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Billionaire Bill Ackman says he made $2.5 billion in just 10 days by predicting the economic impact of the pandemic

The article recounts Bill Ackman’s March 2020 trades when he purchased credit-default swaps (about $74 billion notional) to hedge Pershing Square, spending roughly $27 million and realizing roughly $2.5–2.6 billion within ten days as markets plunged. It notes his high-profile warnings (March 18, 2020) and media appearances, which some critics say exacerbated market panic and helped trigger circuit breakers. The piece frames the episode as both a profitable risk-hedge and a cautionary example about public commentary’s market impact, offering takeaways for investors — have emergency savings, diversify, and plan for downturns. Market-impact themes: effective use of CDS hedges, the outsized effect of prominent voices on sentiment, and the value of disciplined crisis planning.

Category

US 500

Sentiment

Mixed

Event

Market commentary

Reading time

1 min