The charitable organization was created in 1988 over a Chinese dinner. Its goal is to fight poverty by incorporating investment principles into charitable giving.
The Robin Hood Foundation said in its 2023 annual report that it had invested more than $117.6 million in "strategies that permanently elevate New Yorkers from poverty."
In its mission to alleviate poverty in New York City, the group has now enlisted some of finance's heaviest hitters in a stock-picking contest.
The Pick-a-Ticker contestants donated $10,000 and made two stock picks—one long and one short—per entry.
Here are the picks of the legendary fund managers who are winning the contest so far.
Bill Ackman, CEO of Pershing Square Capital Management. is leading the Pick-a-Ticker event.Bloomberg/Getty Images
This is the foundation's inaugural competition, and according to a spokesperson, "participants have been very robust."
Since Oct. 28, top fund managers have been competing to see whose investments perform best over a six-month period.
The investor with the highest total return on their picks at the market close on April 30 will be the winner.
The total amount raised exceeds $400,000, including the contestants’ commitments and other donations toward the campaign. Two-thirds of the total purse will be allocated to the charity of the winner’s choice.
No. 1: Billionaire Bill Ackman leads with long bet on Fannie Mae
Bill Ackman, the billionaire founder and CEO of Pershing Square Capital Management, is currently in the lead.
His long pick is Fannie Mae (FNMA) — Federal National Mortgage Association — while his short sector pick is financials (short selling is a bet that a security's price will decline.)
On Dec. 30, Ackman said on X that "there is a credible path" for Fannie Mae and Freddie Mac to be removed from government conservatorship and made into private companies within the next two years.
As of now, his picks are way out in front with a total return of 269.6%.
No. 2: Tydall's Galant in second place with Robinhood
Mark Galant, CEO of Tydall Investment Partners, is an angel investor, real estate lender, and developer. He's in second place.
Galant's long pick is financial services company Robinhood Markets (HOOD,) and his short sector pick is communications. His total return so far? 70.9%.
As markets have strengthened, Robinhood shares are up 223% from a year earlier, reflecting optimism surrounding higher equity, option, and cryptocurrency trading volumes.
No. 3: Legendary hedge fund manager Paul Tudor Jones scores big with Bitcoin
In third place is billionaire Paul Tudor Jones, founder of Tudor Investment Corp. His long pick is iShares Bitcoin Trust ETF IBIT, and his short sector idea is iShares 20+ Year Treasury Bond ETF (TLT) .
Jones, who is featured in the popular Stock Markets Wizards book series, is up 39.6%, thanks to the iShares Bitcoin Trust, which is up nearly 90% from a year ago. Paul Tudor Jones bet against long bonds is also paying off. Despite Fed interest rate cuts, yields at the long end of the bond yield curve have risen, and bond prices have fallen as market bets on persistent inflation have increased.
As far as his approach to investing, Jones once said, "Where you want to be is always in control, never wishing, always trading, and always, first and foremost protecting your butt.”
No. 4: Greenlight's David Einhorn picks Peloton
In fourth place is another billionaire, hedge fund manager David Einhorn, founder and president of Greenlight Capital.
His long pick is fitness equipment and media company Peloton Interactive (PTON) , while his short sector choice is financials. He is seeing a 37.2% return.
In November, Einhorn said he was betting on Peloton and farm equipment company CNH Industrials through his hedge fund, according to Business Insider.
Peloton's stock price is up 37.4% from a year ago on prospects for a healthier balance sheet, potential cost-cutting, and higher pricing.
"Both poker and investing are games of incomplete information," Einhorn once said. "You have a certain set of facts, and you are looking for situations where you have an edge, whether the edge is psychological or statistical."
No. 5 Mangrove Partners' Nathaniel August bets on
Rounding out the top five is Nathaniel August, president of Mangrove Partners, August's long pick is Direxion Daily 20 Year Plus Treasury Bull 3x Shares (TMF) and his short pick is consumer discretionary. He is seeing a 33.1% total return.
Other picks from leading fund managers
Another prominent name in the contest is iconic fund manager Stan Druckenmiller, chairman and chief executive of Duquesne Family Office, in seventh place.
Druckenmiller is best known for shorting the British Pound in 1992 alongside George Soros. The two pocketed $1 billion on the bet that "broke the Bank of England."
More recently, Druckenmiller was in the spotlight last year for being early to own shares in Nvidia. He's since sold that stake at a healthy profit.
His long pick in the Robin Hood contest is Verona Pharma (VRNA) , while his short sector is consumer discretionary. His total return is 28.8%.
Verona's inhaled treatment for adults with chronic obstructive pulmonary disease (COPD) won FDA approval last June. On Jan. 8, it said fourth-quarter sales totaled $36 million in the multi-billion dollar blockbuster indication.
Galant’s name appears two more times on the list. He is holding down the 10th spot with AI semiconductor juggernaut Nvidia (NVDA) as his long pick and communications in the short sector. This pick is enjoying a 24.5% return.
In the 15th position, Galant lists his long pick as software company MicroStrategy (MSTR) and his short pick as aerospace icon Boeing (BA) . This combination is seeing a 15.9% return.
