Vanguard ETFs MGC and VUG hold seven of Ackman’s eight public positions with expense ratios as low as 0.03%.
Investors can replicate Bill Ackman’s high-conviction stock picks through low-cost ETFs like Vanguard Mega Cap ETF (MGC) and Vanguard Growth ETF (VUG). Both funds hold seven of Ackman’s eight publicly traded positions, including Microsoft (MSFT), Amazon (AMZN), and Meta Platforms (META), at expense ratios of 0.07% and 0.03%, respectively.
Pershing Square USA (PSUS), Ackman’s closed-end fund, offers direct exposure to his strategy but charges a 2% annual management fee and trades at a 22% discount to net asset value. While PSUS avoids performance fees, its concentrated portfolio contrasts with the broader diversification of MGC and VUG.
The ETFs provide exposure to the same high-quality businesses underpinning Ackman’s long-term returns, making them an alternative for cost-conscious investors.