According to BI: Everyone has been talking about the hedge
fund war over Herbalife — a multi-level marketing firm that sells weight loss
and nutrition products. One one side we have hedge fund titan Bill Ackman, the
founder of Pershing Square Capital Management, who is shorting the stock.
After Ackman publicly declared his short, hedge fund heavyweight
Daniel Loeb, the founder of Third Point LLC, took out a 8.24% stake in the
company on the long side. Some other
fund managers have also gone long Herbalife after disagreeing with Ackman's
short case. Ackman's rival Carl Icahn hasn't publicly said if he's long
Herbalife or not, but he slammed him on Bloomberg TV for his "holier than
thou" short calling him "disingenuous."
It's definitely been a real-life clash of the titans. The most important thing you have to realize
is that Herbalife itself is just the "McGuffin" in this story. It's a
plot device that moves the story along, but in itself means very little. A
classic McGuffin was the unidentified glowing item in the briefcase in Pulp
Fiction, which Marcellus Wallace was so eager to have returned to him. What was
it? Nobody knew or cared. But a fabulous story hinged on it. So, if you're just
coming into this story, we've put together a comprehensive guide of everything
you need to know about the Herbalife hedge fund war……:
Read more: http://www.businessinsider.com/everything-you-need-to-know-about-the-herbalife-hedge-fund-war-2013-1#ixzz2J0zBNEGi
No comments:
Post a Comment