While I believe Bill Ackman to be one of the smartest investors in the field, I don’t believe with his original assessment on Herbal Life (HLF).  There was nothing in his research report that really told me that it was a Pyramid Scheme by any stretch of the imagination and being so public about it, calling for regulators to step in is not something I can relate to for a product that I believe helps more than it hurts.  I don’t believe that being long the stock at current prices is the most attractive risk/reward, but I certainly think he is being overly dramatic by saying it is the worst risk/reward he has ever seen in his career, and when someone makes such outrageous statements I believe it is quite obvious that personal feelings are taking the place of judgement.  Anyhow, Ackman’s letters are always thoughtful and intelligent and this is no exception.

http://www.scribd.com/doc/172910887/3q13-Investor-Letter-Bill-Ackman-Herbalife

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