After a disastrous third quarter that left him flat for the year, hedge-fund mogul Bill Ackman is coming back.
Ackman’s $11.5 billion Pershing Square hedge funds gained about 8 percent in October, according to a note sent to investors, a copy of which was reviewed by The Post.
The funds are up about 8.5 percent for the year.
All of Ackman’s holdings gained for the month, but the standout was Canadian Pacific, which rose 16 percent. That stock has tripled since Ackman bought it, leading him to sell about 30 percent of his stake last month for $835 million. It remains one of his biggest holdings.
Ackman’s controversial Herbalife short also gained during October, as the stock fell 7 percent for the month after he announced in early October that he restructured his short bet. It has moved against him all year, with investors like Carl Icahn taking the opposite side.
Ackman covered 40 percent of the equity short, replacing it with long-dated over-the-counter puts. The equity short is now about 10 percent of the portfolio.
About half of Herbalife’s fall — which would be Ackman’s gain — last month came on Oct. 31, when news leaked that the hedgie would unveil new information supporting his pyramid charges against Herbalife at the Robin Hood investment conference later this month.
Other big Pershing Square winners in October included Procter & Gamble, up 7 percent, and General Growth Properties, which gained 10 percent.
Ackman raised more than $1.3 billion after dumping his failed JCPenney investment and selling down Canadian Pacific. He has invested some of that in new, undisclosed positions.
Pershing Square now has $12 billion, including the special fund that invests only in Air Products, but that stock gained only 2.3 percent last month.