the broadcasting of network programming in the United States. The Company is engaged in the production and acquisition of live-action and animated motion pictures for distribution and licensing in all formats in all entertainment media, and the production and licensing of television programming around the world."

Howard Marks' New Memo "Political Reality"

Oaktree Capital's Chairman Howard Marks has been busy writing memos these days.  We posted his most recent note, Economic Reality recently.  Now he's released another missive, entitled "Political Reality."

As the title implies, this one is less investing related and more about the political and economic environment.  

Embedded below is Howard Marks' memo:



You can download a .pdf copy here.

For more from Marks, be sure to also check out his highly praised book on investing, The Most Important Thing.

What Stocks Have Top Hedge Funds Been Buying & Selling?

Want to know what stocks hedge funds have been buying & selling?  Our 82-page quarterly newsletter summarizes the latest 13F filings of 25 top funds.  The brand new Q2 issue of Hedge Fund Wisdom is now available.  Subscribers please go to www.hedgefundwisdom.com and login to download.

Inside The New Issue

- Investment thesis summaries on ServiceMaster (SERV) and Western Digital (WDC).  Catch up quickly on why hedge funds have been active in these stocks.

Last quarter's issue featured write-ups on Yelp (YELP) and AmerisourceBergen (ABC) which are up 53% and 18.75% respectively since then (versus 6.4% for the S&P 500).  When you sign up below, you'll also get immediate access to the full archive of issues too.

- New consensus buy/sell lists: see what the most popular trades are

- Updated portfolio sheets of 25 top hedge funds including Baupost Group, Appaloosa, Viking, Lone Pine, Third Point, ValueAct, Farallon and other big names

- Commentary on each fund's moves including short sale positions in European markets when applicable

- New fund added this quarter: the newsletter now also tracks Glenn Greenberg's Brave Warrior Advisors


Subscribe Below For Immediate Access


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So You Want To Start A Hedge Fund By Ted Seides Book Review

Ted Seides has written an instrumental book that assuredly is applicable to a large portion of our readers: So You Want To Start A Hedge Fund: Lessons For Managers and Allocators.

Seides is the former President and co-CIO of Protégé Partners, which specialized in seeding and investing in hedge funds.  Prior to that, he worked under David Swensen in the Yale University Investment Office.   

The book greets potential fund managers with an assault of reality, but also a roadmap to success.  True investors love to learn from the mistakes of others, and that's where this book excels.

Seides profiles various funds but instead of doing a deep dive on the manager, he isolates which factors contributed to either the success or failure of the fund and outlines them as lessons for both a prospective manager and prospective allocator.  This dual-viewpoint focus allows the reader to learn from the perspective of differing lenses, offering a glimpse inside the thought process of those sitting opposite them at the sales table.

At the end of each chapter, there's a brief summary of "Lessons For Managers" as well as "Lessons For Allocators" directly targeted at each audience, which are incredibly useful.  People short on time could merely skip to the end of each chapter to quickly digest the lesson.  But pay heed: the context provided in each chapter paints a picture as to *why* that lesson was learned, which is the crux of learning from successes / mistakes of others to begin with.  

While the vast majority of chapters are aimed at the manager crowd, there's also a separate chapter dedicated to investing in start-up hedge funds.  Allocators get a lucid look at how to spot potential developing red flags as well as a tidy list comprised of traits and intricacies that can lead to manager success.

The book highlights lessons learned from funds such as:  Eton Park Capital, Senator Investment Group, Tourbillon Capital, Whitebox Advisors, Scion Capital, Brenner West Partners, Sabretooth Capital, and Signpost Capital.  Many other funds are also featured under pseudonyms, but the lessons remain the same.


Examples Of Lessons Learned In The Book 

Here's a brief sample: one manager left a pedigree fund and launched his own firm.  His stock picks performed well and assets under management rose.  The manager tried to establish a positive, collaborative culture.  He allowed analysts to source and research ideas.  While he ultimately made the buy/sell decisions, the performance of analyst picks lagged the manager's considerably.

Seides' lesson for managers?  "Put your destiny in your own hands."  The manager had good intentions of building a collaborative environment, but performance suffered because of it.  He then let analysts go and added more hierarchy to the investment process.  In an industry where performance is constantly under a microscope, one mistake can cost a fund its entire existence.

One other quick example from the book: a manager started a fund and instead of getting invested in a rising market, tried to wait and time the market for better value.  His performance lagged initially, investors never really took an interest, and eventually the fund closed down.

Seides articulated the lesson as follows: "When getting started, don't let perfect be the enemy of good."  He adds, "Even if a new fund starts slowly and preserves capital better than others in a tough tape, it must demonstrate the ability to then turn and make money for its clients before prospects will get interested.  Getting one market call correct is difficult enough; getting two right consecutively requires twice as much luck." 

