Billionaire investor Bill Ackman has advised individual investors to put their capital into broad-market equity index funds for long-term growth.
The founder and CEO of Pershing Square shared his views during a recent interview, warning against bond investments due to lower historical returns and rising capital costs driven by massive corporate spending on artificial intelligence infrastructure.
>>> Chivas Hosts Toluca in Apertura 2026 Opener at Akron Stadium
"Pick an index fund," Ackman said, emphasizing that broad equity index funds remain the most accessible tool for retail investors seeking long-term liquidity and high growth potential.
Ackman's Concentrated Portfolio
While recommending index funds for most investors, Ackman continues to manage a concentrated portfolio through Pershing Square.
His top bets include Restaurant Brands International, Brookfield Corporation, Amazon, Microsoft, and Uber Technologies.
Investors can access these positions directly through the Pershing Square USA fund, but low-cost exchange-traded funds such as the Vanguard Mega Cap ETF and Vanguard Growth ETF hold nearly identical major assets with lower management expenses.
Within his core equities portfolio, Amazon and Microsoft represent major bets on artificial intelligence infrastructure.
Amazon Web Services generated $37.59 billion in first-quarter revenue, while Microsoft's AI segment surpassed a $37 billion annual run rate.
>>> Bruno Mars Kicks Off Six-Night Wembley Residency on Romantic Tour
"The two largest AI labs in the world in OpenAI and Anthropic have made multi-year, multi-gigawatt commitments to Trainium," said Amazon CEO Andy Jassy.
"Today, 98% of the top 1000 EC2 customers use Graviton in a very expansive way."
