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"He counseled Mr. Trump on economic matters during the campaign. He gave $250,000 to Mr. Trump’s inaugural committee. And he recently visited President Trump at
by aswanson 10y ago
"He counseled Mr. Trump on economic matters during the campaign. He gave $250,000 to Mr. Trump’s inaugural committee. And he recently visited President Trump at the White House for a “C.E.O. Town Hall....”"
...Steven T. Mnuchin, the Treasury secretary, has pledged to return the mortgage finance giants to free-standing publicly traded companies, a development that could make Mr. Paulson’s funds big profits. Mr. Paulson and Mr. Mnuchin, a former hedge fund manager, once worked together to pull OneWest Bank out of the wreckage of IndyMac, a lender that the federal government seized in 2008."
Sounds like an ethically compromised situation to me.
- bwanab 10y agoYou think his political stance is an attempt to build the conditions for another large tail risk payoff?
- aswanson 10y agoNow that you mention it...time to throw some money into his fund for what could be a great year for Paulson.
- cryptonector 10y agoWhether Paulson (or anyone else) stands to profit from this is kinda besides the point. The critical thing is that Frannie not return to the status they had before: somewhat privately-owned but with strongly implied Federal government bailout guarantees. That had a lot to do with the real estate bubble (and its inevitable crash). We don't need a re-run of that movie. A privatization of Frannie that involves removing the conditions that led to the bubble, including removing the bailout guarantees, would be a fair policy. However, I believe this will require legislation that Congress will have no appetite for, and which may not be able to pass in the Senate due to filibustering. We should definitely oppose half-measures in this respect; 2008 was too painful to replay.