Bill Ackman is doing something new and is getting behind another hedge besides his own, but it is still a hedge fund that is pretty close to home. Ackman, whose hedge fund was among the best-performing of 2014, with a stellar 38% return thanks in part to the bet that Botox maker Allergan would be sold, is going to invest in Clearfield Capital Management, the largest investment he has made in a hedge fund besides his own $18 billion Pershing Capital, according to the Wall Street Journal.
Although Clearfield may not be Ackman’s own hedge fund, it has blood lines related to his, as its manager, Phil Hilal, someone Ackman says is “worth watching, ” is the brother of Paul Hilal, who is a partner at Pershing Square. Maybe Phil is “worth watching” in the sense that Ackman wants to keep his eye on him, particularly his winning investment calls. Business Insider reports that Phil Hilal’s pick of Energy Transfer Equity returned 40.47% and Northstar Realty was up 51.98%.
Phil Hilal’s past work experience includes Kindgon Capital, Davidson Kempner Capital and Goldman Sachs. Clearfield is a special situations hedge fund that will focus on event-driven investments, and should start trading in early 2015. While Ackman has invested in hedge funds in the past, those were short-term investments, and Ackman will be locking up his money in Clearfield for several years.