The Latest in IT Security

Pyramid power: Herbalife’s questionable business practices don’t faze Wall Street

27
Nov
2013

On December 22, 2012, hedge fund manager Bill Ackman gave a three-hour presentation outlining why he believed Herbalife — a 33-year-old, multibillion-dollar, publicly traded nutritional supplement company — was actually an illegal pyramid scheme. Ackman argued that regulators at the US Federal Trade Commission (FTC) should immediately shut Herbalife down. He was so confident in Herbalife’s illegality that his hedge fund, Pershing Square Capital Management, placed a $1 billion bet against Herbalife’s stock price. Federal regulators would soon step in, he predicted, and Herbalife’s value on Wall Street would drop to zero.

Comments are closed.

Categories

THURSDAY, JULY 19, 2018

Featured

Archives

Latest Comments

Social Networks