Hedge fund manager Bill Ackman has thrown his considerable wealth and support behind Democrat Rep. Dean Phillips presidential campaign.
Billionaire hedge fund manager Bill Ackman plans to donate $1 million to a political action committee (PAC) backing Rep. Dean Phillips (D-MN), a Democrat who launched a primary challenge to President Joe Biden in October last year.
Mr. Phillips is a 54-year-old, three-term congressman from Minnesota who launched a run for the Democratic nomination in 2023. According to his campaign website, he ran several successful businesses before being elected to office.
In his Jan. 13 statement on X (formerly Twitter), Mr. Ackman said, in his opinion, Mr. Phillips would be a “truly outstanding President of the United States,” a conclusion he came to after a recent meeting.
My best and favorite investments come from a deep understanding of the importance of asymmetry, that is, by understanding the potential risk and reward, and making sure that the reward overwhelming compensates for the risk. I have made some great asymmetric investments at…
— Bill Ackman (@BillAckman) January 14, 2024
According to the billionaire, Mr. Phillips visited Pershing Square Capital Management and presented to “nearly all of our employees.” Whatever Rep. Phillips said must have resonated with Mr. Ackman because he said it inspired him to substantially increase the initial $3,300 donation he had planned to donate to his campaign.
“On Tuesday, I am wiring $1 million to a political action committee that supports Dean’s run,” Mr. Ackman said.
“This is by far the largest investment I have ever made in someone running for office, and I am making this investment at a high-risk, but critically important moment for his campaign.”
According to Mr. Ackman, the U.S. is just like a business, but in his view, a poorly run one, with significant pension liabilities, high health care costs, wasteful bureaucracy, and an enormous amount of debt, among other issues. To date, the Treasury Department estimates that America’s total debt stands at over $34 trillion.
“Dean is first an entrepreneur and a successful business leader. He has sensible views and ideas for addressing many of our country’s most recalcitrant problems.
“I was impressed with both his command of what is needed to drive the economy and reduce the cost of government, in addition to his surprising command of foreign policy, which he has gleaned from his experience in the Congress and on the Foreign Affairs Committee,” Mr. Ackman said.
