Ackman recommends Fannie Mae, Freddie Mac at Sohn conference

NEW YORK Mon May 5, 2014 3:56pm EDT

NEW YORK May 5 (Reuters) - Activist investor William Ackman said on Monday that he recommends the shares of mortgage finance giants Fannie Mae and Freddie Mac because the companies have low liquidity risk.

Ackman, speaking at the Sohn Investment Conference in New York, said the shares of the companies, both of which are now trading around $4 a share, could be worth $23.

Ackman said Pershing Square Capital Management, his $13.6 billion hedge fund, has owned the common shares of the two companies since late last year. (Reporting by Svea Herbst-Bayliss; Editing by Leslie Adler)