activist full deck follow up

2021-02-18 · 57 pages

Pershing Square Holdings PSH

N 2 Narrative

V 3 Visual

C 3 Craft

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The three reasons

1
PSH returned 70.2% NAV / 84.8% TSR in 2020, beating S&P by 5,180 bps
2
CDS index hedges generated $2.6bn in proceeds against just $27mm of carrying cost
3
Hedging gains redeployed at March lows delivered 87% return on $1.95bn core reinvestment

KPIs cited

PSH NAV return 2020

70.2% net, highest annual return since strategy inception in 2004

Total shareholder return 2020

84.8% on Euronext Amsterdam-listed shares

Outperformance vs S&P 500

5,180 bps in 2020 (PSH 70.2% vs S&P 18.4%)

Discount to NAV

Narrowed from 28.9% at start of 2020 to 23.0% as of Feb 16, 2021

Compound annual return since 2004

16.9% PSLP/PSH vs 9.6% S&P 500

Cumulative net return since inception

1,330% PSLP/PSH vs 377% S&P 500 (1/1/2004 – 12/31/2020)

CDS hedge notional

$70.7bn total notional (CDX IG/ITRAXX Main/CDX HY) generating $2.6bn proceeds on $27mm carry

Redeployment return

$1.95bn invested into SBUX/HHC/LOW/HLT/RBI/A returned 87% ($1.95bn → $3.65bn)

Share buybacks 2020

$286mm at avg $20.81 / 32% discount to NAV; 6.6% of public shares retired

Total debt to total assets

17.7% as of 2/16/21; investment-grade, no margin leverage, laddered to 2039

Total AUM

$13.6bn across PSH/PSLP/PSI as of 2/16/2021

PSTH IPO

Raised $4bn at $20/unit on 7/22/20; +44% through 12/31/20

Pattern membership

Where this document fits across the library's 12 rhetorical / structural patterns. Orange cells are present in this deck; neutral cells are not.

Villain named CEO-quote contradiction Before / after framing Peer-gap chart Sum of parts Fraud exposé Break-up / spinoff Governance / board Management change Proxy fight Top visual craft Masterclass

Precedents cited

Pershing Square performance through the Global Financial Crisis 2007-2009

Composition what's on the 57 slides

Visual + textual elements counted across every slide in this deck. Hover a box for what that element is; click to see every slide in the corpus that uses it.

20 charts 12 tables 38 callout boxes 0 quote blocks 0 screenshots 0 photos 18 bullet lists 1 diagrams

Chart types used in this deck

16 Line chart 1 Vertical bar chart 1 Grouped bar chart 1 Area chart 1 Organisation chart

Slide gallery ·

All 57

No slide inventory yet

Pass-2 extraction may still be in progress for this deck.

Notes

Fund-level annual investor presentation for PSH (listed closed-end vehicle), not a single-target activist thesis. Cover credits Pershing Square Holdings institutionally with no named author, though Ackman is CEO/Portfolio Manager and the deck is authored by PSCM. Structure: chairman intro, 2020 performance review, business & org update, portfolio holdings recap (Lowe's, Chipotle, Agilent, Hilton, RBI, HHC, Starbucks, Fannie/Freddie, Berkshire). Key 2020 narratives: (1) the asymmetric CDS index hedge turning $27mm of carry into $2.6bn, (2) redeployment into SBUX/HHC/LOW/HLT/RBI/A at March lows, (3) PSTH SPAC launch. Standard PSH template: blue/green/red colored callout banners, dense bullets, line/bar charts with annotated event-callout boxes — the annotated share-price timeline pattern (pp. 39/41/43/45/55) is a stealable visual idiom. Several slides are section-divider-only (4, 16, 26, 37, 54). No villain, no demands, no breakup math, no closing ask — closes on Q&A per the agenda.

Fund

Pershing Square Pershing Square Capital Management

Classification

Sector: diversified
Phase: follow up
Type: full deck
Tone: analytical
Layout: balanced
Branded: Yes
Primary material: Yes