While we highlighted two mistakes as examples, the book also offers a myriad of success stories that outline how various funds attracted capital, built their brand, refined their strategy, and more.

While some might say that the title is perhaps slightly corny, consider this:  So You Want To Start A Hedge Fund has already been endorsed by numerous prominent hedge fund managers themselves.  Bill Ackman (Pershing Square), Scott Bessent (Key Square Group, ex-Soros Fund), Jason Karp (Tourbillon), and Jonathan Auerbach (Hound Partners) all praise the book.   

It also includes a Foreword by Steve Galbraith (ex-Maverick Capital, Herring Creek Capital).


Who should read this book?  

There are two types of people especially who will benefit from reading: those that have even the slightest desire to manage their own fund (obviously) and allocators who invest (or are looking to start investing) in hedge funds.  There are hardly any books on the topic of how to select hedge funds and what to look for, so anyone even remotely interested in that subject would benefit immensely (high net worth investors, nascent family offices, financial advisors, aspiring fund-of-funds, etc).


How long is the book?  

This is a perfect fit for those who believe that time is our most valuable asset.  It's an incredibly swift read at only 195 pages (with pages that are much smaller than normal).  You can easily finish it in 2-3 hours or one sitting.  This is a huge asset when you consider just how much practical advice is distilled.  In other words, it gets straight to the point.


What this book is not

It's not a step-by-step list of how to setup a fund.  So if you're expecting that, you'll be disappointed (there's plenty of other resources out there on that subject).  This is not a guide on legal structures, service providers, prime brokers, infrastructure, etc. 


Final Word

Simply put, So You Want To Start A Hedge Fund offers a very high insights-gleaned to time-spent ratio.  If you have any desire whatsoever to start your own fund, read this book.  If you have any desire to invest in hedge funds whatsoever, read this book.  Given the high stakes involved in the industry, it's probably not hyperbolic to say that the lessons learned could potentially help make (or save) millions.
 

What We're Reading ~ 8/10/16

When you don't know what you don't know [Medium]

The mirage of relative performance [ai-cio]

On investing and getting comfortable with being uncomfortable [Cordant Wealth]

Jim Grant: negative interest rates will end badly [CFA Institute]

Mark Hart bets China's currency will collapse [Bloomberg]

Interview with Daniel Kahneman [The Big Picture]

Daniel Dennett's most useful critical thinking tools [Farnam Street]

A look at Jefferies [Dealbook]

Coho Capital's pitch on Amazon [ValueWalk]

Think Amazon's drone delivery is a gimmick? Think again [NYTimes]

An e-commerce business' experience with the Amazon behemoth [Medium]

What happens to tons of jobs with autonomous vehicle disruption? [NPR] 

Why we pine for manufacturing [New Yorker]

Mark Zuckerberg on the next 10 years [The Verge]

Playing the long game inside Tim Cook's Apple [FastCompany]

Google and Facebook killed free media [Bloomberg]

What disruption really means [Hardbound]

ValueAct Capital Buys More CBRE Group Shares

Last week, we highlighted how Jeff Ubben's activist firm ValueAct Capital added to its CBRE Group position.  They've filed another Form 4 indicating they acquired some more shares recently.

The filing notes ValueAct bought 182,060 CBG shares on August 4th at a price of $28.50.  This brings their total ownership up to over 34.62 million shares.

Per Google Finance, CBRE Group is "a holding company that conducts all of its operations through its subsidiaries. The Company is a commercial real estate services and investment company. The Company operates through the segments: The Americas; Europe, Middle East and Africa (EMEA); Asia Pacific; Global Investment Management, and Development Services. It offers services to occupiers, owners, lenders and investors in office, retail, industrial, multifamily and other types of commercial real estate. It offers commercial real estate services under the CBRE brand name, investment management services under the CBRE Global Investors brand name and development services under the Trammell Crow Company brand name. It is focused on several competencies, including commercial property, corporate facilities, project and transaction management, tenant/occupier and property/agency leasing, capital markets solutions, real estate investment management, valuation, development services and proprietary research." 

Tybourne Capital Ups Boston Beer Stake

Eashwar Krishnan's hedge fund firm Tybourne Capital has filed a 13G with the SEC regarding shares of Boston Beer (SAM).  Per the filing, Tybourne now owns 10.1% of SAM with 911,613 shares.

This is an increase of 152,202 shares since the end of the first quarter.  The filing was made due to activity on July 31st.  This is the second time Tybourne has upped its SAM stake in recent months.

Prior to founding Tybourne, Krishnan worked at Lone Pine Capital.

