Examine the arguments made by both Third Point and Nestl on this issue Founded by Daniel S. Loeb in 1995, Third Point was an "event-driven, value-oriented" hedge fund from New York City that had approximately $17 billion in assets under management at the end of 2016. 27 In the past, Third Point had mounted activist campaigns against companies such as Yahoo! in 2012 (when Loeb was instrumental in hiring Marissa Mayer as CEO)28, Sony Corporation in 2013,29 and Sotheby's in 2013 (when Third Point succeeded in getting three board appointees).30 On June 25, 2017, Third Point communicated publicly about its $3.5 billion investment in Nestl. In an eight-page letter to Nestl's investors, Loeb called for various changes at the Swiss company. In putting forth the rationale for the changes that he sought, Loeb made the following arguments: Despite having arguably the best positioned portfolio in the consumer packaged goods industry, Nestl shares have significantly underperformed most of their US and European consumer staples peers on a three year, five year, and ten year total shareholder return basis. One year returns have been driven largely by the market's anticipation that with a newly appointed CEO, Nestl will improve. 31 In addition to urging Nestl to publicly set a more ambitious productivity goal, the Third Point letter talked specifically about both reshaping the portfolio and monetizing the L'Oral stake. Third Point pointed out that Nestl owned over 2,000 brands in the food and beverage and in the health sciences categories, and that managing a large n