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Bill Ackman Believes Investors Can Make 10 Times Their Money Investing In Fannie Mae

Sam RoMay 6, 2014, 03:10 IST

REUTERS/Eduardo Munoz William Ackman, founder and CEO of hedge fund Pershing Square Capital Management, speaks at the Sohn Investment Conference in New York, May 5, 2014.

Hedge fund manager Bill Ackman made his uber-bullish case on Fannie Mae through a 110-slide presentation at the Sohn Investment Conference in NYC today.

He characterized the investment as "owning a royalty on every mortgage."

According to Bloomberg, Ackman said Fannie could be worth $23 to $47 per share.

The stock closed at $4.10 today.

"There is no viable alternative," said Ackman noting the firm's critical position in the U.S. mortgage finance market.

Ackman is the largest hedge fund shareholder in Fannie with a roughly 10% stake in the company.