Per Google Finance, Boston Beer is "a craft brewer in the United States. The Company is engaged in the business of producing and selling alcohol beverages primarily in the domestic market and in international markets. The Company operates through two segments: Boston Beer Company segment and A&S Brewing Collaborative segment. The Boston Beer Company operating segment comprises of the Company's Samuel Adams, Twisted Tea and Angry Orchard brands. The A&S Brewing Collaborative operating segment comprises of The Traveler Beer Company, Coney Island Brewing Company, Angel City Brewing Company and Concrete Beach Brewing Company. It sells over 60 beers under the Samuel Adams and the Sam Adams brand names, over 10 flavored malt beverages under the Twisted Tea brand name, over 10 hard cider beverages under the Angry Orchard brand name and approximately 40 beers under over four of the brand names of its subsidiary, A&S Brewing Collaborative LLC, under its trade name Alchemy & Science."

Ten Attributes of Great Investors By Michael Mauboussin

Michael Mauboussin and Credit Suisse have put out a piece entitled "Reflections on the Ten Attributes of Great Investors."  It's basically a clinic on being an investor, it's fantastic.

There are so many quotable passages that you really should just read the whole document.  Each underlying attribute has multiple paragraphs of rationale behind it.  But here's a quick summary:

Mauboussin's 10 Attributes of Great Investors

1.  Be numerate (and understand accounting).

2.  Understand value (the present value of free cash flow).

3.  Properly assess strategy (or how a business makes money).

4.  Compare effectively (expectations versus fundamentals).

5.  Think probabilistically (there are few sure things).

6.  Update your views effectively (beliefs are hypotheses to be tested, not treasures to be protected).

7.  Beware of behavioral biases (minimizing constraints to good thinking).

8.  Know the difference between information and influence.

9.  Position sizing (maximizing the payoff from edge).

10.  Read (and keep an open mind).     


Embedded below is Mauboussin's 10 Attributes of Great Investors:





Mauboussin is an excellent resource for investors looking to refine their approach and process.  We highly recommend his books such as, The Success Equation: Untangling Skill and Luck in Business, Sports, and Investing as well as Think Twice: Harnessing the Power of Countertuition.

Market Strategist Jeff Saut's Latest Commentary: "Deja Vu"

It's been a while since we checked in on market strategist Jeff Saut of Raymond James.  His latest piece is entitled "Deja Vu."  In it, he touches on the fact that many market participants are flagging various bearish signals and expecting a big pullback.  He lays out his response given that he's been bullish since the February low this year.

Embedded below is Jeff Saut's latest market commentary, Deja Vu:



You can download a .pdf copy here.

Third Point Discloses Kadmon Holdings Equity Stake

Dan Loeb's hedge fund Third Point has filed a 13G with the SEC regarding its position in Kadmon Holdings (KDMN).  Per the filing, Third Point now owns 17% of the company with over 7.61 million shares.

This is a newly disclosed equity position for the fund and the filing was made due to activity on July 26th.  The company recently completed its initial public offering (IPO).

Third Point was originally a 'second lien' debt holder of Kadmon prior to its IPO.  This debt converted into common shares at an 80% discount to the IPO price.  Third Point was the largest holder of second lien debt.

For more on this hedge fund, head to Third Point's Q2 letter which talks about some of their latest investments.

Per Google Finance, Kadmon Holdings is "a biopharmaceutical company, which is engaged in the discovery, development and commercialization of small molecules and biologics. The Company is developing product candidates within autoimmune and fibrotic diseases, oncology and genetic diseases. The Company offers KD025, Tesevatinib in Oncology, Tesevatinib in polycystic kidney disease (PKD) and KD034. It offers tablets and capsules, such as Ribasphere RibaPak, Ribasphere tablets, Ribasphere, Qsymia, Tetrabenazine and Valganciclovir. KD025 is its candidate in its rho-associated coiled-coil kinase 2 (ROCK2) platform, which is an oral, selective ROCK2 inhibitor. Tesevatinib is an oral tyrosine kinase inhibitor (TKI) designed to block molecular drivers of tumor growth, metastases and drug resistance. KD034 is its portfolio of formulations of trientine hydrochloride, a chelating compound for the removal of excess copper from the body, for the treatment of Wilson's disease."

Wall Street Journal 50% Discount Expires Tonight

Just a reminder that the big Wall Street Journal 50% discount expires tonight (Sunday, August 7th).  It applies to whatever format you want: print, digital, or both. 

Here's the link to the offer: Save 50% off The Wall Street Journal

If you're interested, be sure to sign up before it expires tonight!

