Fri, Sep 4, 2015
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Four directors at Paulson Europe bag GBP50.8m ($81.4m) in 2009 after successfully betting on ailing UK banking sector

Friday, January 08, 2010
Opalesque Industry Updates - ‘Make hay while the sun doesn’t shine’ seems to be true for four directors at the Paulson European arm of US hedge fund run by billionaire investor John Paulson. They saw profits at the partnership rise 37% to £50.8m ($81.4m) in the year to March 2009 on the back of successful betting against the near-collapsed UK banking sector, The UK Telegraph reported citing UK regulatory documents.

The paper alsosaid yesterday that the lion’s share of this profit was taken by the US arm of the Paulson & Co, which received £28.6m ($45.8m). The remaining £22.2m ($35.57m) was shared among the three London-based directors – Nikolai Petchenikov, Harry St John Cooper and Mina Gerowin.

The UK banking sector, where institutions have been hit by government’s introduction of 50% tax on bonuses, this payout definitely seems to belittle many compensation packages.

Revenues at Paulson Europe, which employed just seven people as of last March, soared 41.7% to £57.4m ($92m), the Telegraph reported.

John Paulson doubled his wealth to $6bn in 2008 by betting against the real estate market and is now near $6.8 bn, according to the Business Insider. Now, he is a huge proponent of gold, and could become the richest man in the world if gold ends up rocketing higher as bulls expect. Mr. Paulson can earn juicy hedge fund performance fees off of the $30bn+ in AuM at his hedge fund. The Business Insider further said that Mr. Paulson would make money primarily on a giant speculative bet, and the majority of his wealth will be generated through high fees, not personal asset gains. - written by SC -


BG

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Opalesque Exclusive: New Detroit-based CTA seeks to take advantage of coming volatility[more]

    Benedicte Gravrand, Opalesque Geneva for New Managers: An emerging manager has just set up his one-man shop in the city of Detroit. Synchronicity Futures,

  2. Opalesque Exclusive: When the SEC calls, fund managers need to get out of their own way[more]

    Bailey McCann, Opalesque New York: New pressure is hitting alternative investment funds from all angles. So far this month both hedge fund and private equity players have seen enforcement actions, and subsequent fines over fees, disclosures, and misleading statements. Citi one of the biggest

  3. Fortress hedge fund manager David Dredge says markets trouble on the way[more]

    From AFR.com: David Dredge of global hedge fund Fortress has built a career studying, predicting and protecting against the world's major financial crises. The recent convulsions in global sharemarkets are "just the beginning" of a painful adjustment as money drains from the emerging market economie

  4. North America - Puerto Rico agency plans talks with hedge fund creditors[more]

    From WSJ.com: Puerto Rico’s Government Development Bank is planning to begin confidential debt-restructuring talks with hedge funds that own its bonds as early as next week, said a person familiar with the matter. The parties are set to discuss a plan under which the investors would lend additional

  5. Launches - BlackRock’s McKenna starts hedge fund with $270m, Ex-BlueBay fund managers Phillips, Fayman to launch hedge fund in 2016, Dallas lawyer, Wall Street-savvy doctor team up to form biotech-focused hedge fund[more]

    BlackRock’s McKenna starts hedge fund with $270m From Bloomberg.com: BlackRock Inc. has started an event-driven hedge fund one year after hiring Harvard Management Co.’s Mark McKenna to run the strategy. Global Event Partners, which seeks to profit from corporate events such as takeovers

 

banner