Business

Herbalife beats JCP as Ackman’s biggest loser

Hedge-fund manager Bill Ackman’s high-profile bet against nutritional-supplement maker Herbalife is the top loser in the 10-year history of his firm, according to investor documents viewed by The Wall Street Journal.

The wager has lost 49 percent, making it the top loser since Ackman founded Pershing Square Capital Management in 2004, according to the presentation from an annual investor dinner held earlier this month.

Ackman has publicly said that he believes Herbalife is a pyramid scheme, which the company denies. Herbalife’s shares soared about 140 percent last year as several big-name investors piled into the stock, including Carl Icahn and George Soros.

Ackman said in the presentation he was sticking with the bearish bet.

A Pershing Square spokeswoman declined to comment.

The Herbalife investment is thus far a worse performer than Ackman’s foray into retailer JCPenney, a bet that lost 41 percent, the February presentation indicated. Pershing Square sold its JCPenney investment last year.

Still, Pershing Square has made far more from its successful campaigns.

The article originally appeared on Marketwatch.