Hedge Fund Links ~ 8/5/16

Excerpts from Raging Capital's latest letter [ValueWalk]

Thoughts from Lee Cooperman in his Q2 letter [Business Insider]

Carlson Capital Q2 letter excerpts [Business Insider]

Steve Cohen's performance coach on the trait of successful traders [Yahoo Finance]

Jim Simons: computer trading is good for markets [CNBC]

Howard Marks says hedge fund 'geniuses' spawned too many firms [Bloomberg]

Howard Marks' Addendum to 'Economic Reality' Memo

Howard Marks of Oaktree Capital released his most recent memo entitled 'Economic Reality' a few months ago.  However, we forgot to post the addendum he added to it.  The original piece is insightful so definitely check it out if if you haven't already via the link above.

Here's what he added:

"There’s been a lot of response since the memo that follows was originally published on May 26.  In the discussions that have ensued, I realized that I should have led with something like this:  

Ultimately, economics is the study of choice.  Because choices range over every imaginable aspect of human experience, so does economics. . . .  

How do individuals make choices:  Would you like better grades?  More time to relax?  More time watching movies?  Getting better grades probably requires more time studying, and perhaps less relaxation and entertainment.  Not only must we make choices as individuals, we must make choices as a society.  Do we want a cleaner environment?  Faster economic growth?  Both may be desirable, but efforts to clean up the environment may conflict with faster economic growth.  Society must make choices. . . .  

We would always like more and better housing, more and better education – more and better of practically everything.  

If our resources were . . . unlimited, we could say yes to each of our wants – and there would be no economics.  Because our resources are limited, we cannot say yes to everything.  To say yes to one thing requires that we say no to another.  Whether we like it or not, we must make choices.  

Our unlimited wants are continually colliding with the limits of our resources, forcing us to pick some activities and to reject others.  Scarcity is the condition of having to choose among alternatives.  (Macroeconomics Principles, Libby Rittenberg and Tim Tregarthen.  Emphasis added)  

Because of the above, we make economic choices every day.  Everyone knows choices like these are inescapable.   

Everyone, that is, except for politicians.  The politician promises better grades and more leisure time.  A cleaner environment and faster economic growth.  That’s what caused me to write the memo: in politics and government – unlike the real world – the word “or” often goes out the window, replaced by “and.”  No choices are necessary.   

A few months ago I saw a cartoon featuring caricatures of two primary opponents.  Under one it said “bulls**t” and under the other it said “free s**t.”  There’s bound to be a lot of the former in any election season, but economics tells us the latter is unrealistic.  I wrote this memo to help readers understand why."

You can read the rest of Howard Marks' memo 'Economic Reality' here.


For more on this investor, check out Howard Marks' presentation at the London Value Investor Conference.

ValueAct Capital Buys More CBRE Group

Jeff Ubben's activist firm ValueAct Capital has filed a Form 4 with the SEC regarding their position in CBRE Group (CBG).

Per the filing, ValueAct was buying shares on August 1st, 2nd, and 3rd at prices around $28.40.  In total, they bought 1,502,200 shares.  After these purchases, they now own over 34.43 million shares of CBG.

You can view other recent portfolio activity from ValueAct here.

Per Google Finance, CBRE Group is "a holding company that conducts all of its operations through its subsidiaries. The Company is a commercial real estate services and investment company. The Company operates through the segments: The Americas; Europe, Middle East and Africa (EMEA); Asia Pacific; Global Investment Management, and Development Services. It offers services to occupiers, owners, lenders and investors in office, retail, industrial, multifamily and other types of commercial real estate. It offers commercial real estate services under the CBRE brand name, investment management services under the CBRE Global Investors brand name and development services under the Trammell Crow Company brand name. It is focused on several competencies, including commercial property, corporate facilities, project and transaction management, tenant/occupier and property/agency leasing, capital markets solutions, real estate investment management, valuation, development services and proprietary research."

Pershing Square To Sell Entire Canadian Pacific Stake

Bill Ackman's Pershing Square has announced with Canadian Pacific (CP) that the hedge fund will be selling the rest of its remaining CP stake with a public offering of just over 9.84 million shares.

Apparently Ackman will be using the proceeds to deploy into one or more new positions.  He will also stay on CP's board until the next annual meeting.

You can view other recent portfolio activity from Pershing Square here.

Per Google Finance, Canadian Pacific "together with its subsidiaries, operates a transcontinental railway in Canada and the United States. The Company operates in rail transportation segment. The Company's business mix includes bulk commodities, merchandise freight and intermodal traffic over a network of approximately 12,500 miles, serving the principal business centers of Canada from Montreal, Quebec, to Vancouver, British Columbia, and the United States Northeast and Midwest regions. The Company transports bulk commodities, merchandise freight and intermodal traffic. Bulk commodities include Canadian grain, U.S. grain, coal, potash, and fertilizers and sulfur. Merchandise freight consists of finished vehicles and automotive parts, as well as forest and industrial and consumer products. Intermodal traffic consists of retail goods in overseas containers that can be transported by train, ship and truck and in domestic containers and trailers that can be moved by train and truck.."